EFCC Arrest Pinkcoin Ponzi Scheme Operator over $77K Fraud


The EFCC has arrested the operator of Pinkcoin ponzi scheme. The suspect who had been at large allegedly defrauded people to the tune of N32 million.

May 31, 2021 | AtoZ MarketsNigeria's Economic and Financial Crimes Commission (EFCC) have detained Omotade-Sparks Amos Sewanu, the founder of the largest financial pyramid InksNation.

According to the anti-graft agency, the damage from the activities exceeded 32 million naira ($77,800).

Omotade-Sparks, who hails from Badagry, Lagos State, was declared wanted by the EFCC in November 2020 after efforts to apprehend him failed,” the anti-graft agency said.

According to the EFCC, since 2019, Sevanu has urged Nigerians to invest in the “digital currency” he created, Pinkoin, promising multiple growth in profits.

The suspect promised to eradicate poverty in Nigeria in six months by paying 120,000 naira ($291) to every citizen, including newborns, every month,” the EFCC said.

Also, within the framework of the InksNation project, he issued a Pink Card payment card. To increase the credibility of the company, Sewanu claimed to be an EFCC partner. However, he did not have a license to operate a financial institution.

In the summer of 2020, the Nigeria Blockchain Technology Association recognized Pinkoin as a Ponzi scheme.

Sewanu will be arraigned in court at the conclusion of investigation.

As a reminder, in March, the court of the Southern District of New York ordered the organizer of the Bitcoin pyramid Control-Finance Benjamin Reynolds to pay $143 million in damages to his clients and $429 million as a fine.

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