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Hundreds Left in Tears as Latest Ponzi Scheme Collapses in Cross River State
🇳🇬 Nigeria /Crime & Justice

Hundreds Left in Tears as Latest Ponzi Scheme Collapses in Cross River State

From Vanguard · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Named sources Outcome reported
  • Residents of Cross River State have fallen victim to another Ponzi scheme, TAG Investment Platform, which collapsed after three weeks.
  • Angry clients stormed the company's office, looting remaining items as operators fled.
  • This incident marks a recurring pattern of investment fraud in the state, with past schemes also causing significant financial losses.

Residents of Cross River State are once again reeling from the collapse of a Ponzi scheme, this time TAG Investment Platform, which operated for a mere three weeks in Calabar before vanishing. The scheme's abrupt end left hundreds of investors in despair, with angry clients storming the company's office on Friday. They discovered the operators had fled, prompting a chaotic scene where individuals carted away whatever items remained, including bags of rice, office furniture, and bicycles, in a desperate attempt to recoup some of their losses.

I invested N500,000 in the first week and got N1 million. Because of the high returns, I reinvested the money and was due to get it on Friday, only to learn that the people had run away.

— OgwajeA distraught trader and victim of the TAG Investment Platform Ponzi scheme, describing her experience.

One distraught trader, Ogwaje, who invested N500,000 and initially saw her investment double, recounted her shock. She had reinvested the money, expecting a payout on Friday, only to find the operators gone. "This is deliberate. They knew they would run away, that was why they gave most people Friday morning as the date to come for their funds," she lamented, highlighting the calculated nature of the fraud. Another victim was seen frantically searching for her stolen phone amidst the scramble for office items, underscoring the desperation and chaos that ensued.

This is deliberate. They knew they would run away, that was why they gave most people Friday morning as the date to come for their funds.

— OgwajeA victim of the TAG Investment Platform Ponzi scheme, expressing her belief about the operators' intentions.

Cross River State has a grim history with Ponzi schemes. Decades ago, an operator named Umannah Ummanah ran a "Wonder bank" that absconded with vast sums. More recently, the MMM era saw devastating losses, with reports of suicides. Schemes like Micheno, which defrauded people of over N1.5 billion, and NRC, which disappeared after a month, have also plagued the state. Despite repeated warnings and past enforcement actions, the cycle of deception continues, leaving countless residents in tears and financial ruin.

Help me call my phone. I cannot find it. Somebody has taken my phone, please call it fast.

— Unnamed victimA victim of the TAG Investment Platform Ponzi scheme, appealing for help after her phone was stolen during the chaos at the company's office.
DistantNews Editorial

Originally published by Vanguard in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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