Federal Court Denies Bail to Afriq Arbitrage CEO Amid Massive Money Laundering Probe
A Federal High Court in Abuja has ordered the immediate remand of Jesam Michael, CEO of Afriq Arbitrage System (AAS) Limited, to Kuje Correctional Centre over serious allegations of investment fraud.
Justice Obiora Egwuatu made the ruling Tuesday after hearing Michael’s bail application, shortly following his arraignment on seven criminal charges. The Economic and Financial Crimes Commission (EFCC) accused him of offenses including money laundering and advance fee fraud.
The judge refused bail, emphasizing the seriousness of the charges and the strong evidence against Michael. EFCC’s lawyer, Martha Babatunde, informed the court that complaints were still pouring in from victims, numbering over 50,000, who lost funds in Michael’s failed investment scheme.
Highlighting concerns for Michael’s safety, Justice Egwuatu ordered that he be moved from EFCC custody to Kuje prison while awaiting trial. He also called for an expedited hearing, setting the trial’s start for June 20.
The EFCC’s charges, filed under case number FHC/ABJ/CR/134/2025, state that between September 2022 and June 2023, Michael and his firm solicited investments from the public without being a licensed bank or authorized financial institution. The agency claims the CEO’s platform defrauded investors of over $854,000 and ₦590 million.
Further allegations include unlawful financial service operations and laundering proceeds from the sale of properties linked to illegal activity. Notably, Michael is accused of convincing an investor to deposit over $844,000 into his platform under false pretenses of safety and refundability.
With investment scams on the rise, this case underscores the urgent need for stronger regulatory oversight in Nigeria’s booming cryptocurrency space.
