Alleged Multi-Million Fraud: Anambra Police Boss, Adeoye Fingered

Anambra state Police Commissioner, Aderemi Adeoye, may have to do more than brainstorming over policing intelligence to prime himself away from being consumed by a lithany of multi million fraud allegations levelled against him by a diaspora group over his role in Alpha Trust Investment Club, ATIC, a Ponzi scheme. 

His accusers, a group of foreign-based Nigerians, mostly professionals, have petitioned the Inspector General of Police, Kayode Egbetokun, asking him to use his good office to investigate an elaborate scheme put in place by the police officer to defraud them of their hard earned monies totaling about N20bn.

They want the IG to expedite the investigation process before Adeoye retires from service.

In the petition dated January 30, 2024, the petitioners alleged that they became friends with the police commissioner, who was then serving with the African Union, AU, on secondment, via his Facebook platform. They alleged that he endeared himself to them by projecting the image of an upright man and a champion for victims of fraud, adding that he also claimed to have aided fraud victims, particular those fleeced via Facebook. The claims, they said, endeared him to many and subsequently earned their trust.  

“Sometime around 2017, we became “friends” with Mr Adeoye on the Facebook social media site. At the time, he was serving in the African Union on secondment from Nigeria. He endeared himself to us and many others by projecting himself as a champion for victims of fraud and an upright man. Often, he claimed to have come to the aid of persons who had been defrauded on Facebook. He got many accolades from many of us for these claims. As time will show, these claims were a deliberate and well-planned effort by him to win the trust of many of us on Facebook as a precursor to launching his grand scheme.”

Having earned their trust, the petitioners alleged that Adeoye went on to approach and intimate some of them with the ATIC scheme, a cooperative investment club that variously invests members’ funds from which profits are shared on the basis of individual investment. The investment also includes large parvel of landed property acquired at bargained prices.

“Riding on his popularity, sometime in 2018, Adeoye approached a group of his friends on Facebook, including some of the undersigned, and informed us about the setting up of a cooperative investment club. His idea was that members of the cooperative club will pull funds together to invest in various products and platforms and profits will be shared based on the investments made by each member. He also suggested that members can get bargain prices by buying landed properties together in a large group,”the petitioners told the IG.

The petitioners explained that they keyed into the project believing that the scheme was a right investment opportunity particularly as it was coming from a high ranking police officer. They added that their level of trust on the man was so high that they channelled their initial investment funds directly into his personal bank account until the club's registration processes were perfected. However, the outfit was solely managed by him even though payment on investment were then being paid through the club’s account and other “subsidiary accounts…’ related to it but also set up and managed solely by him. 

“His suggestion was welcomed by many of us, especially those in the diaspora. It was seen as an opportunity to invest in Nigeria and, as it is fronted and led by a senior Police Officer, such investments can be done in an atmosphere of trust and confidence. Indeed, the trust level on Mr Adeoye was so high and the attraction of his suggestion was so strong that initial payments for investments were made directly to his personal bank account. Subsequently, when the club was set up with the name of Alpha Trust Investment Club, ATIC. A bank account in the name of a company called ATIC Ventures and Business was created solely by Mr. Adeoye and payments were now routed through that bank account and other subsidiary accounts related to it set up by him. This registration brought the Club under Corporate and Allied Matters Act law of the federation.”

Besides being registered under the Corporate Affairs Commission, CAC, in 2018, the club also became registered with the Lagos state government two years later, as a Multi-Purpose Cooperative Society, following a boom in membership, so much so that by 2023, membership strength grew from about 400 at inception to over 1,400s within the period under review.

But investors began to smell trouble when, rather than run the club by setting up structures in line with the statutory provisions that would position Adeoye in an advisory position, with a Board of Trustees, BoT, and an Executive Management Committee in charge, he continued to run the club as a personal business, ignoring demands for transparency and accountability. 

“In accordance with the laws guiding Cooperatives, members expected that ATIC would set up structures in compliance with the laws and that Mr. Aderemi Adeoye would only stand in an advisory role and ensuring compliance as a serving public servant. To this end, a “Board of Trustees” and an “Executive Management Committee” were purportedly set up. However, it soon became clear that ATIC structures were only in name, as Mr Adeoye warehoused and controlled the Club and ran it like a personal business. Demands for transparency and accountability were routinely ignored or shouted down. Club structures were rendered redundant, access to information was denied and threats were routinely used to keep members silent. To compound matters, investments made by members were shrouded in secrecy and opacity, with no clarity in sums invested, contracts entered with third parties, and decision-making processes that lead to investments. All these and more have led to the resignation of some of the members of the so-called “BOT” and our desire to seek your intervention to save us from monumental losses arising from one man’s devious plans.”

Investors became more worried because ATIC, which had become a N20bn investment concern had no physical address, website, staff, and documentations relating to individual investments and purchases through the Club. Records of investor's collective assets were also not made available to beneficiaries. These concerns and more, they wrote, led to the petition to the IG.

“We the undersigned write to seek your intervention in the case of the operation of a Ponzi Scheme, fraudulent diversion, and misappropriation of funds by Mr Aderemi Olufemi Adeoye. Acts in violation of code of conduct of a public officer under the Nigerian Code of Conduct Bureau and Tribunal Act, Banks and Other Financial Institutions Act, Co- Operative Society Law of Lagos State, and the Constitution of the Federal Republic of Nigeria. The said Mr Adeoye is in the employ of the Nigeria Police Force and currently serves as the Commissioner of the Anambra Police Command,” the petitioners appealed.

In the main, the petitioners are miffed that there is absolute lack of accountability, proper administrative structure in the manner Adeoye ran the affairs of the club. They added that he also instituted a regime of gross abuse of powers, intimidation, arbitrary punitive action against members, negligence of duty and among others, non adherence to regulatory requirements.

In particular, the petitioners alleged that Adeoye refused to set up an investment committee given that a serving police officer cannot run a commercial and investment concerns like the ATIC;  

Instead, he allegedly converted the Board of Trustees into an “Advisory” role in spite of extant regulatory provisions, particularly as it affects corporate governance structures, one that makes him ATIC’s sole administrator.

They listed Adeoye’s other alleged sins to include arbitrary removal of members for questioning his anomalous and autocratic attitude without paying them their entitlements and a refund of or return on their investments; unauthorized registration of club name and bank accounts without the approval of the BoT; failure to enact constitution for the club despite several appeals; refusal to audit the club’s account; failure to provide the number of issued shares; failure to establish a website. Office; lack of record keeping; inflated land prices and failure to perfect members’ land holding with documentation as it is the case Epe Pavillion, Swiss Luxury Estate, Miami Beach Estate and another they simply referred to as “Jos Land”.

According to the petitioners, members paid for 500 plots to get 100 as attached bonus under the Epe Pavilion. They alleged that although allocations were made to buyers immediately after full payment, none of the buyers received any documentation on the land even as allegations persist that the said land does not exist.

The case in Swiss Luxury Estate is not any different. According to the petitioners, members made payment for for several plots but received no land or documentation, a development that fuelled the belief that the land does not also exist as it is the case with Epe Pavillion. 

They also cited the instance of the Miami Beach Estate and “Jos Land”. The case with the former is that whereas individual members made payment for several plots of land which were supposed to have been allocated immediately after purchase, none received any three years later. Like the other land cases, Adeoye neither produced any documentation nor allocated any land. They alleged that findings from private investigations reveal that the said area is under government acquisition.

The situation with “Jos Land” is that Adeoye allegedly collected money from some members. claiming to have secured some plots of land for purchase in the plateau state capital. However, he returned only to inform members that the land was no longer available, assuring however, that another location would be provided for those with interest. Sadly, no new location was provided just as those who requested for a refund of their money got nothing.

The case with the ATIC City in Port Harcourt is another contentious deal the petitioners want the IG to look into. The petitioners claimed that the Anammbra police boss collected money from members to buy land in a proposed “ATIC City” but came back to claim that the same land was no longer available, insisting that another alternative area had been provided. They added that he collected subscriptions for 1,500 plots of land but turned around to inform them that only 500 plots are available. However, he is said to have refused to refund people’s money as of the time they filed the petition.

Other cases include CITA Estate, Ogun State, Shimawa Cape Town and Jerusalem Estates. According to his accusers, Adeoye convinced members of the club into buying plots of land in the first of the trio but reportedly converted same into a farm. He is said to have procured the last two on behalf of the Club for interested members but failed tp present documentation just as no and allocation has been made.

There is also the Failed Banana Island Project, a commercial estate that was arranged against the decision of club members. However, Adeoye is said to have unilaterally diverted about N1bn of the Club and individuals’ money into what they called “a suspicious Banana Island property”. In addition, he reportedly told members that it was a two-year project, meaning that investors would harvest 400% return on investment after two years. But three years later, no development has taken place on the said land. 

Adeoye is also alleged to have convinced some members of the club into investing in Crypto sometime in 2022. Falsely assuring them that he was placing their funds in monetized Crypto with a promise of “10% Roll Over Investment, ROI, every month for one year, come rain or shine”, he convinced them into parting with their money after which he reportedly paid for one month. Sadly, the scheme that he claim would last for only 12 months has dragged on for more than 20 months with investors in the dark in respect of what is going on. Invested monies is said to be in billions.

ATIC Club members are said to be ruing their many plights over his claimed investments in both the Nigerian and New York Stock Exchanges allegedly facilitated by the senior police officer. According to the petition, he claimed to have invested some of the club’s monies into socks in both exchanges without providing details to members. 

They also claimed that in place of the BoT, he unilaterally rubber stamps decisions, insisting he is not responsible to anyone. Arguably to drive home the point, he reportedly changed the name from Board of Trustees, BoT, to “Advisory Board of Trustee”, ABoT. In another display of his resolve, he expelled a BoT member who dared to question the change of name.

”When some members of the so called “BOT” that he uses as rubber stamp for his unilateral actions finally had the guts to raise questions about the management of the group’s funds, he told them that he does not have to listen to them and that he is personally responsible for all the funds. He said they are merely advisers and immediately changed the name of the Board to “Advisory Board of Trustees.” When one of the undersigned asked him how a Trustee can be an Adviser, he expelled him from the Club,” the petitioners alleged.

While emphasizing that the intention of the petition is not to embarrass the present administration that has been trying hard to attract diaspora investment back to the country, the group cautioned that the experience they received from Adeoye has dealt a big blow on their confidence. They therefore urged both the IG and the federal government to act on the petition before it is too late, particularly now that the man in the eye of the storm will be retiring soon, with plans to relocate his family out of the country. 

“It is not our intention to embarrass this administration which has been trying hard to attract diaspora investments to Nigeria. But our experience with Mr. Adeoye, who is of Commissioner of Police caliber is a very nasty one and has shaken our confidence in the system. We are just a group of professionals and business people spread across the world who are trying to save something for our retirement by investing in our home country and for our kids in their fatherland, based on the trust we had in Mr Adeoye. But he painfully broke the trust.

“We recently learned that Mr Adeoye would be retiring from the Police sometime in March this year. We also learned that he has moved his family out of Nigeria. The N20billion Cooperative has no physical address, no website, no staff, and no documentation relating to individual purchases through the Club, no record of our collective assets available to members. They are all in the custody of Mr Aderemi Adeoye if they exist at all. The only things that members have as proof of their multi- billion investments are whatever he says and a Facebook page! That Facebook page is at risk of being shut down at any time, and he may become inaccessible after retirement.

“We the undersigned members of the Club with over N500m investment in the scheme repose a lot of confidence in your office and the corruption- fighting stance of President Bola Ahmed Tinubu. We are trusting your good office to investigate and take immediate actions on this matter as a primus case involving virtual investment of Nigerians in diaspora to encourage more investment at home, as failure to take a prompt and decisive action in this case would not only lead to further discouragement of diaspora investment in our beloved nation but may cause an untold embarrassment to this administration that is trying so hard to curb corruption in high places, since this matter involves a sitting Commissioner of Police in one of the most volatile states in the country.

“We are requesting that Officer Adeoye be compelled to disengage from running the investments with immediate effect, with an undertaking not to touch or deal in any assets belonging to the Club, since his involvement in the scheme, and dealing in the business as a public servant, in the first place, is prima facially illegal ab initio and as a matter of law.

“That a full audit of his activities has been carried out by an independent and reputable audit company and that he be prosecuted if found culpable.

“We are requesting that you place an immediate ban on the following accounts with the under-listed banks into which members have deposited funds at one point or the other, and all accounts in all other banks traceable to the BVNs linked to them because of the possibility of capital flight immediately this becomes public,” they pleaded.

According to the petitioners, the IG should instruct whoever he deems fit as Custodian of the accounts into which members’ investment monies were paid. 

“That you instruct whoever you appoint as the custodian of the accounts to pay the undersigned our invested funds with the promised interests, allocate our land to us immediately or pay us the current fair market value of the landed properties.

“We are mindful of his influence as a sitting Police Commissioner, a position and rank that he has used consistently to intimidate, bully, and threaten those of us who have been bold enough to ask him questions. He has boasted to people that he is a senior Police Officer and that as a friend of the Inspector General of Police he is aware of what he is doing, therefore nothing would happen to him. We refuse to believe this.

“We would greatly appreciate your taking prompt action regarding these accounts pending a resolution of this matter.”

FreshNews multi-media reached out to CP Adeoye through the Spokesperson, Anambra state Police Command, DSP Ikenga Tochukwu, for his reaction. A reminder was also dispatched to him via the spokesperson’s official social media number. However, there was no response as at the time of going to press.