Nigerian Billionaire Breaks Silence on US Fraud Allegation, Steps Down as Co-CEO
- Nigerian billionaire businessman Dozy Mmobuosi has finally reacted to fraud allegations from the US
- The US government accused him of lying about the amount of funds in its company's Tingo subsidiary
- Mmobuosi operates three affiliated US-based entities, of which he is the chief executive officer of Tingo Group Inc., Agri-Fintech Holdings Inc., and Tingo International Holdings Inc
The founder of Tingo, Dozy Mmobuosi, has stepped down as Interim Co-Chief Executive Officer and Member of the Board of Directors of Tingo group.
This is in reaction to allegations of fraud levelled against him and his group of companies by the United States Securities and Exchange Commission (SEC).
Source: Facebook
In a statement released on Friday, December 22, 2023, Mmobuosi described the allegations as untrue and baseless.
The statement from Mmobuosi reads:
"Mmobuosi wishes to make it unequivocally clear that these allegations are baseless and he will contest them with unwavering resolve.
" As this matter is currently under legal scrutiny, and following the advice of legal counsel, Mr. Mmobuosi will refrain from making any further public statements regarding this issue.
"It is Mmobuosi’s intention to address and resolve these allegations within the appropriate legal framework.
"He is committed to cooperating with the legal process to ensure a thorough and fair examination of the facts, which he believes will ultimately lead to his exoneration.
"We appreciate the understanding of the media and the public during this time and request respect for the legal process and the principles of justice.”
The company also announced the appointment of co-CEO, Mr. Ken Denos as the interim group CEO until further notice.
Details of the charges against Tingo
According to the SEC, Mmobuosi is being charged with an alleged multi-year scheme to inflate the financial performance metrics of his companies and key operating subsidiaries to defraud investors worldwide.
SEC also noted that it seeks emergency relief to prevent the defendants' continued dissemination of false information to investors and protect corporate and investor assets.
The commission added that Mmobuosi was being charged with lying to auditors, insider trading, and failing to file Form 4 disclosing the sales of millions of Agri-Fintech common stock for which he was the ultimate beneficial owner.
Another Nigerian fintech startup shuts down after raising $2m from over 18 investors
Legit.ng reported that Pivo, a finance business based in Nigeria, intends to cease operations.
The firm closed after a $2 million seed round led by Y Combinator, Ventures Platform, Mercy Corp Ventures, and more than fifteen other investors.
While a source confirmed the closure to TechCabal, the company declined to provide specific details but said that will be done later.
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Source: Legit.ng
