……….Moves to Uncover Lapses, Launches Public Education Drive to Combat Digital Financial Scams
The Nigerian Senate on Wednesday, July 9, 2025, launched a sweeping investigation into the operations of Ponzi schemes and unregulated digital investment platforms in the country, following the collapse of Crypto Bullion Exchange Civics, which defrauded Nigerians of over ₦1.3 trillion.
The motion, sponsored by Senator Mukhail Adetokunbo Abiru (Lagos East) and co-sponsored by Senator Osita Bonaventure Izunaso (Imo West), received unanimous support from senators who decried the growing menace of online investment frauds preying on poor and unsuspecting citizens.
Leading the debate, Senator Abiru warned that platforms like Civics have become dangerously sophisticated, leveraging social media, fake endorsements, and influencer marketing to gain public trust. “Students, artisans, market women and other low-income Nigerians were lured with promises of outrageous returns. Many lost their life savings, and some have suffered depression or even taken their lives,” he lamented.
Describing Civics as “one of the worst financial scams in Nigeria’s history,” Abiru blamed key financial regulatory bodies — including the Central Bank of Nigeria (CBN), the Securities and Exchange Commission (SEC), the Economic and Financial Crimes Commission (EFCC), and the Nigerian Financial Intelligence Unit (NFIU) — for allowing the platform to operate unchecked.
Several lawmakers condemned the apparent regulatory failure. Senator Abdul Ningi (Bauchi Central) called it “a national tragedy,” highlighting how repeated frauds from MMM in 2016 to MBA Forex in 2020 — continue to devastate millions of lives. “How do we expect international investors to trust a system where such massive fraud can happen without consequence?” he asked.
Senator Sani Musa (Niger East) noted the psychological damage suffered by victims: “This is no longer just about stolen money; it’s psychological warfare on our people.”
Senator Solomon Adeola (Ogun West) raised concerns about the broader fintech ecosystem, warning that other unregulated platforms pose similar risks. “We need to question the CBN on what digital oversight frameworks are in place. No responsible country allows this level of recklessness,” he stated.
Senate President Godswill Akpabio, who presided over the session, lauded the motion as timely and urgent. “This issue touches every Nigerian. These scams are robbing people of their futures, and regulators cannot remain bystanders. The cycle of fraud and impunity must end,” Akpabio said, recalling previous incidents where fraudsters hoarded cash in warehouses, only for it to rot away — a symbol, he noted, of greed, ignorance, and failed oversight.
The Senate consequently mandated its Joint Committees on Capital Markets; Banking, Insurance and Other Financial Institutions; Anti-Corruption and Financial Crimes; and ICT and Cybersecurity to:
- Conduct a comprehensive investigative hearing on the operations of Ponzi schemes and digital fraud platforms in Nigeria;
- Identify the regulatory failures that allowed platforms like Civics to thrive;
- Recommend sweeping institutional and legislative reforms to prevent future scams; and
- Launch a nationwide financial literacy and public sensitization campaign to educate Nigerians about online investment risks.
The committees are to report back to the Senate within four weeks. Lawmakers stressed that the outcome should not only inform policy and legislation but also ensure accountability and deterrence.
“This is not just about recovering money it’s about safeguarding national security, restoring public trust, and fulfilling our constitutional duty to protect Nigerians from digital predators disguised as investors,” the Senate declared.
