Senate Probes Ponzi Schemes in Nigeria, Raises Alarm Over ₦1.3 Trillion Lost to CBEX Crash

By Diafa Doubra

The Nigerian Senate has launched an investigation into the growing menace of Ponzi schemes across the country following reports that Nigerians lost over ₦1.3 trillion to the recent collapse of the CBEX investment platform.

During plenary on Thursday, lawmakers expressed deep concern over the rising number of fraudulent online investment platforms exploiting citizens’ economic hardship. The Senate resolved to summon the Central Bank of Nigeria (CBN), the Economic and Financial Crimes Commission (EFCC), and the Securities and Exchange Commission (SEC) to explain their regulatory lapses and provide updates on measures being taken to recover victims’ funds.

Senator representing Cross River North, who sponsored the motion, lamented that millions of Nigerians—particularly youths—had been swindled by digital Ponzi operators promising unrealistic returns. He called for urgent reforms to strengthen financial regulations and enhance public awareness on investment risks.

The Senate also urged security agencies to intensify efforts in tracking the operators of CBEX and similar schemes, emphasizing that protecting citizens from financial scams must remain a national priority.