NAIRAMETRICS
The U.S. Securities and Exchange Commission (SEC) has charged Nigerian auditor Olayinka Oyebola and his accounting firm, Olayinka Oyebola & Co., for their alleged involvement in a major securities fraud scheme orchestrated by businessman Dozy Mmobuosi, and three U.S.-based companies collectively referred to as the Tingo entities.
This comes on the heels of a $250 million judgment that the SEC recently obtained against Mmobuosi and the Tingo entities for their fraudulent activities.
According to the SEC’s complaint, Oyebola and his firm played a critical role in enabling Mmobuosi and the Tingo entities to deceive investors over several years by falsifying audit reports.
The SEC said the fraudulent audit reports, which bore Oyebola’s signature, were submitted to the SEC as if they had been legitimately issued by his firm.
The SEC said Oyebola allegedly made misleading statements to the auditor of one of the Tingo entities and concealed the fact that the audit reports were fake. It added that this deception allowed Mmobuosi and his companies to inflate their financial metrics and mislead investors globally.
Antonia M. Apps, Director of the SEC’s New York Regional Office, condemned Oyebola’s actions, stating:
“As alleged, Oyebola and his firm violated the public trust and abdicated their responsibilities as public company accountants and auditors by helping Mmobuosi and the Tingo entities effectuate and conceal their fraud.
“We will not hesitate to hold gatekeepers to the public markets accountable when they facilitate fiction rather than truth.”
The SEC’s complaint, filed in the U.S. District Court for the Southern District of New York, charges Oyebola and his firm with aiding and abetting violations of the antifraud provisions of the federal securities laws by Mmobuosi and the three Tingo entities.
