Police arrest ‘ponzi scheme operators for attempting to defraud’ Gombe residents

The police have arrested six suspects over alleged fraudulent activities in Gombe state. 

Ishola Babaita, commissioner of police in Gombe, briefed journalists about the arrest on Friday.

Babaita said the suspects — two Nigerians and four Benin Republic citizens — were apprehended through the community policing approach of the police.

He said the suspects were arrested on January 8, adding that the Benin Republic citizens entered Nigeria illegally.

“On January 18 at 8:30 pm, the command received information that three hummer buses brought some group of young men numbering about 109,” the commissioner said.

“Immediately, police operatives in synergy with the Department of State Security (DSS) were dispatched to the scene and the people were invited to the DSS facility where they were interrogated.

“The two Nigerians were transferred to the police for discrete investigations and possible prosecution while the four Benineses were handed over to the Nigerian Immigration Service (NIS) which later returned them to the police.”

The commissioner said the suspect claimed to be in QNET web networking business.

Babaita said documents presented by the suspects showed that they are not employees or agents of QNET.

“This means that as independent representatives, they are to be solely responsible for complying with applicable local laws, ethical practices and paying taxes on commissions and assumes all risks related to their IR entrepreneurial activities,” he said.

The commissioner said the 109 youths were recruited by the six suspects to serve as marketers.

He said investigations revealed the suspects were involved in a ponzi scheme to swindle residents.

The commissioner added that the suspects would be charged to court upon the conclusion of the investigation.

Meanwhile, Abdullahi Yusuf, one of the suspects, denied being involved in fraudulent activities.

According to NAN, the suspect said he is involved in networking and that he began his firm in Benin Republic before deciding to expand to Gombe state.