posted 23rd May 2025
Fraudulent Investment Firm Shut Down by Lagos Court
On Thursday, 22 May 2025, Justice C.J. Aneke of the Federal High Court in Ikoyi, Lagos, ordered the winding up of CJC Markets Limited, an illegal capital market firm, following its conviction for operating a fraudulent collective investment scheme without registration with the Securities and Exchange Commission (SEC). The ruling came after the Lagos Zonal Directorate 2 of the Economic and Financial Crimes Commission (EFCC) arraigned the company on a one-count charge of investment fraud.
The case stemmed from a petition alleging that CJC Markets Limited collected N30 million from an investor, Wamyil Mangna, in January with a promise of a 30% return on investment (ROI). Investigations by the EFCC revealed that the company was neither registered with the Central Bank of Nigeria (CBN) nor the SEC to conduct capital market operations or collect investments. The firm's directors, Aihua Chen and Okungbeni Dickson, remain at large.
During the court proceedings, the company entered a guilty plea. EFCC prosecution counsel Abdulhamid L. Tukur presented evidence through operative Christian Chukwu, who testified that a petition from Matthew Burkaa and Co. Legal Practitioners prompted the investigation. Letters sent to the United Bank of Africa (UBA), CBN, and SEC confirmed the company’s unregistered status. The finance officer, Kolawole Josiah, also provided a statement detailing the firm’s illicit activities. Documents, including the petition and correspondences, were tendered and admitted as exhibits.
The charge against CJC Markets Limited stated that the company, while operating its scheme in 2021, failed to register with the SEC, contravening Section 54(1) of the Investment and Securities Act 2007. The offence is punishable under Section 54(6) of the same Act.
Defence counsel Adeniyi Komolafe requested the court to wind up the company. Justice Aneke granted the request, convicting CJC Markets Limited and ordering its dissolution and delisting from the Corporate Affairs Commission (CAC).
The EFCC’s action underscores its ongoing efforts to combat financial fraud and protect investors from unregistered and fraudulent schemes in Nigeria’s capital market.
