EFCC boss raises alarm over Fraudsters using Real Estate to launder Proceeds

By Kazeem Ugbodaga

The Chairman of the Economic and Financial Crimes Commission (EFCC), Ola Olukoyede, has warned that fraudsters are increasingly exploiting Nigeria’s real estate sector to conceal illicit proceeds, urging property managers to guard against becoming unwitting tools for money laundering.

Olukoyede issued the warning when he received executives of the Association of Real Estate and Property Managers (AREAPM), Edo State branch, during a courtesy visit to the Benin Zonal Directorate of the Commission on Wednesday.

Speaking through the Acting Zonal Director, Deputy Commander of the Commission, DCE Sa’ad Hanafi Sa’ad, the EFCC boss expressed concern that criminals are channelling stolen funds into property investments to legitimise their gains.

“We have noted with grave concern that fraudsters are laundering money and hiding proceeds of crime through real estate and property. People now defraud the government and individuals and invest in real estate,” he said.

He stressed that the Commission would continue to enforce its statutory mandate by pursuing individuals and entities that attempt to circumvent financial regulations.

Olukoyede reminded real estate professionals that they fall within the category of Designated Non-Financial Businesses and Professions (DNFBPs) and are therefore bound by strict compliance obligations under anti-money laundering laws.

“As a Commission, we recognise the role of Real Estate and Property Managers. Property Managers are Designated Non-financial Businesses and Professions. So we expect them to be professionals and uphold the relevant rules and regulations in the discharge of their duties,” he said, adding that “The Commission will apply the laws when there is a breach of relevant rules and regulations.”

The EFCC Chairman also pointed to the Commission’s specialised Land and Property Fraud Section, established to investigate and address fraudulent activities within the property market. He encouraged operators to report suspicious transactions and seek guidance where necessary.

“We have a unit, the Land and Property Fraud Section which attends to issues in that regard. So when you have challenges, you can report to us,” he added.

In his remarks, the Edo State Chairman of AREAPM, Akpesiri Michael Egbonoje, said the association sought stronger collaboration with the EFCC to combat financial crimes in the property sector.

“Part of our strategy is to familiarise ourselves with law enforcement agencies in the state and seek for collaborative relationships. As a body, we cannot do it alone, we need help in areas of financial crimes. We have tried to sanitise the space but we realised that your agency is at the apex when it comes to dealing with financial crimes,” he said.

Egbonoje further expressed optimism that a structured partnership between AREAPM and the EFCC would enhance transparency and boost investor confidence.