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A Federal High Court in Abuja has placed two businessmen, Aweruso Otorudo and Chukwuebuka Ehirim, in custody for their alleged roles in a fraudulent investment scheme associated with the Crypto Bridge Exchange (CBEX).
The pair entered a plea of not guilty to charges filed against them by the Economic and Financial Crimes Commission (EFCC).
They faced an amended three-count charge related to obtaining money under false pretenses, inducement, and misleading the public into investing in a scheme that claimed extraordinarily high returns without appropriate regulatory approval.
One of the charges asserted that the defendants solicited investments in CBEX, promising returns of up to 88%, without obtaining the necessary authorization from the Securities and Exchange Commission (SEC).
Another charge accused them of receiving deposits from the public despite not being licensed banks or financial institutions, violating Section 44(1) of the Banks and Other Financial Institutions Act, 2020, and subject to penalties under Section 44(2) of the same law.
During their court appearance before Justice Muhammed Umar on Monday, the EFCC further indicated that the alleged misconduct infringed upon Section 96(1) of the Investment and Securities Act, 2025, with penalties under Section 96(5) of that law.
After their plea, EFCC attorney Fadila Yusuf requested that the court keep the defendants in a correctional facility and postpone the case for a hearing. However, defense attorney J.A. Otorudo informed the court of a bail application already submitted for the defendants. Opposing the bail plea, Yusuf argued that the defendants should remain in custody until the court reaches a decision.
“If they are not comfortable in EFCC custody, they are before the court now. My Lord can move them to a more comfortable accommodation,” she contended. Justice Umar then postponed the case to July 18, 2025, for a ruling on the bail application and ordered that the defendants be held at the Kuje Correctional Centre.
