Court Orders Winding Up of Illegal Capital Market Firm in Lagos

Justice C.J. Aneke of the Federal High Court, Ikoyi, Lagos, on Thursday, May 22, 2025, ordered the winding up of CJC Markets Limited, a fraudulent collective investment scheme operator, for failing to register with the Securities and Exchange Commission (SEC).

The order followed the arraignment of the company by the Lagos Zonal Directorate 2 of the Economic and Financial Crimes Commission (EFCC) on a one-count charge of investment fraud.

According to the EFCC, a petitioner alleged that in January, CJC Markets Limited collected N30 million from one Wamyil Mangna under the pretense of offering a 30% Return on Investment (ROI). Investigations revealed that the company was not registered with either the Central Bank of Nigeria (CBN) or the SEC to engage in capital market operations or solicit investments.

The charge reads:
“That you, CJC MARKETS LIMITED, being a company incorporated in Nigeria, Aihua Chen (at large) and Okungbeni Dickson (at large), being the Directors respectively, sometime in 2021 in Nigeria, within the Judicial Division of this Honourable Court, while carrying on your scheme of Collective Investment, failed to register with the Securities and Exchange Commission, and thereby committed an offence contrary to Section 54(1) of the Investment and Securities Act, 2007, and punishable under Section 54(6) of the same Act.”

A guilty plea was entered on behalf of the company.

Prosecution counsel, Abdulhamid L. Tukur, presented Christian Chukwu, an EFCC operative, to review the facts of the case. Chukwu testified that the Commission received a petition from Matthew Burkaa & Co. Legal Practitioners on behalf of the petitioner, Mangna. He further explained that the EFCC contacted UBA, CBN, and SEC, all of whom responded to inquiries, and that the company’s finance officer, Mr. Kolawole Josiah, voluntarily provided a statement.

Chukwu identified and submitted as evidence the petition, correspondence with the regulatory bodies, and the finance officer’s statement. The documents were admitted and marked as exhibits.

Following this, the prosecution prayed the court to convict and sentence the company. Defense counsel, Adeniyi Komolafe, urged the court to order the winding up of the company.

Justice Aneke convicted CJC Markets Limited as charged and ordered its winding up and delisting from the Corporate Affairs Commission (CAC) for operating an unregistered and fraudulent collective investment scheme.