The Economic and Financial Crimes Commission (EFCC) has unveiled plans to launch a comprehensive investigation into Nigeria’s real estate sector to curb corruption and uncover illicit transactions. EFCC Executive Chairman, Ola Olukoyede, announced the initiative on Wednesday during a keynote address at the “Policy Dialogue on Critical Issues Affecting Nigeria’s Real Estate Ecosystem” in Abuja, organized by the Law Corridor Firm.
The probe will commence in the Federal Capital Territory (FCT), focusing on identifying the true owners of properties and determining whether estates are funded by illicit proceeds. Olukoyede revealed that preliminary investigations have exposed abandoned estates in Abuja, allegedly financed by civil servants using stolen public funds, which were later abandoned when the sources of these funds were blocked or the individuals lost their positions.
Olukoyede called for collaboration with stakeholders in the real estate sector to ensure a thorough investigation. “Some business ventures, including real estate, were established to scam innocent Nigerians,” he stated, vowing that such enterprises would be dismantled following the probe. He emphasized the EFCC’s commitment to supporting legitimate businesses while cracking down on fraudulent ones, noting ongoing efforts with Nigerian bankers to reduce lending rates from 30% to single-digit figures to bolster genuine enterprises.
“It is only in Nigeria that a civil servant can own a N500 million property without questions being asked,” Olukoyede remarked, urging a shift in the public’s tolerance for corruption. He advocated for the creation of pressure groups to strengthen the fight against corruption and proposed that federal and state governments establish special funds to support the real estate sector’s growth. The EFCC plans to compile a comprehensive register of property owners to enhance transparency and operationalize the sector.
Olukoyede also advised investors to adhere to due process to avoid falling prey to fraudsters, citing examples of foreign investors who established banks in Nigeria with clean records and compliance. “We don’t disturb such institutions, but we move against those built on fraud,” he clarified.
In his remarks, Ayokunle Erin, Practice Group Lead for Real Estate, Construction, and Infrastructure at the Law Corridor, underscored the real estate sector’s role as an economic powerhouse driving urban development, job creation, and social stability. He highlighted Nigeria’s housing deficit of 17 to 20 million units, with only 5,000 new units constructed in the FCT in 2024, meeting less than 10% of the demand. Erin attributed the shortfall to policy failures, regulatory lapses, and legal ambiguities that enable fraudsters and unlicensed agents.
Erin called for stakeholders to act with clarity and coordination to transform Nigeria’s real estate landscape, emphasizing its potential to redefine communities and drive economic growth. The dialogue marks a step toward addressing systemic challenges in the sector, with the EFCC’s probe expected to bring greater accountability and transparency. Further updates are anticipated as the investigation progresses.
