Joy Odey
The House of Representatives has expresses deep concern over alarming reports on the collapse of a fraudulent cryptocurrency investment scheme known as “CBEX,” which has reportedly trapped funds belonging to thousands of Nigerians, with financial exposure estimated to exceed ₦1.3 trillion.
The House extends heartfelt empathy to citizens currently facing distress and uncertainty due to their involvement in this elaborate scam through a press statement made available to newsmen by Rep. Akin Rotimi, Jr., the Spokesman, House of Representatives on Thursday
Preliminary findings indicate that the platform, which is not registered with the Securities and Exchange Commission (SEC), deceptively adopted the name “CBEX,” though it bears no affiliation with the legitimate China Beijing Equity Exchange – a Chinese equity trading institution that has disavowed any involvement in digital asset trading or operations in Nigeria.
This large-scale fraudulent scheme, which promised unrealistic returns and preyed on public trust, highlights the growing risks posed by unregulated digital investment platforms.
The House notes that the Economic and Financial Crimes Commission (EFCC) and the Nigeria Police Force have already commenced coordinated investigations, working in concert with Interpol to track the perpetrators, safeguard investors, and recover withheld funds where possible.
“We urge these agencies to sustain swift and effective action in identifying, apprehending, and prosecuting the masterminds of this massive financial crime”.
The House also underscores the importance of the recently enacted Investment and Securities Act (ISA), 2025, signed into law by His Excellency, President Bola Ahmed Tinubu, GCFR.
This landmark legislation – resulting from sustained legislative efforts across the 8th, 9th, and 10th Assemblies – strengthens the SEC’s enforcement powers, criminalises Ponzi schemes and related frauds, and introduces stricter penalties, including up to ten years’ imprisonment.
Through these reforms, the investor protection responsibility of the SEC has been enhanced, reinforcing its mandate to shield Nigerians from fraudulent investment activities.
Chairman of the House Committee on Capital Market and Institutions, Rep. Solomon T. Bob (PDP, Rivers), remarked:
“We must continue to confront financial fraud with the full weight of the law. But beyond enforcement, we must invest in public awareness. Financial literacy is not optional; it is essential in building a resilient, inclusive economy. Fraudsters thrive where ignorance prevails.”
The House advises Nigerians to exercise utmost caution and verify all investment opportunities with the SEC and other regulators.
Citizens must remain vigilant to the hallmarks of fraud – especially promises of high returns with little or no risk.
Furthermore, public figures, celebrities, and influencers are reminded of their civic and legal duties.
Under the new ISA, promoting unregistered investment schemes could attract liability for aiding financial misrepresentation and consumer deception.
The House calls on schools, faith-based organisations, media outlets, and civil society groups to support a national effort to promote financial education and protect the public from predatory schemes.
“In line with the 10th Assembly’s Legislative Agenda (2023-2027), particularly Agenda 4 on Economic Growth and Development, the House reaffirms its commitment to securing the financial welfare of Nigerians.
We will continue to support sound legislation, strengthen regulatory frameworks, and promote capital markets that are safe, transparent, and inclusive”, the house stated.
