The Economic and Financial Crimes Commission (EFCC) on Monday arraigned two promoters of the collapsed cryptocurrency investment scheme, CryptoBank Exchange (CBEX), before the Federal High Court in Abuja.
The defendants, Avwerosuo Otorudo and Chukwuebuka Ehirim, face charges related to promising Nigerians an 88 percent return on investments without securing regulatory approval from the Securities and Exchange Commission (SEC).
The arraignment, presided over by Justice Mohammed Umar, followed an amended three-count charge filed by the EFCC, accusing the duo of violating provisions of the Investment and Securities Act, 2025, and the Banks and Other Financial Institutions Act, 2020.
According to the EFCC, between January 2024 and May 2025, the defendants solicited deposits from the public through CBEX, offering unlicensed investment opportunities and falsely claiming authorization to operate as a financial institution.
Both defendants pleaded not guilty to the charges. EFCC counsel Fadila Yusuf requested their remand at Kuje Correctional Facility and urged the court to deny bail, citing the severity of the allegations and risk of flight. Meanwhile, defense lawyer J.A. Otorudo argued for bail, noting his clients’ cooperation and lack of prior convictions.
Justice Umar adjourned the case, scheduling a ruling on the bail applications for July 18, 2025.
This case forms part of the EFCC’s broader investigation into six CBEX promoters allegedly involved in a $1 billion cryptocurrency scam that defrauded numerous Nigerians.
The EFCC has vowed to recover victims’ funds with international cooperation, including Interpol.
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