SEC, NOA sign MoU to fight Ponzi schemes

In a decisive move to curb the growing menace of fraudulent investment schemes, the Securities and Exchange Commission (SEC) Nigeria and the National Orientation Agency (NOA) have formalised a strategic partnership aimed at protecting Nigerians through widespread public enlightenment campaigns.

The collaboration was sealed on Wednesday in Abuja with the signing of a Memorandum of Understanding (MoU), marking a renewed commitment by both agencies to tackle illegal investment operations, particularly Ponzi schemes, which have continued to defraud unsuspecting citizens across the country.

Speaking at the ceremony, the Director-General of the SEC, Emomotimi Agama, underscored the urgency of educating Nigerians, especially those in rural communities, on the risks associated with unregistered investment platforms. Represented by the Executive Commissioner, Operations, Mr Bola Ajomale, Agama warned that promises of unusually high and guaranteed returns remain clear indicators of fraudulent schemes.

“We have been deeply concerned about the increasing rate at which Nigerians are losing their hard-earned money to illegal operators,” he said. “While we have intensified our awareness campaigns and engaged market operators, we recognise that more needs to be done. The NOA’s nationwide reach makes this partnership critical to achieving meaningful impact.”

Agama reiterated that such schemes are not legitimate investments and advised the public to always verify the registration status of companies with the SEC before committing funds. He added that the commission’s collaboration with other government bodies reflects a broader, coordinated effort to safeguard investors and strengthen market integrity.

In his remarks, the Director-General of the NOA, Lanre Issa-Onilu, described the partnership as timely and necessary, given the scale of losses suffered by victims of Ponzi schemes.

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Represented by the Director of Special Duties and Zonal Coordination, Mr David Akoji, Issa-Onilu disclosed that the agency has already mobilised its structures nationwide to ensure swift implementation of the agreement.

“Nigerians are highly vulnerable to these schemes, and the consequences have been devastating,” he noted. “We are fully committed to this collaboration and will begin work immediately to sensitise citizens on the dangers of engaging with such fraudulent platforms.”

The SEC-NOA alliance is expected to drive aggressive grassroots campaigns, leveraging the NOA’s extensive community network to disseminate critical financial literacy messages, particularly in underserved areas.