Jesam Michael, Afriq Arbitrage System CEO arraigned for alleged scam
The Economic and Financial Crimes Commission (EFCC) on Tuesday, June 10, 2025, arraigned Jesam Michael and his company, Afriq Arbitrage System Limited, before Justice Obiora Egwuatu of the Federal High Court in Abuja over an alleged investment scam.
They were arraigned on a seven-count charge bordering on obtaining by false pretence, operating without a license, and fraud.
Count one of the charge reads: “That you JESAM MICHAEL UBI and AFRIQ ARBIQ ARBITRAGE SYSTEM LIMITED between September 2022 and June, 2023 in Abuja within the jurisdiction of this Honorable Court whilst not being a bank or person authorized to take deposits invited the public through advertisement to deposit funds with AFRIQ ARBITRAGE SYSTEM LIMITED and you thereby committed an offence contrary to Section 44 (1) of the Banks and Other Financial Institutions Act, 2020 and punishable under Section 44 (2) of the same Act.”
Count two states: “That you MICHAEL UBI and AFRIQ ARBITRAGE SYSTEM LIMITED between September 2022 and June, 2023 in Abuja within the jurisdiction of this Honorable Court carried on specialized business of other financial institutions to wit: investment management without a valid licence and thereby committed an offence contrary to Section 57(1) and (2) of the Banks and Other Financial Institutions Act, 2020 and punishable under Section 57(5) of the same Act.”
Michael pleaded not guilty to all the charges when they were read to him in court.
Following his plea, the prosecuting counsel requested a trial date.
Defense counsel, Uchenna Njoku, SAN, informed the court of a pending bail application for his client.
However, the EFCC counsel presented a counter-affidavit, urging the court to deny the bail request on the grounds that the defendant might evade trial due to the serious nature of the charges and the strength of evidence. The prosecution also argued there was a substantial risk the defendant could attempt to influence or intimidate witnesses.
Justice Egwuatu denied bail and ordered that Jesam Michael be remanded at the Kuje Correctional Center until the commencement of trial.
Michael’s legal troubles began after the EFCC received multiple petitions from individuals who alleged they were lured into depositing funds with the company under the pretense of lucrative investment opportunities.
The case was adjourned to June 20, 2025, for trial.
