The Federal High Court in Abuja has jailed the secretary of a company behind a Ponzi scheme and ordered the forfeiture of more than N848 million after he pleaded guilty.
This is according to a court judgement signed by Justice M.G. Umar on 4 November.
The court convicted Ayoola Olakitan, secretary of Fortunetech Limited, on two counts of operating a business without proper registration and making a false statement to investigators from the Independent Corrupt Practices and Other Related Offences Commission (ICPC).
The judge sentenced the official to 12 months in prison, with an option of a N50,000 fine. The court also ordered Fortunetech Limited to be wound up.
“The 1st Defendant/Convict is hereby ordered to be wound up under the Companies and Allied Matters Act, 2020 and its assets forfeitedto the Federal Government of Nigeria; The 2nd Defendant/Convict is hereby sentenced to Twelve (12) Months Imprisonment or pay the sum of Fifty (50) Thousand Nairafine only,”it said.
According to the charge sheet, Fortunetech operated an e-commerce business classified as a “non-financial business” without registration between December 2023 and December 2024, an offence under the Money Laundering (Prevention and Prohibition) Act, 2022.
Mr Olakitan was also convicted for falsely claiming to ICPC investigators that he had applied for a Central Bank of Nigeria licence to operate international money transfer services.
Asset forfeiture
Following the conviction, the court granted the prosecution’s request for asset forfeiture.
A total of N212 million found in 15 bank accounts held by Fortunetech Limited and a related company, Fortunetechnic Global Services Limited, was forfeited to the federal government as proceeds of crime.
In a separate order, the court directed that N636 million be returned to one of the scheme’s victims, Mohammed Haruna, into his Providus Bank account. The total amount recovered stood at ₦848 million
The case was filed as Federal Republic of Nigeria v. Fortunetech Limited & Anor (Charge No: FHC/ABJ/CR/529/2025).
Ponzi pattern
Ponzi schemes have continued to thrive in Nigeria, targeting citizens seeking quick financial relief amid high inflation, unemployment, and a weakening currency. The schemes typically promise investors extraordinary returns and collapse once new deposits can no longer sustain payouts.
Nigeria’s most infamous case was MMM, which crashed in 2016 after collecting billions of naira from Nigerians.
Since then, similar ventures, including MBA Forex, Chinmark, and a series of online investment clubs have defrauded thousands of people, many of whom have yet to recover their funds.
The Securities and Exchange Commission (SEC) has repeatedly cautioned Nigerians to avoid unregistered and unregulated investment schemes.
It said genuine investment platforms must be licensed under the Investments and Securities Act and should not promise guaranteed or unrealistic returns.
The SEC strongly advised investors to verify any investment opportunity through the Commission’s official channels before parting with their money.
Despite repeated warnings, new Ponzi-style operations continue to emerge, often disguised as cooperative societies, cryptocurrency platforms, or e-commerce ventures promoted on social media.
