The Economic and Financial Crimes Commission (EFCC) has revealed that it is closely monitoring the real estate sector in Nigeria due to its vulnerability to money laundering and fraudulent practices.
EFCC spokesperson, Dele Oyewale, stated that real estate firms are now under increased scrutiny, stressing the commission’s resolve to enforce compliance with anti-money laundering laws. He emphasized that real estate, a critical sector in the economy, cannot be allowed to function unchecked.
“The sector is being watched because of its potential as a hub for money laundering. We are insisting on full compliance with the law. It cannot run on autopilot,” Oyewale said.
This development follows a recent controversy involving popular social media influencer, Scott Iguma, who accused Property World African Network (PWAN), a prominent real estate company, of collecting payments without allocating land to investors. The accusation went viral, sparking widespread debate online.
However, the situation took a legal turn when a Federal High Court in Ikoyi, Lagos, ordered Iguma’s remand over allegations of criminal defamation. He now faces a 10-count charge related to the publication of false information and defamation on his social media platforms, where he commands over one million followers.
Reacting to the situation, Sesi Whingan, a lawmaker representing Badagry Federal Constituency, raised concerns during a plenary session at the Lagos State House of Assembly. He criticized the EFCC for failing to act on multiple fraud petitions against PWAN while a whistleblower was being criminally prosecuted.
“I seek the leave of the House to file a petition over the negligence of the EFCC in investigating multiple fraud claims against PWAN,” Whingan declared.
Oyewale, however, reiterated the commission’s commitment to enforcing the Money Laundering (Prevention and Prohibition) Act, 2022, through the Special Control Unit Against Money Laundering (SCUML). He stated that real estate companies are required to report suspicious transactions to SCUML for proper oversight.
“We are not waiting for them to report. We are also conducting discreet investigations. Any breaches will attract sanctions,” he added.
He further disclosed that the EFCC has established a Land and Property Fraud Section specifically to address issues within the real estate sector
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