N613m stolen via network glitch; 2 suspects arrested

N613m stolen using network glitch; two suspects arrested, showcasing the increasing sophistication of digital theft.

Two individuals, Ikocha Daniel (34) and Sylvester Ebete (33), have been apprehended by the Police Special Fraud Unit (PSFU) in Lagos State for their suspected involvement in a N613 million scam.

The PSFU’s representative, SP Eyitayo Johnson, has confirmed the apprehension of individuals. The suspects are being charged with a series of crimes including conspiracy and fraudulent conversion for allegedly stealing N613,980,200 from a well-known Nigerian Financial Technology company (FinTech). This statement was released on Saturday.

Johnson reported that fraudulent activities occurred between January 19, 2022 and October 12, 2023 due to a system/network malfunction. This malfunction caused designated Payment Gateway Web Merchants to receive multiple credits for refunds issued to cardholders.

Afterward, the merchants received these refunds in their bank accounts spread across different banks and proceeded to withdraw or transfer them.

According to Johnson, it is said that Daniel acquired N402,980,200 in unlawful benefit and converted it while Ebete fraudulently diverted/consumed 211 million nairas.

According to his explanation, the suspects took advantage of the glitch and made numerous withdrawals. They were able to amass significant amounts mentioned earlier, which they later distributed among themselves, other banks’ accounts belonging friends and family members.

Reportedly, the suspects disabled their mobile phones and relocated from their usual residences in an effort to avoid being arrested. Notwithstanding this effort, PSFU detectives ultimately located and apprehended them.

According to Johnson, the suspects have confessed their role in the crime and are now facing criminal charges filed against them by the legal section of the unit.