A Federal High Court in Lafia, Nasarawa State, has ordered 21 companies to pay a fine of N30 million each for operating investment schemes without licenses from the Securities and Exchange Commission. The presiding judge, Justice Anyalewa Onoja-Alapa, gave the order after convicting each of the 21 companies on a one-count charge bordering on illegal operation. The companies were prosecuted by the Economic and Financial Crimes Commission for operating without a valid license.
The 21 companies, including Ngwuoke Daniels Technologies, Credio Banco Ltd, and Digital Company Ltd, were charged with engaging in specialized business of other financial institutions without a valid license. The charge against each company reads: “That you, [company name], a body corporate, registered with the Corporate Affairs Commission, sometime in 2025, at Abuja within the jurisdiction of the Federal High Court of Nigeria, did engage in specialized business of other financial institution without valid licence.”
The representatives of all the companies were absent when the charges were read, and upon application by the prosecution counsel, Nasir Umar, the court entered a “not guilty” plea on behalf of the companies and commenced trial. The prosecution counsel relied on witnesses and documents contained in the proof of evidence to prove his case against the companies. He tendered intelligence reports, statements of investigating officers, letters of investigation activities, and responses from the Corporate Affairs Commission and Securities and Exchange Commission in evidence.
The companies were prosecuted following actionable intelligence available to the Commission that linked them to investment fraud and operating without a license. In the course of investigations, the Commission invited the promoters of the companies for interrogation on December 22, 2022, and further interrogation on January 12, 2023, which they ignored. Over a period of five years, they evaded interrogation by the Commission, prompting the prosecution of the companies.
Justice Onoja-Alapa convicted and sentenced the companies to a fine of N30 million each. In addition, she ordered them to pay N200,000 for each day they had committed the offence. The Abuja Zonal Directorate of the EFCC filed the charge against the companies on September 15 and 16, 2026. Dele Oyewale, the spokesperson for the anti-graft agency, confirmed the development.
The companies, which include Mega Drop Quality Stores Ltd, Norland Global Ltd, and Oxford International, among others, were found to have operated investment schemes without valid licenses from the Securities and Exchange Commission. The court’s decision is a significant blow to the companies and a warning to others operating similar schemes.
The Economic and Financial Crimes Commission has continued to crack down on companies operating illegal investment schemes. The commission’s efforts aim to protect Nigerians from falling victim to investment fraud. The court’s order serves as a reminder of the consequences of operating without a valid license.
Key points
- The 21 companies were fined N30 million each for operating investment schemes without licenses.
- The companies were also ordered to pay N200,000 for each day they committed the offence.
- The Economic and Financial Crimes Commission continues to crack down on companies operating illegal investment schemes.
