EFCC Places Real Estate Sector Under Surveillance, Warns of Money Laundering Risks

The Economic and Financial Crimes Commission (EFCC) has confirmed that it is closely monitoring the operations of real estate companies across Nigeria, citing growing concerns about the sector’s vulnerability to money laundering and fraud.

EFCC spokesperson Dele Oyewale stated that the commission had heightened scrutiny on real estate players nationwide, as the industry has increasingly become a channel for illicit financial activities.

“We are watching them, and we are insisting that they must comply with our laws. Real estate is a sector that is important to society, and we cannot allow it to operate on autopilot,” Oyewale said.

His comments come amid a social media storm ignited by influencer Scott Iguma, who accused Property World African Network (PWAN), a prominent real estate firm, of fraudulent practices. In a widely circulated video on social media platform X (formerly Twitter), Iguma alleged that PWAN had collected payments from investors but failed to allocate land as promised.

However, the situation took a legal turn when a Federal High Court in Ikoyi, Lagos ordered that Iguma be remanded in custody over allegations of criminal defamation. He is currently facing a 10-count charge relating to the publication of false information and defamation via his Instagram page, which has over a million followers.

The controversy reached the Lagos State House of Assembly, where Sesi Whingan, lawmaker representing Badagry Federal Constituency, called on the EFCC to investigate the allegations against PWAN.

“Negligence and failure of the commission to investigate multiple fraud petitions against PWAN, a real estate company, while a whistleblower is criminally targeted and remanded. I seek the leave of the house to file this petition,” he said during plenary.

Responding to concerns, Oyewale emphasized that the EFCC, through its Special Control Unit Against Money Laundering (SCUML), is enforcing the Money Laundering (Prevention and Prohibition) Act, 2022 within the real estate sector.

“By focus, we mean that they must report suspicious transactions to SCUML so that any breaches of the law can be identified. We are not waiting for them to send us reports; we are conducting our own intelligence gathering and discreet investigations into the activities of these real estate actors to ensure they comply with extant laws,” he explained.

Oyewale warned that any breach would be met with strict penalties.

“Any breach of any aspect of the law will attract appropriate sanctions. Therefore, we are maintaining constant watch over real estate actors to ensure they comply with our laws. Where we find any evidence of non-compliance, we will roll out sanctions,” he said.

He also revealed that the EFCC operates a dedicated Land and Property Fraud Section, which handles real estate-related fraud and is actively delivering results.

“Despite getting good results, we still need the public to collaborate with us by volunteering information and providing intelligence about the activities of these individuals. That way, even if we miss certain criminal activities, we can still tackle them and bring the culprits to justice,” Oyewale added.