The Securities and Exchange Commission (SEC) has shut down over 400 fraudulent investment schemes in Nigeria, with several suspects currently under prosecution, as part of efforts to protect investors and strengthen market confidence.
The disclosure was made by the Executive Commissioner for Operations. SEC, Bola Ajomale, during the opening of the Nairametrics financial literacy forum tagged “The Money Fair” held in Lagos on Tuesday, March 17, 2026.
The development highlights the regulator’s intensified enforcement actions amid a surge in unregulated investment activities and growing concerns about investor protection.
What they are saying
The SEC says it has significantly scaled up enforcement and investor awareness initiatives in response to the rise in fraudulent schemes.
Ajomale, who represented the SEC DG, Dr. Emomotimi Agama, noted that the commission has combined investigations, arrests, and public education campaigns to curb the spread of illegal investment platforms.
- “Over the last three years we have investigated and shut down at least 400 of these so-called schemes. We saw a tremendous increase in them last year, and a number of those involved have been arrested and prosecuted.”
- “If the investment product or the operator is not registered with the SEC, they have no business asking you to put your money there.”
Ajomale added that the commission introduced initiatives such as the “See It, Snap It” campaign and the “SEC Scam Alert” to enable Nigerians to easily report suspicious schemes and help regulators act swiftly before such schemes expand.
More insights
Stakeholders at the event emphasised the importance of financial literacy in navigating Nigeria’s evolving economic landscape. They noted that access to accurate information remains critical for investors seeking to build wealth and avoid falling victim to fraudulent schemes.
- The CEO of Nairametrics Financial Advocates Limited, Ugodre Obichukwu, said “The Money Fair: 1.0” initiative was created to bridge the knowledge gap in wealth creation and empower individuals with actionable financial insights.
- He highlighted current economic realities, including rising prices, exchange rate volatility, and global geopolitical tensions, as factors making financial education more urgent.
Chief Executive Officer (CEO) of Chapel Hill Denham, Bolaji Balogun, stressed that innovation and entrepreneurship are essential for economic growth and poverty reduction, citing leading industrialists and companies driving job creation.
They collectively underscored that financial literacy is a key differentiator between those who can take advantage of economic opportunities and those who struggle, especially in uncertain economic conditions.
What you should know
Recent high-profile Ponzi scheme failures have led to billions of naira in losses for Nigerian investors, prompting regulators to intensify enforcement and awareness campaigns. The SEC has responded by strengthening its regulatory framework and collaborating with law enforcement agencies to clamp down on illegal operators.
- The commission has increased oversight following leadership changes, including the appointment of a new Director-General and the reconstitution of capital market committees.
- It regularly publishes investor alerts and maintains an updated list of illegal investment operators to guide the public.
- The SEC continues to work with security agencies to investigate and prosecute offenders involved in fraudulent investment schemes.
The regulator maintains that verifying the registration status of any investment company or product remains the most effective safeguard for investors, as it continues efforts to restore confidence and stability in Nigeria’s capital market.
The Ponzi scheme called VALUE GROWTH which was shut down by SEC last year has resurfaced in the name of REVO. It’s been operated by same set of people using cloned foreign contacts