Hundreds of residents in Cross River State have been left devastated after the sudden collapse of the TAG Investment Platform, the latest Cross River Ponzi scheme to sweep through the state despite repeated warnings against fraudulent investment operations. The investment platform reportedly operated for only three weeks in Calabar before its operators disappeared, leaving investors stranded and scrambling to recover whatever they could from the abandoned office.
Angry clients stormed the company’s premises on Friday after discovering that those behind the scheme had fled. In frustration, some victims removed office property, including 10-kilogramme bags of rice, office furniture and bicycles, while others pulled down doors and windows in a desperate attempt to recover part of their losses.
One of the victims, a trader identified as Ogwaje from Watt Market, said she initially invested ₦500,000, received ₦1 million in returns during the first cycle, and was persuaded by the apparent success to reinvest the money.
She explained that she was expecting another payout on Friday when news broke that the operators had vanished. According to her, the money was meant to restock her business before the investment platform suddenly collapsed.
Another investor lamented that, besides losing her investment, her mobile phone was stolen amid the confusion as victims struggled over items left inside the office. She appealed to fellow victims to help locate the missing device while crowds continued removing property from the abandoned premises.
The latest Cross River Ponzi scheme is only the newest chapter in a long history of fraudulent investment operations that have affected residents of the state. During the military era, a scheme popularly known as Wonder Bank, reportedly operated by Umannah Ummanah from a residential apartment near Goldie Street, allegedly collected huge sums from investors before disappearing.
Years later, the nationwide collapse of the MMM investment scheme also affected many Cross River residents, with reports indicating that some victims lost life savings and borrowed funds after the platform failed.
Three years ago, another investment operation known as Micheno, allegedly introduced by an operator identified simply as Michael in Bakassi Local Government Area, reportedly attracted large numbers of investors seeking quick profits. The scheme later collapsed, with losses estimated at more than ₦1.5 billion. Although the promoter was reportedly arrested, many victims never recovered their money.
Not long afterward, another platform known as NRC established offices across different parts of the state, promising high investment returns before disappearing as payment dates approached. Last year, another investment company operating from Bassey Duke Street in Calabar reportedly drew long queues of investors each morning by paying early subscribers several times their original investments.
According to reports, the operators later shut down the office overnight and disappeared with hundreds of millions of naira, leaving staff members—who claimed they were unaware of the planned closure—to face angry investors when they reported for work the following day.
A Ministry of Finance official said operators of such investment platforms rarely register with the government or notify authorities before commencing operations. The official added that many investors also fail to verify the legitimacy of the schemes before committing their money, leaving government agencies unaware until complaints begin after the platforms collapse.
According to the ministry, the recurring pattern highlights the importance of conducting proper due diligence before investing and avoiding schemes that promise unusually high or unrealistic returns.
With hundreds of residents once again counting their losses, the collapse of TAG Investment Platform has renewed concerns over the persistent spread of fraudulent investment schemes and the continued vulnerability of investors lured by promises of quick financial gains.
