Nigerian Court Lifts Freeze On N89 Million In Bank Accounts Linked To Alleged Crypto Dealings

The Federal High Court in Abuja has lifted a freezing order on six bank accounts previously implicated by the Economic and Financial Crimes Commission (EFCC) for alleged illegal cryptocurrency transactions. Justice Emeka Nwite issued the ruling on Monday, following the EFCC’s disclosure that its investigation found no connection between the funds in the accounts and unlawful activities.

Accounts Unfrozen include:
Awe Microfinance Bank (₦2,367,624.45)
Olalekan Sibiku Adesugba (₦3,375,435.41)
Ad Ishola Farms (₦10,104,482.91)
H. Ishola Multibiz Int’l (₦16,505,822.74)
Microtech Investment Services (₦3,545,660.73)
HML Business Ventures (₦53,585,649.77)

Together, these accounts held a total of ₦89,484,694.01.

The EFCC initially secured a court order in September 2024 to freeze ₦548.6 million across multiple accounts, accusing the operators of engaging in cryptocurrency exchanges that contributed to the naira’s devaluation. The accounts were linked to trading on platforms like ByBit and KuCoin, which the EFCC claimed were driving parallel market volatility.

In an affidavit, EFCC investigator Okoro Philip alleged that between March and April 2024, the naira’s value against the dollar dropped dramatically from ₦980 to ₦1,250 due to these activities.

The EFCC’s investigation included analyzing financial records and interviewing account holders. EFCC operative Charles Anele confirmed that six accounts had no ties to illicit activities. However, other accounts remain under investigation, and some operators face criminal charges, including forfeitures under plea agreements.

At the hearing, EFCC counsel Ekele Iheanacho (SAN) requested the unfreezing of the identified accounts. Justice Nwite granted the application and directed that the affected banks be notified.

This case is part of a broader regulatory crackdown on cryptocurrency platforms by Nigerian authorities. The Central Bank of Nigeria (CBN) and the National Security Adviser (NSA) have intensified efforts to monitor crypto-related transactions, with platforms like Binance and KuCoin facing scrutiny for tax evasion and money laundering.

ByBit, one of the few exchanges still offering peer-to-peer trading in Nigeria, remains under watch amid accusations of facilitating market manipulation. The crackdown has led fintech companies such as OPay, Kuda, and Moniepoint to halt crypto transactions on their platforms.

The court’s ruling highlights the complexity of regulating cryptocurrency in Nigeria. While the unfreezing of accounts offers some relief to those exonerated, the broader crackdown signals continued regulatory vigilance over crypto-related activities in the country.