The Economic and Financial Crimes Commission (EFCC) has arrested over 200 suspects linked to foreign exchange scams and financial market manipulation.
Details of the Arrests
A source revealed, “Over 200 suspects have been arrested by the EFCC for forex scams and currency speculation. Not all the arrested suspects are in Abuja or at our headquarters because they were apprehended in different states.”
Another insider confirmed, “We have arrested over 200 people for foreign exchange scams and financial market manipulation. They are all being interrogated to determine their level of involvement. Most were arrested in Abuja, Lagos, Rivers, and Kano States.”
A third source added, “The crackdown on forex scammers will yield positive results. Many have been arrested and will face the consequences of their actions.”
Recent Raids and Government Actions
Last week, The PUNCH reported that the EFCC expanded its crackdown on BDC operators, with arrests in Lagos, Kano, and Port Harcourt. This move is part of the Federal Government’s efforts to stabilize the naira, which has been significantly depreciating due to speculators in the forex market.
On Friday, May 17, the EFCC’s Uyo Zonal Command arrested five suspected forex speculators at the Ama-Hausa mosque along Hospital Road in Aba, Abia State. The suspects were identified as Hassan Umaru, Haruna Umar, Badamasi Abdullahi, Auwal Muhammed, and Kasimu Muhammed.
Official Statements and Further Developments
EFCC spokesperson Dele Oyewale stated that various currencies were recovered from the suspects, including 23,000 Won (Korean currency), 52 Yuan (Chinese currency), $6,500 Nippon Ginko, 40 notes of Dalawampung Piso (Philippines currency), 20 Gambian Dalasis, 20 Swaziland currency, and N382,000. Additional items included seven mobile phones, one power bank, one air pod, and one ATM card.
Oyewale explained, “The suspects were arrested following weeks of surveillance and credible intelligence. They will be charged to court as soon as investigations are concluded.”
In a related incident, the EFCC’s Enugu Zonal Command arraigned forex broker Daniel Chukwuka Koussou before Justice C. O. Ajah of the State High Court in Enugu on charges of criminal conversion and stealing N112.8 million. Koussou allegedly converted the money sent to him for currency exchange to his personal use.
Impact on the Forex Market
Following these arrests, the naira saw a slight appreciation in both the official and parallel markets. On Wednesday, the naira traded at 1,462/$ compared to 1,465/$ on Tuesday in the official market. In the parallel market, it traded at 1,470/$, gaining N10 from the previous day.
A currency trader at Wuse Zone 4 Market, Malam Yahu Ibrahim, noted that trading activities were slow this week due to the Central Bank of Nigeria’s monetary policy committee meeting. “The market this week has not been very fast. Maybe it is because of that meeting the CBN did. We traded at N1,470 today but we are buying between N1,450 and N1,455. There is still demand but people are just waiting to observe and see what will happen next. Maybe from next week, we will start seeing changes,” he explained.
