High Court denies motion to reverse billions of naira Flutterwave lost in PoS fraud

Photo by KATRIN BOLOVTSOVA on Pexels

On Wednesday, August 14, 2024, a federal High Court sitting in Abuja reportedly denied a motion by the Inspector General of Police (IGP) seeking to order about 12 banks and financial institutions to reverse billions of naira allegedly withdrawn from a Flutterwave account at Wema Bank fraudulently.

The alleged withdrawals were made due to a system glitch on October 12 and 13, 2023, allowing several PoS device merchants to abuse their access by performing illegal transfers on its platform.

At the time, the Nigerian-based fintech startup claimed that no customer funds were lost, assuring the public it was working closely with relevant authorities to resolve the issue.

Marked FHC/ABJ/CS/1015/24 and dated July 17, 2024, the motion ex parte — a motion made without the other party's presence — filed by the IGP’s legal team, argued that approximately 244 suspects (defendants) breached Flutterwave’s account and criminally moved billions of naira to numerous bank accounts belonging to faceless individuals.

By Osamu Ekhator

Full story at Techpoint Africa.