The Economic and Financial Crimes Commission, EFCC, has secured final forfeiture of 431 mobile phones allegedly linked to a cyber-fraud syndicate involving Chinese nationals and Nigerian youths.
Justice Deinde Dipeolu of the Federal High Court, Lagos, gave the order after the EFCC filed an application for permanent forfeiture.
The anti-graft agency told the court that the devices were acquired with proceeds of unlawful activities and were used to perpetrate internet fraud.
The application was brought as an action in rem under Section 17 of the Advance Fee Fraud and Other Related Offences Act, 2006, and Section 44(2)(b) of the 1999 Constitution.
In an affidavit, EFCC investigator Christopher Augustine alleged the phones were connected to an elaborate operation run by Chinese nationals in collaboration with Nigerian youths.
The Commission alleged some Chinese nationals alongside nationals from Kyrgyzstan, the Philippines and Pakistan, established a facility known as “HK” in Victoria Island, Lagos, with over 500 laptops, about 400 phones and SIM cards allegedly used for romance scams, cryptocurrency and investment fraud.
According to EFCC, Nigerian youths were recruited online and trained at the facility to engage in fraudulent activities.
A sting operation on December 10, 2024, led to arrest of over 700 people including about 500 Nigerians, 148 Chinese, 40 Filipinos, two Kyrgyz nationals and one Pakistani, the Commission said.
Suspects allegedly targeted victims in the US, Canada, Mexico and Europe through phishing and online communications.
EFCC alleged Genting International Company Limited (GICL) was incorporated in 2024 and controlled by Huang Haoyu, also known as Ken, with about 200 Chinese nationals as recruiters and supervisors.
Recruits were assigned WhatsApp accounts linked to foreign numbers including German and Italian numbers to engage victims in romantic conversations and purported business opportunities. Victims were directed to an online platform “www.yooto.com” with activation fees from $35.
EFCC alleged an account linked to Huang received over N3.4 billion as proceeds of unlawful activities and that Huang and GICL purchased phones for Nigerian youths in the operation.
Following investigation, EFCC filed seven-count charge against Huang, GICL and other foreign nationals on March 7, 2025, bordering on cyber terrorism, possession of fraudulent documents, failure to declare activities to SCUML, illegal forex transactions and money laundering. They pleaded guilty and were convicted.
EFCC said it later discovered additional 431 phones linked to convicts and on July 8, 2026 sought interim forfeiture. Justice Dipeolu granted it and ordered publication in a national newspaper for any claimant to show cause.
The Commission published the order in The Guardian on August 11, 2026. After no successful challenge, it sought final forfeiture, arguing proceedings were non-conviction-based under Section 17.
Citing Dame Patience Jonathan v FRN and La-Wari Furniture & Baths Ltd v FRN, EFCC urged court to grant order.
Justice Dipeolu granted the request and ordered final forfeiture of the phones to Federal Government.
