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| Economic and Financial Crimes Commission |
The Economic and Financial Crimes Commission (EFCC) has arrested the chief executive officer of Galaxy Transportation and Construction Services Limited, Babagana Dalori, who allegedly ran a Ponzi Scheme.
Dalori allegedly defrauded 27,400 Nigerians of about N7billion by promising of huge returns on their investment in his companies.
A statement released by the EFCC stated that Dalori initially paid investors a 200 per cent interest before he reduced the interest to 135 per cent.
He pushed his scheme to a wide audience through advertisements on radio and television. He also got A-list Nollywood actors to act in a movie called “Zero Hour” that sought to help convince members of the public to invest in his companies.
According to the EFCC, the Ponzi scheme crashed, in 2018, six years after Dalori incorporated the firm with one tricycle (Keke NAPEP).
The Galaxy boss, who is undergoing interrogation at EFCC, used the money from investors to diversify into other business ventures.
“At the moment, he has used the investors money to incorporate different entities without getting their consent. He now has Galaxy Global Energy Concept Ltd, Galaxy Miners Concept Ltd, Galaxy Global Farms, Galaxy Computers, Galaxy Block Making Factory, Galaxy Hospital and Galaxy Hotel,” a victim told EFCC.
Dalori and his company have committed a criminal act punishable by the Banks and Other Financial Institutions Act, according to the EFCC.
“At the moment, all bank accounts belonging to Galaxy have been frozen in order to prevent further dissipation of investors’ funds, pending the conclusion of investigation,” the statement said.
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Dalori allegedly defrauded 27,400 Nigerians of about N7billion by promising of huge returns on their investment in his companies.
A statement released by the EFCC stated that Dalori initially paid investors a 200 per cent interest before he reduced the interest to 135 per cent.
He pushed his scheme to a wide audience through advertisements on radio and television. He also got A-list Nollywood actors to act in a movie called “Zero Hour” that sought to help convince members of the public to invest in his companies.
According to the EFCC, the Ponzi scheme crashed, in 2018, six years after Dalori incorporated the firm with one tricycle (Keke NAPEP).
The Galaxy boss, who is undergoing interrogation at EFCC, used the money from investors to diversify into other business ventures.
“At the moment, he has used the investors money to incorporate different entities without getting their consent. He now has Galaxy Global Energy Concept Ltd, Galaxy Miners Concept Ltd, Galaxy Global Farms, Galaxy Computers, Galaxy Block Making Factory, Galaxy Hospital and Galaxy Hotel,” a victim told EFCC.
Dalori and his company have committed a criminal act punishable by the Banks and Other Financial Institutions Act, according to the EFCC.
“At the moment, all bank accounts belonging to Galaxy have been frozen in order to prevent further dissipation of investors’ funds, pending the conclusion of investigation,” the statement said.
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