EFCC SAYS PUBLIC FUNDS WERE MOVED FROM LG ACCOUNT INTO CRYPTO WALLETS

The Economic and Financial Crimes Commission has revealed that public funds were allegedly moved from a local government account to a private company and later transferred into cryptocurrency wallets.

EFCC Chairman Ola Olukoyede made the disclosure on Monday while speaking with media executives and journalists in Abuja.

According to him, the commission detected the suspicious transactions through its Fraud Risk Assessment and Control Department. The funds were temporarily frozen for 72 hours while investigators examined where the money was going and the reason for the transfers.

Olukoyede said the local government, state and private company involved were not being disclosed at this stage.

He questioned why public funds meant for development would be transferred through a company and eventually end up in cryptocurrency wallets.

The EFCC chairman stressed that the agency was moving towards preventing the loss of public funds rather than waiting until money had already been stolen before taking action.

He explained that cryptocurrency has increasingly become a channel used to hide and move allegedly stolen funds. According to him, some public officials allegedly use young people as fronts to create cryptocurrency wallets and move funds outside the country.

Olukoyede said the EFCC now has the ability to trace cryptocurrency wallets, particularly those connected to virtual asset platforms registered in Nigeria.

He also disclosed that the Federal Government had approved a national confiscation wallet where virtual assets recovered by law enforcement agencies would be kept.

The EFCC chairman's disclosure comes amid growing concerns over the use of digital assets in financial crimes. He said the changing nature of cybercrime requires law enforcement agencies and financial institutions to strengthen their technological capabilities.

Olukoyede also revealed that the EFCC recovered about ₦288.1 billion in federal and state tax revenues during the period under review.

He added that more than 40 EFCC personnel had been dismissed over alleged corruption and financial misconduct in the past two to three years, with some already facing prosecution.

The commission's latest position highlights its increasing focus on tracking suspicious financial transactions and preventing public funds from being diverted through traditional banking channels or cryptocurrency.