Jesam Michael, Chief Executive Officer of Afriq Arbitrage System Limited, was on Tuesday, June 10, 2025, arraigned by the Economic and Financial Crimes Commission (EFCC) before Justice Obiora Egwuatu of the Federal High Court in Abuja for allegedly masterminding a high-profile investment scam that defrauded unsuspecting Nigerians of billions of naira.
Michael, along with his company, faces a seven-count charge bordering on obtaining money under false pretence, running unlicensed financial operations, and engaging in fraudulent investment management.
According to court documents, between September 2022 and June 2023, Jesam Michael, acting through Afriq Arbitrage System Limited, lured the public into depositing funds under the guise of operating a legitimate investment platform. However, investigations revealed that neither Michael nor his company held the appropriate banking or investment licences as required by Nigerian law.
One of the charges reads:
“That you, JESAM MICHAEL UBI, and AFRIQ ARBIQ ARBITRAGE SYSTEM LIMITED, between September 2022 and June 2023, in Abuja, within the jurisdiction of this Honorable Court, whilst not being a bank or authorised person to take deposits, invited the public through advertisements to deposit funds with your company, thereby committing an offence contrary to Section 44(1) and punishable under Section 44(2) of the Banks and Other Financial Institutions Act, 2020.”
Another count accused Michael of conducting financial business without a licence, in violation of Section 57 of the same Act.
The Afriq Arbitrage CEO pleaded not guilty to all the charges.
In response, the EFCC prosecutor requested a trial date, while the defence counsel, Uchenna Njoku, SAN, urged the court to grant bail to the defendant. The EFCC, however, filed a counter affidavit, warning that Michael posed a flight risk and could interfere with witnesses due to the weight of the evidence against him.
Justice Egwuatu denied the bail application and ordered that Jesam Michael be remanded at the Kuje Correctional Center until the commencement of trial.
EFCC sources revealed that the case against Michael was triggered by a deluge of petitions from investors who claimed they were swindled by the platform’s fake promises of high returns.
The matter has been adjourned to June 20, 2025 for trial. (First Weeekly Magazine)
