The Securities and Exchange Commission (SEC) has launched a nationwide sensitization campaign aimed at preventing more Nigerians from falling victim to Ponzi schemes.
Led by its director-general, Dr Emomotimi Agama, the SEC team visited traders in Abuja, distributing informational flyers and engaging them directly on the risks of investing in unregulated platforms. The team stressed the importance of verifying every investment opportunity with the Commission before committing any funds.
Dr Agama explained that the initiative is part of SEC’s broader effort to protect Nigerians from fraudulent investment schemes. He revealed that Nigerians have collectively lost over $1.3 trillion to the CBEX Ponzi scheme alone, highlighting the urgency of raising public awareness.
He warned Nigerians about the dangers of investing in ventures not registered or regulated by the SEC, adding that if an opportunity appears too good to be true, it almost certainly is neither good nor true. Dr Agama reaffirmed the Commission’s commitment to stamping out Ponzi schemes and other illegal investment platforms across the country.
The director-general also pointed to the recent enactment of the new Investment and Securities Act (ISA) 2025, signed into law by President Bola Tinubu. Under the new law, individuals involved in Ponzi operations, including influencers, bloggers, and accomplices, face a fine of up to N20 million and imprisonment of up to 10 years.
Dr Agama pledged that the SEC would continue to expand its awareness campaign beyond markets, reaching churches, mosques, hospitals, military institutions, and all sectors of society. He called on the public to join in spreading the message, stating that a collaborative effort would ensure better protection for all Nigerians.
Speaking during the campaign, the SEC’s Executive Commissioner of Legal and Enforcement, Frana Chukwuogor, urged traders to avoid investment schemes promising unreasonably high returns, describing such offers as traps to defraud unsuspecting Nigerians. She stressed that Ponzi schemes are illegal operations that build on nothing tangible and called for a focus on educating women in particular to broaden the campaign’s reach.
Chukwuogor added that the Commission’s visit to Wuse Market was part of a strategy to help investors understand and access the resources available through the SEC, encouraging Nigerians to invest wisely but to always verify the legitimacy of investment offers with the Commission first.
During the sensitization exercise, several traders shared personal stories about their losses to the illegal CBEX platform, reinforcing the need for continuous public education against fraudulent investment schemes.
