EFCC worried Nigerians falling for too many investment scams

The Economic and Financial Crimes Commission (EFCC) says it is deeply concerned by the proliferation of investment scams in Nigeria.

The anti-graft agency said in a statement on Monday, April 26, 2021 that the rate at which Nigerians petition its operatives over investment scams is alarming.

EFCC spokesperson, Wilson Uwujaren, said Nigerians are increasingly losing their hard-earned money to fraudsters who are promising them high return with little risks.

He said the massive loss of money to Ponzi schemes, forex trading, and, most recently, Bitcoin trading has further compounded the nation's economic woes.

"Though risk-taking is considered by some as the oxygen that drives investment decisions, the Commission wishes to warn the public against taking unmitigated risk in desperation to earn a windfall," EFCC said.

The anti-graft agency promised to always investigate and prosecute fraudsters who are taking advantage of Nigerians.

The agency also warned would-be investors that any investment that looks too good to be true should be considered a red flag.

Investment scams have risen exponentially in Nigeria over the years, causing losses in the billions of naira.

Many pyramid schemes, most notoriously MMM, have been used as easy baits to lure hundreds of thousands to part with their money while expecting high returns that almost never materialise.

Federal authorities including the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC) have similarly warned Nigerians about their investment habits.