Justice Refuses Bail to CEO of Afriq Arbitrage System Over Alleged Investment Fraud

Strategic Insights -

Justice Obiora Egwuatu of a Federal High Court in Abuja has refused to admit to bail the Chief Executive Officer (CEO) of Afriq Arbitrage System (AAS) Limited, Mr. Jesam Michael, who is standing trial on an alleged investment fraud running into hundreds of million naira. The judge took the decision based on the weight of the allegations against the defendant as well as the defendant's safety. While turning down the bail application, Justice Egwuatu subsequently ordered that he be remanded in the Kuje Correctional Center, pending the determination of trial.

Key Takeaways:

  • Mr. Jesam Michael, the CEO of Afriq Arbitrage System Limited, has been denied bail by Justice Obiora Egwuatu of a Federal High Court in Abuja due to the weight of allegations against him.
  • The EFCC alleged that Michael and his company engaged in money laundering, advance fee fraud, and other financial crimes, totaling $844,416.36, N590 million, and another $10,000.
  • The judge cited the defendant's safety as a reason for denying bail, stating that over 50,000 investors have been affected by the scam and are still receiving petitions against Michael.
  • Justice Egwuatu also mentioned that the defendant was arrested while attempting to leave the country, making it unlikely for him to return to face trial.
  • The judge ordered accelerated hearing of the case and directed that Michael be transferred from the EFCC custody to Kuje Correctional Center pending the conclusion of his trial.
  • The court adjourned the matter until June 20 for trial, with Justice Egwuatu stating that investment fraud is now rampant in Nigeria.

Statistics:

  • $844,416.36: the amount allegedly laundered by Michael and his company.
  • N590 million: the amount allegedly converted by Michael and his company from the sale of properties recovered from Oluwasesan Abayomi.
  • 50,000+: the number of investors affected by the scam, according to the EFCC.
  • 2022: the year when the alleged advance fee fraud occurred.
  • 2023: the year when the alleged money laundering and other financial crimes occurred.
  • June 20: the date set for the trial.

Sources:

  • "EFCC Arraigns CEO of Afriq Arbitrage System Over Alleged Investment Fraud" - available online.
  • "Federal High Court Refuses to Grant Bail to CEO of Afriq Arbitrage System" - available online.
  • EFCC's charge marked: FHC/ABJ/CR/134/2025.