In response to the ongoing foreign exchange crisis in Nigeria, the Economic and Financial Crimes Commission (EFCC) has taken decisive action by securing a court order to freeze 1,146 bank accounts belonging to individuals and companies. This development follows allegations of unauthorized foreign exchange dealings, money laundering, and terrorism financing.
The ruling, delivered by Justice Emeka Nwite of the Federal High Court in Abuja, grants the EFCC an interim order to freeze the accounts while concluding its investigation within 90 days. The decision, made in response to the EFCC’s ex-parte motion, cited various legal provisions, including sections of the Nigerian Constitution and anti-money laundering laws.
Preliminary investigations by the EFCC suggest that the frozen accounts are linked to individuals exploiting virtual cryptocurrency exchanges to manipulate the value of the Naira and launder proceeds from illicit activities. Among the account holders listed in the investigation are Akitoye Adeyemi Ayomide, Clyp Trading Ltd, Toyetech Platforms Ltd, and others. The probe extends to platforms like Binance, with the court previously ordering the company to provide data on Nigerian traders.
According to the EFCC, manipulation on platforms like Binance has caused significant distortions in the currency market, resulting in the depreciation of the Naira against other currencies. The total trading volume from Nigeria on Binance in 2023 was reported at $21.6 billion.
While legal action is pursued against Binance and its executives for money laundering, the Federal Inland Revenue Service (FIRS) is separately prosecuting the company for alleged tax evasion.
Justice Nwite has adjourned the matter until July 23 for further proceedings, signaling the seriousness with which the court and relevant authorities are addressing the forex crisis and its underlying causes.
