Senate regretted the collapse of CBEX, launching an investigation to Ponzi N1.3TN fraud

The Nigerian Senate has declared a national financial emergency and ordered a comprehensive investigation of the collapse of the Crypto Bridge Exchange (CBEX), a digital investment platform accused of deceiving Nigerians more than ₦ 1.3 trillion in what is now considered one of the largest Ponzi schemes in the country.

The decision of the senate followed a joint sponsored motion on Wednesday by the Senator Tokunbo Abiru (Lagos East) and Osta Izunaso (IMO West), which described the scandal as an indictment glared against the institutions of the rules assigned to protect the Nigerian financial system.

“This is not an isolated case. This is part of a disturbing pattern originating from MMM in 2016 and MBA Forex in 2020. Nigeria was robbed repeatedly,” Abiru said while presenting the motion. “More than ₦ 1.3 trillion lost from CBEX alone. Aftermath includes depression, suicide, and the loss of widespread trust in legal financial institutions.”

Senator expressed anger over what they called institutional satisfaction, pointing to the fingers to the Nigerian central bank (CBN), the Securities and Exchange Commission (SEC), the Economic and Financial Crime Commission (EFCC), and the Nigerian Financial Intelligence Unit (NFIU) because they failed to detect and prevent scams.

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Senator Tahir Monguno (Borno North) described the situation as “worrying,” insisting that legal reforms are needed. “We must strengthen our law and ensure that violators face full justice. Enough,” he said.

Sadiq Sadiq Umar (Kwara North) blunt in his criticism of the regulator: “The regulator must wake up. People trust them to act – not sleep.”

Increasing the call to accountability, Senator Solomon Adeola (Ogun West) warns about even deeper threats: “We are now looking at fintech companies that are not licensed hiding under digital innovation. CBN must tell us what the protection is and how many of these platforms are well checked.”

Senator Abdul Ningi (Bauchi Central) urged the National Assembly to activate his power under section 88 and 14 from the 1999 constitution to call and request the regulation institution accountability.

In a serious reflection, the President of the Senate Godswill Akpabio told of his own experience as a victim of the Ponzi scheme in the 1990s. “History is repeated, only now with more destroying consequences,” he said. “₦ 1.3 trillion passed – just like that. This is an emergency. The family is destroyed. Life has been lost. We must act quickly and firmly.”

Akpabio threw his weight behind a call to an urgent public audience and a national financial literacy campaign, stating: “We cannot sit while the Nigerians are robbed blind. We must act to prevent more suicide, restore trust, and reclaim our economy from digital predators.”

The Senate has now directed multi-communities investigations led by committees in the capital market; Banking, insurance, and other financial institutions; Anti-corruption and financial crime; and ICT & Cybersecurity.

The leadership committee is expected to hold a public investigation hearing and convey its findings within four weeks. MPs said that the investigation would be far beyond CBEX to expose gaps throughout the Nigerian digital financial ecosystem and recommend sweeping reforms to prevent future exploitation.

When the senate increases intervention, Nigeria is waiting for action – not just words – to ensure that the destroying financial collapse is never repeated.