Federal Government Sues Elixir Asset Management and Elixir Investment Partners Over N3 Billion Illegal Investments

• The Federal Government has filed a lawsuit against Elixir Asset Management Limited and Elixir Investment Partners Limited for their involvement in illegal investments amounting to over N3 billion.

• The Securities and Exchange Commission (SEC) has revealed that the Federal Government has charged the accused firms with four counts of fraud.

• The defendants are accused of soliciting subscriptions for an unregistered product called the “Elixir Treasury Product” and conspiring to divert investment funds belonging to the public.

Federal Government Takes Legal Action Against Elixir Asset Management and Elixir Investment Partners Over N3 Billion Illegal Investments

The Federal Government of Nigeria has recently taken a decisive step by filing a lawsuit against Elixir Asset Management Limited and Elixir Investment Partners Limited, two prominent financial firms operating in the country.

The lawsuit, filed at the Federal High Court in Ikoyi, Lagos, revolves around their alleged involvement in illegal investments that amount to over N3 billion. The Securities and Exchange Commission (SEC) made this development known through an official statement released on Thursday, shedding light on the charges brought against the accused firms by the Federal Government.

According to the statement issued by SEC, the Federal Government has leveled four counts of fraud against Elixir Asset Management Limited and Elixir Investment Partners Limited. The crux of the allegations centers around the firms’ solicitation of subscriptions for a product known as the “Elixir Treasury Product.”

These subscriptions, amounting to over N3 billion, were obtained from members of the investing public, including reputable companies such as Toyota Nigeria Limited and Kaduna Industrial and Finance Company. The accused firms are further alleged to have conspired among themselves to divert investment funds that rightfully belong to the investing public, which adds a serious dimension to the case.

The charges against the defendants, as stated in the legal documents, read as follows: “That you Elixir Investment Partners Ltd of No. 95 Medical Guild Close, V/I Lagos, between the years 2019 and 2021, within the jurisdiction of this honorable court, did commit a felony, to wit: diversion of investment funds to the tune of N3,213,700,150 belonging to the investing public, including Toyota Nigeria Limited, Kaduna Industrial and Finance Company, and others.

You thereby committed an offense contrary to and punishable under section 383 (2) (f) of the Criminal Code Act, Laws of the Federation of Nigeria, 2004, and punishable under Section 390 (7) of the same Act.”

FRESHREPORTERS learnt that during the court proceedings, the defendants were noticeably absent. This led to the presiding judge, Honourable Justice Yellim Bogoro, granting the request made by the counsel from the Office of the Attorney General, Moshood Adeyemi.

The request entailed issuing criminal summons against the defendants and scheduling the next appearance date for July 11, 2023.

Honourable Justice Yellim Bogoro remarked, “The Court will grant the request of the Prosecution and issue a criminal summon to be served to the defendant for arraignment. I’m rescheduling the next hearing for July 11, 2023.”

In conclusion, the Federal Government’s decision to pursue legal action against Elixir Asset Management Limited and Elixir Investment Partners Limited, along with their directors, underscores its unwavering commitment to safeguarding the interests of the investing public and maintaining integrity in the financial sector.

The gravity of the allegations, involving the solicitation of unregistered investments and the diversion of funds, highlights the necessity of stringent regulatory measures.

The forthcoming court proceedings on July 11, 2023, will provide an essential platform for addressing these allegations and ensuring that justice is served.

The Federal Government’s resolve to hold accountable those involved in fraudulent financial activities sends a strong message that illegal practices will not be tolerated.