Cybercrime: Court forfeits 431 phones linked to Chinese fraudsters

Justice Deinde Dipeolu of the Federal High Court sitting in Lagos on Tuesday ordered the final forfeiture of 431 mobile phones seized from convicted Chinese cyber-fraud operators and their accomplices to the Federal Government.

The judge granted the order following an application filed by the Economic and Financial Crimes Commission, pursuant to Section 17 of the Advance Fee Fraud and Other Related Offences Act, 2006 and Section 44(2)(b) of the 1999 Constitution.

In the suit marked FHC/LAG/MISC/990/2026, brought as an action in rem, EFCC counsel, Hanatu Kofarnaisa, prayed the court for the final forfeiture of the devices, arguing that they were instrumentalities and proceeds of unlawful activities.

In moving the application, the prosecution relied on an affidavit sworn by EFCC investigating officer Christopher Augustine, which exposed an elaborate international cyber-crime network operating in the Victoria Island area of Lagos.

According to the anti-graft agency, foreign nationals from China, Kyrgyzstan, the Philippines, and Pakistan established a secret operational hub code-named “HK” in Victoria Island, where over 500 laptops, 400 cell phones, and various local telecommunication cards were deployed for romance scams, cryptocurrency fraud, and investment swindles.

The commission revealed that a massive sting operation conducted on December 10, 2024, led to the arrest of over 700 suspects, including 500 Nigerians, 148 Chinese nationals, 40 Filipinos, two Kyrgyz nationals, and one Pakistani.

Investigations showed that a firm, Genting International Company Limited, controlled by a Chinese national, Huang Haoyu (Ken), was registered in mid-2024 as a front for the syndicate.

GICL employed about 200 Chinese nationals who recruited and supervised Nigerian youths in executing romance and investment scams targeting victims in the United States, Canada, Mexico, and Europe.

The EFCC stated that workers were assigned foreign WhatsApp numbers, primarily from Germany and Italy, to lure victims into transferring funds on a fraudulent online shopping platform.

Over N3.4bn in fraud proceeds was traced directly to Haoyu’s personal account, part of which was used to purchase mobile gadgets for the Nigerian recruits.

Following their initial prosecution, Haoyu and GICL were convicted and sentenced after pleading guilty to a seven-count charge bordering on cyber-terrorism, money laundering, and illegal foreign exchange transactions filed on March 7, 2025.

Counsel for the EFCC informed the court that the additional 431 mobile phones were subsequently recovered during follow-up investigations, prompting the anti-graft agency to secure an interim forfeiture order on July 8, 2026.

The commission confirmed full compliance with the court’s directive by publishing the interim order on August 11, 2026, to notify interested parties to show cause why the items should not be permanently forfeited.

Submitting that no party filed an objection upon the expiration of the statutory deadline, Kofarnaisa urged the court to grant the final forfeiture in the interest of justice.

Granting the prayers, Justice Dipeolu held that the applicant had satisfied all statutory requirements and accordingly ordered that the 431 mobile phones be permanently forfeited to the Federal Government.(Punch)