The Economic and Financial Crimes Commission (EFCC) has raised serious concerns about a growing collaboration between Nigerian politicians and internet fraudsters, commonly known as “Yahoo boys,” to launder stolen government funds. EFCC Chairman Ola Olukoyede revealed in a recent statement that Politically-Exposed Persons (PEPs) are increasingly using these young fraudsters as conduits to move billions of naira through cryptocurrency wallets, sending illicit funds abroad. This alarming trend, he said, is severely damaging Nigeria’s international reputation and economy. Olukoyede described the situation as a “crisis” that threatens the country’s image globally. He noted that the activities of Yahoo boys have led to Nigerians being unfairly viewed as criminals by immigration officials worldwide. Highlighting the scale of the problem, the EFCC boss cited the case of a 22-year-old suspect who, despite never having held a legitimate job, had over N5 billion in his account within 18 months. He also warned that fraud is now deeply entrenched even among secondary school students, some of whom are abandoning education for criminal lifestyles. The EFCC further disclosed that these fraudsters are not only involved in internet scams but also linked to more serious crimes such as banditry and kidnapping. Some suspects reportedly use fetish objects and recruit young women to assist in their schemes. Chairman Olukoyede called on Nigerians to support the EFCC’s efforts and help steer the youth away from fraudulent activities towards honest living. “This is not just about ‘Yahoo’ anymore; it’s about mega cybercrimes and high-level corruption,” he said. The EFCC’s warning comes amid rising concerns over the impact of cybercrime on Nigeria’s social fabric and economic development, emphasizing the urgent need for collective action to curb this menace.
Lagos court sentences four Filipinos, seven Nigerians for cybercrime, orders deportation of foreigners
A Federal High Court in Ikoyi, Lagos, has sentenced four Filipinos and seven Nigerians for internet fraud and cyberterrorism offenses, handing down prison terms and fines while ordering the deportation of the foreign nationals which was extensively reported by Dailytech Justice Yellim Bogoro convicted Reyna Mae Eriba, Chyna Samonte, Zara Fabian, and Dominique Medina to one year imprisonment each or payment of a fine of N1,000,000. The court further directed the Nigeria Immigration Service to deport the four Filipinos within seven days after serving their sentences. The Nigerian convicts, Chidera Ezechukwu, Favour Oluchukwu, Egwenum Ifeanyi, David Okezie, Gbenga Shittu Solomon, Ibraheem Olamilekan, and Oghomienor Jotham, received similar one-year jail terms or fines ranging from N500,000 to N700,000. The Economic and Financial Crimes Commission (EFCC) prosecuted the case, charging the accused under the Cybercrimes (Prohibition, Prevention, Etc.) Act, 2015 (amended 2024) and the Terrorism (Prevention, Prohibition) Act, 2022. The charges included identity theft, recruitment of youths for fraudulent activities, and money laundering. For instance, Chyna Samonte was found guilty of orchestrating schemes that exploited Nigerian youths to impersonate foreigners and commit financial fraud, actions that threatened Nigeria’s economic and social stability. Justice Bogoro also ordered the forfeiture of all assets recovered from the convicts, including vehicles, communication devices, and funds, to the federal government. This ruling highlights the intensified efforts of the nation to clamp down on cybercrime, reflecting recent legislative updates that strengthen penalties and enforcement mechanisms against internet fraud and cyberterrorism. The EFCC continues to lead the fight against cybercrime, aiming to protect the country’s digital and economic infrastructure from growing threats.
Nine internet fraudsters convicted by Federal High Court in Anambra
The Federal High Court sitting in Awka has convicted and sentenced nine individuals for internet fraud-related offenses. The convicts, arrested in Enugu on May 2, 2025, were found guilty of crimes including identity theft and fraudulent impersonation, according to the Economic and Financial Crimes Commission (EFCC). Justice Evelyn Anyadike presided over the case and handed down sentences ranging from six months to 18 months imprisonment, with options for fines and community service. Among those convicted are Daniel Okochukwu Okoh, Onwe Chidera Solomon, Hyacinth Chinedu Ani, Malachy Makuochi Adonu, Udeh Collins Chidimma, Ukoro Victor Somto, Ezekiel Valentine Chidubem, Ugwuanyi Kingsley Chinwetalu, and Obi Ezeanyim Eric Ifesinachi. The EFCC revealed that some defendants impersonated foreign nationals on social media platforms like Instagram and Telegram to defraud unsuspecting victims. For example, Ukoro Victor Somto was charged with impersonating a U.S.-based actress via Telegram, while Daniel Okoh created a fake Instagram profile posing as a Russian living in Australia to deceive a foreign national. At their arraignment, all defendants pleaded guilty. EFCC counsel Assistant Commander Rotimi Ajobiewe urged the court to convict and sentence them accordingly, while defense lawyers requested mercy, citing remorse from the convicts. Justice Anyadike sentenced Hyacinth Ani, Ugwuanyi Chinwetalu, and Onwe Solomon to six months imprisonment each with an option of a N50,000 fine. Malachy Adonu received two years imprisonment or a N200,000 fine, and Daniel Okoh was sentenced to six months imprisonment with community service and a fine option. Others received varying sentences and fines based on the counts they faced. In addition to imprisonment and fines, some convicts were ordered to forfeit electronic devices used in the crimes, including phones and laptops, to the Federal Government. In a related case, Justice Anyadike remanded Okafor Sunday Chikwado for operating a Bureau De Change without a license and other related charges. His case is set for bail hearing on July 15, 2025.
AI-Driven identity fraud surges in Africa as traditional scams decline, new report reveals
A recent report from global verification platform Sumsub highlights a significant shift in the identity fraud landscape across Africa. While traditional scams such as document forgery continue to decline, synthetic identity fraud powered by artificial intelligence (AI) and digital forgery tools is rapidly on the rise. According to Sumsub’s Q1 2025 Identity Fraud Report, Africa’s overall fraud rate has slightly dipped to 3.42%, down from 3.50% in the same period last year. However, this modest decrease masks a deeper transformation in how fraudsters operate. Tanzania and Nigeria buck the continental trend, reporting increases in fraud rates to 4.89% and 4.44% respectively. Tanzania’s fraud rate jumped nearly 10%, while Nigeria’s increased by 2.5%. Conversely, South Africa and Kenya recorded significant declines of 26% and 15.5% respectively. The report highlights a sharp drop in traditional document forgery across several key markets. Nigeria saw an 80% decrease in document forgery cases, thanks to improved verification systems. South Africa recorded a 73% reduction, while Kenya and Ghana also saw declines of 45% and 50% respectively. While traditional scams are fading, synthetic identity fraud, where criminals use AI-generated credentials and fabricated documents, is surging. In South Africa, synthetic document fraud remains below 0.3% but grew by an astonishing 480% year-on-year. Tanzania and Nigeria also saw significant increases of 184% and 192%, with synthetic fraud now accounting for over 2% and 1.5% of verification attempts respectively. Sumsub’s VP of Sales for Africa, Hannes Bezuidenhout, commented, “Africa’s fraud landscape is undergoing a seismic shift. Enhanced verification tools have decimated traditional document forgery, but criminals are adapting with synthetic IDs and AI-powered scams.” The report also reveals that fraud is evolving differently across industries. While IT services, gaming, and social media platforms have seen fraud reductions, financial sectors are experiencing increased fraud activity. Professional services and social platforms remain high-risk, with nearly 6% of all verification attempts flagged as fraudulent in Q1 2025. Bezuidenhout emphasized the urgency for businesses to upgrade their fraud prevention strategies: “The data proves that fraud prevention is now a race between innovation and adaptation. Businesses must invest in cutting-edge tools that secure their platforms while meeting regulatory standards.” As fraudsters increasingly leverage AI to create synthetic identities and sophisticated digital personas, the focus for businesses and regulators must shift from merely detecting fake documents to recognizing these fabricated digital identities. With the rise of AI-driven fraud tactics, Africa’s fight against identity fraud is entering a new and challenging phase, one that demands innovation, vigilance, and collaboration across sectors.
Four Filipinos, eight Nigerians convicted for cybercrime and money laundering
Justice Yellim Bogoro of the Federal High Court in Lagos has sentenced four Filipino nationals and eight Nigerians to one year in prison for their involvement in cyber-terrorism and internet fraud. The convicts, including Reyna Mae Eriba, Chyna Samonte, Zara Fabian, and Dominique Medina from the Philippines, were part of a group of 729 suspects arrested in December 2024 during a raid in Lagos linked to a sophisticated Ponzi scheme and cyber-terrorism activities. The Nigerians convicted alongside them include Chidera Ezechukwu, Favour Oluchukwu, Egwenum Ifeanyi, David Okezie, Gbenga Shittu Solomon, Ibraheem Olamilekan, Chinecherem Michael, and Oghomienor Jotham. According to the Economic and Financial Crimes Commission (EFCC), the suspects exploited young Nigerians in identity theft and online dating scams, with proceeds traced to various bank accounts, including one holding over N12 billion. All twelve pleaded guilty to charges of cyber-terrorism, internet fraud, and money laundering under Nigeria’s Cybercrimes Act and Terrorism Prevention Act. Justice Bogoro ordered the forfeiture of all recovered assets to the Federal Government and directed the Nigeria Immigration Service to repatriate the Filipino convicts after serving their sentences. The court also allowed fines as alternatives to imprisonment for some Nigerian convicts. EFCC prosecution counsel Anita Imo emphasized the serious threat posed by such cybercrimes to Nigeria’s economic and social stability. This judgment sends a strong message against cybercrime and reinforces Nigeria’s commitment to combating internet fraud and terrorism.
CBEX Ponzi scheme resumes, demands additional fees from Nigerian investors to recover lost funds
Crypto Bridge Exchange (CBEX), the notorious Ponzi scheme that defrauded thousands of Nigerians earlier this year, has resumed operations nationwide. Shockingly, the platform is now asking victims to pay additional fees, up to $200, to reactivate their accounts and recover their lost investments. Several investors have reported being contacted by CBEX operators, who instructed them to log back into their accounts to see their balances restored. However, access to withdrawals comes with a catch: investors with deposits above $1,000 are required to pay $200, while those with smaller investments must pay $100 to “activate” their accounts before they can request withdrawals. One investor told the Peoples Gazette, “I was asked to pay $200 to continue trading and to be able to withdraw my funds. It feels like they are trying to lure us back into the scheme.” CBEX abruptly halted operations in April, leaving many Nigerians unable to access their life savings. The sudden shutdown sparked widespread outrage, including a violent incident at the scheme’s Ibadan office. The platform had promised to double investors’ money within 40 days through supposed AI-powered trading, a claim that was later exposed as fraudulent. In response to the scheme’s collapse, the Economic and Financial Crimes Commission (EFCC) launched an investigation, arresting several suspects and tracing illicit funds to multiple countries. The EFCC has declared some Nigerian collaborators wanted and cautioned that recovering all lost investments may not be possible. Despite these efforts, CBEX has quietly resumed operations, allowing new users to trade and withdraw profits while old investors await a promised audit scheduled for June 25, 2025. The platform now reportedly requires manual trade inputs and claims to have an insurance-backed compensation process underway, with some investors already receiving partial payouts. The Securities and Exchange Commission (SEC) has reiterated warnings against unregistered investment platforms like CBEX, urging Nigerians to exercise caution and avoid schemes promising unrealistic returns.