EFCC arrests businessman who defrauded 20,700 investors of N7bn

EFCC arrests businessman who defrauded 20,700 investors of N7bn

- A businessman, Baba Abba Dalori, has been arrested by the EFCC for defrauding 20,700 investors of the sum of N7 billion

- Dalori was said to have used the money given to him by investors for other business that were not known to investors

- During interrogation, the businessman said he diversified into sand mining, Haulage business (tipper), transportation

- However, the investors were never carried along, neither were they co-owners of the companies

The Economic and Financial Crimes Commission (EFCC) has detained Babagana Abba Dalori for allegedly collecting N7 billion from 20,700 investors.

Baba Abba Dalori, a 35 year old, is a 2010 graduate of Electrical/Electronics of University of Maiduguri and is the managing director of Galaxy Transportation and Construction Services Limited, The Nation reports.

The businessman promised his investors a high return of 135% and in some other cases, he said they could earn as much 200% on their investment.

The suspected businessman said he began his business in 2012 with just a tricycle (Keke NAPEP) and by 2014, the business grew with many showing interest, thereby the need to diversify.

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The document on the investigation partly revealed: “The suspect further claimed during interrogation by the EFCC operatives that he diversified into sand mining, Haulage business (tipper), transportation (commercial buses) while hundreds of investors were still falling on themselves to part with their hard earned money as the stake on Return on Investment had been raised from 135 percent to 200 percent.

“In 2016, Dalori veered into full transportation business as he registered Galaxy Transport and Construction Company with his mother as co-director.

“In 2017, he claimed that he invested about N400 million to acquire a quarry licence and started mining at Mpape, Abuja. He added that he had offices in 11 states and continued to lure his investors with mouthwatering returns.”

The document further showed that the businessman took the money from the investor and put in businesses other than what he told them the money will be going into.

He said: “He continued collecting money from investors until his investors rose to 20,700. But instead of concentrating on the line of business for which the investors had put their money, he further diversified as he registered and delved into Galaxy Global Energy Limited, Galaxy Miners Concepts Limited, Galaxy Global Farms, Galaxy Guest Palace Limited, Galaxy Hospital, Galaxy Computing, Galaxy Block making and Galaxy Car Wash.

“Investigation further revealed that in all the above companies registered, which spread across three cities of Abuja, Maiduguri and Yobe, the investors were never carried along, neither were they co-owners of the companies.”

It was also revealed that before the businessman was arrested, the investors had been disturbed over the safety of their investment, having put in between N2 million and N20 million into the business.

Dalori said that the returns on his business have been good until natural disasters and floods affected the investment.

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He said: “I have a mindset to be an entrepreneur and assist people and provide jobs since there are no white-collar jobs again. I started as a transporter with a tricycle at a Yarkasuwa Market Gwarimpa, Abuja and the Keke NAPEP later expanded to 50 tricycles. All I was doing was to assist fellow Nigerians and I have no intention defraud anyone."

Meanwhile, Legit.ng earlier reported that nine senior officials of the Federal Inland Revenue Service (FIRS) were reportedly arrested by operatives of the EFCC.

It was reported that the officials were arrested over the illegal diversion of N6 billion tax funds that should have gone to the Nigerian government.

Legit.ng also gathered that the director of finance and accounts of the FIRS, Mohammed Auta, is one of those in detention.

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Source: Legit

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