• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
Nairametrics
No Result
View All Result
Home Markets

Are these 4 of the worst Ponzi schemes in Nigerian history?

Chacha Wabara by Chacha Wabara
July 26, 2017
in Markets
Beware! Ponzi Schemes Are Back in Nigeria-SEC
Share on FacebookShare on TwitterShare on Linkedin

If there is a sure means of getting the attention of Nigerians, it is any money doubling scheme. Nigerians have shown time and again that they have a high appetite for high-risk, high-returns investment, regardless of the lack of a business model inherent in most of these schemes. Coupled with the continent-high population and sub-optimal economic conditions, most of the founders of Ponzi schemes introduce them to Nigeria as quickly as possible. As a result, over time, Nigerians have lost significant sums to them. These 4 Ponzis are some of the most popular.

Pennywise

Back in 2007, this was the rave of the town especially in South-West Nigeria. With investment as low as N5000 back then, potential investors were promised rewards as high as 100% of their investment within two weeks of investment. The scheme received popular following despite the warnings from the Securities and Exchange Commission (SEC) and the Central Bank of Nigeria (CBN). According to a source, Nigerians lost about N1.93 billion to Pennywise alone between 2006 and 2008. The present value of that amount becomes mind-boggling if the forex issues that have happened since then are taken into account.

RelatedStories

EFCC: Achimugu’s case unrelated to Atiku, Sanwo-Olu, agency says

EFCC arraigns Ponzi scheme director Precious Williams over alleged N13.8 billion fraud  

June 17, 2025
SEC warns Nigerians against investing in Risevest and Stecs  

Ponzi scheme: SEC warns Nigerians against investing in PWAN MAX 

May 6, 2025

Nospectco Oil and Gas

Another wonder bank, this time disguising as an oil and gas investment, Nospectco became popular in 2005. Several Nigerians saw it as an opportunity to reap a big share from the country’s natural resources. However, it all proved to be a sham but the CBN and the SEC were quick to drag the founders to court. At its peak, Nospectco Oil and Gas was responsible for about N49 billion in lost funds, according to the CBN. Most of these claims were never settled.

Ultimate Cycler

A new generation Ponzi, Ultimate cycler was one of the most popular Ponzi schemes for 2016. It was set up by a network marketer, who went by the name Peter Wolfing. The scheme required members to pay N12,500 after which they would have another 4 new membes placed under them to provide N37,500 as reward. Members were encouraged to bring other people into the scheme to ensure its continuity. As with all things of such nature, the scheme has practically packed up. Data on the amount lost to Ultimate Cycler is scanty as its competitor, MMM, got all the attention.

MMM

Speaking of MMM, Mavrodi Mondial Movement, Ponzis in Nigeria does not get bigger. If you were not engaged in the scheme in 2016, you were not considered a Nigerian. The scheme had no restrictions on the amount to be invested and sourcing additional people was not compulsory to receive a 30% reward. The scheme became so popular that banking on Tuesdays and Thursdays became a headache for Nigerians not involved in the scheme. As usual, Nigerians ignored several warnings from the CBN and the SEC. MMM’a crash is now an open secret. The CBN gave an estimated loss of N12 billion to Ponzis in 2016. You can be sure that MMM is responsible for more than half of that sum.

Tags: ListiclesMMMPennywisePonzi schemeUltimate Cycler
Chacha Wabara

Chacha Wabara

Chacha Wabara-Ogbobine is a Legal practitioner with over 9years post call experience. A research Consultant, professional writer and a blogger at heart,owner of four thriving websites with well over 10years of experience. Totally in love with keeping fit and coaching weight loss enthusiasts. I love my quiet time, being with my kids, watching TV series for hours on end.

Related Posts

EFCC: Achimugu’s case unrelated to Atiku, Sanwo-Olu, agency says
Crime and Insecurity

EFCC arraigns Ponzi scheme director Precious Williams over alleged N13.8 billion fraud  

June 17, 2025
SEC warns Nigerians against investing in Risevest and Stecs  
Legal & Regulations

Ponzi scheme: SEC warns Nigerians against investing in PWAN MAX 

May 6, 2025
Why do Nigerians fall for Ponzi schemes every time?
Markets

Resisting Ponzi schemes in Nigeria

April 18, 2025
Charles Ponzi
Op-Eds

Why any offer with the word “trading” or “guaranteed” is a Ponzi by Kalu Aja

June 4, 2024
Ponzi Scheme
Exclusives

Inside “PHEBELLA”, “RIO TINTO”, “TECK”, the new Ponzi Schemes promising tantalizing returns

September 16, 2023
Ponzi scheme: police arrest Bamise Ajetunmobi, produces him in court
Business News

Ponzi Scheme: Police finally arrests Bamise Ajetunmobi of Imagine Global Holding, arraigns him

March 17, 2023
Next Post
Guinness Nigeria N40 billion rights issue: Facts behind the issue

Guinness Nigeria N40 billion rights issue: Facts behind the issue

Comments 6

  1. Duzie (@Duzie_) says:
    July 26, 2017 at 7:49 pm

    HAHAHA.

    We all fell for these Ponzi schemes didn’t we? The sad part was that many people invested their main funds, eventhough, MMM warned people not to.

    Reply
    • Fifi says:
      July 27, 2017 at 11:55 am

      We all didn’t fall. When nairametrics did an article on mmm warning people about the dangers, members responded with very vile words. Those who wanted to fall for it fell.

      Reply
  2. Anonymous says:
    July 27, 2017 at 8:49 am

    Do ur research well next time… MMM is still paying n its not a ponzi scheme.

    Reply
  3. Anonymous says:
    July 27, 2017 at 10:28 pm

    Take corrections and DYOR(Do Your Own Research) properly. MMM has not and will not crash. It is still paying very well. And we like it as its on a low key for now.

    Reply
    • Anonymous says:
      July 5, 2020 at 5:17 am

      Seriously you need to woke up

      Reply
  4. Badisa says:
    May 19, 2018 at 11:57 am

    Even though people down here in South Africa have fallen victim to MMM, many still join such schemes that promise unrealistic ROI’s. The latest craze seem to be “Stokfels”, which promise 100% in 24 hours. I’m not sure why our authorities haven’t clamped down on these already.

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Emple
nlng
first bank








DUNS

Recent News

  • Toyin Abraham’s Iyalode nears N300 million at Nigeria box office 
  • GTCO CEO Segun Agbaje: Banks had ample notice on forbearance loans – CBN’s action no surprise
  • Hollywood’s “Jurassic World: Rebirth” debuts N52.5 million in Nigerian cinemas

Follow us on social media:

Recent News

Toyin Abraham’s Iyalode nears N300 million at Nigeria box office 

Toyin Abraham’s Iyalode nears N300 million at Nigeria box office 

July 12, 2025
Top 5 highest paid bank CEOs of 2022 

GTCO CEO Segun Agbaje: Banks had ample notice on forbearance loans – CBN’s action no surprise

July 12, 2025
  • iOS App
  • Android App
  • Contact Us
  • Home
  • Markets
  • Sectors
  • Economy
  • Business News
  • Financial Literacy
  • Disclaimer
  • Ads Disclaimer
  • Copyright Infringement

© 2025 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Social Media Auto Publish Powered By : XYZScripts.com
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Login
  • Sign Up

© 2025 Nairametrics