The Federal Government has arraigned Dantata Success and Profitable Company and their promoters before the Federal High Court in Abuja for investment fraud amounting to over N2bn.
According to a statement from the Securities and Exchange Commission, those charged along with the company are Basira Ibrahim Dantata, Lawan Sanni and Gaji Ibrahim Dantata.
The defendants who were arraigned before Justice A. I Chikere of Federal High Court 3 were alleged to have between 2018 and 2019 within the jurisdiction of the court with intent to defraud invited about 7,250 investing public to subscribe and invest in an unregistered investment scheme amounting to over N2bn.
According to the charge, they committed an offence contrary to Section 54 of the Investments and Securities Act 2007 and punishable under same section.
When the matter came up in court, one of the defendants Gaji Dantata was not available due to health reasons.
Justice Chikere thereby adjourned the matter to November 5 for plea and motion filed by the defendants.
The SEC had pursuant to its powers under Section 13 (w) of the Investments and Securities Act (ISA), 2007, on 6 February 2019 sealed the business premises of Dantata Success & Profitable Company, a company that had allegedly been engaging in illegal activities in the Nigerian capital market.
In addition, the commission obtained court orders to freeze the bank accounts of the company to preserve the funds of investors in line with Section 13 (x) of the ISA 2007.
According to SEC, the company was not registered or authorised by the commission to engage in any activity in the capital markets.
The commission also had issued a warning to the public that Dantata Success & Profitable Company and any individuals representing them were not registered and therefore not entitled to provide investment advisory or services in Nigeria.