The Securities and Exchange Commission (SEC) has launched an extensive investigation into 79 suspected Ponzi schemes, including the controversial FF Tiffany, which has allegedly defrauded thousands of Nigerians at home and abroad.
In a statement released on Tuesday, SEC described the fraudulent investment schemes as a serious threat to investor confidence and the integrity of Nigeria’s financial system, promising to prosecute those found culpable under the Investment and Securities Act.
Preliminary investigations reveal that FF Tiffany lured unsuspecting investors with unrealistic promises of unusually high returns, resulting in the loss of several billions of naira. Victims of the scheme, many of whom are based in Nigeria and the diaspora, reportedly invested life savings and pension funds in the hope of quick wealth.
SEC said it is working closely with law enforcement agencies and other financial regulatory bodies to trace funds, freeze suspicious accounts, and apprehend key operators of the schemes.
“Those found culpable will be prosecuted in accordance with regulatory provisions. The Commission remains committed to protecting investors and restoring confidence in Nigeria’s capital market,” SEC assured in the statement.
The Commission disclosed that a total of 79 Ponzi and illegal investment schemes are currently under investigation, with findings expected to be made public at the conclusion of the probe.
This development comes amid rising public concern over the proliferation of fake investment platforms in Nigeria, which promise returns as high as 30 to 50 per cent monthly—a red flag commonly associated with Ponzi operations.
Financial analysts warn that such schemes exploit the country’s economic hardship, targeting low- and middle-income earners desperate for quick financial relief.
SEC has advised Nigerians to verify the registration status of any investment firm or product by visiting its official website or contacting the Commission directly through its customer service channels.
The Commission stressed that legitimate investment products must be registered and approved before being offered to the public. “If it sounds too good to be true, it probably is,” the regulator warned.
In an effort to curb the spread of Ponzi schemes, SEC has intensified nationwide sensitization campaigns, particularly targeting traders, artisans, and rural communities who are most vulnerable.
The Director-General of SEC, Dr. Emomotimi Agama, has been leading public awareness drives, distributing informational materials and engaging directly with market traders on the dangers of unregulated investments.
Agama stressed that while SEC will continue to clamp down on illegal operators, Nigerians must take personal responsibility by making informed investment decisions.
Ponzi schemes have remained a recurring menace in Nigeria’s financial landscape, with previous high-profile scams like MMM and MBA Forex wiping out billions in investor funds. Despite regulatory crackdowns, fraudsters continue to exploit loopholes in the system and the desperation of Nigerians facing economic hardship.
Experts say that beyond enforcement, government must strengthen financial literacy programmes and create more credible investment opportunities to discourage citizens from patronizing unregistered schemes.
For now, all eyes are on SEC’s investigation as victims of FF Tiffany and other schemes await justice and possible recovery of their funds.