Lagos Police Expose Car Fraud Gang That Allegedly Conned Dealers of Over N1 Billion

The Lagos State Police Command has dismantled, at least partially, an auto fraud syndicate that allegedly defrauded car dealers of over N1 billion through three separate but connected scams involving exotic vehicles. The operation was announced on Tuesday by Commissioner of Police Tijani Fatai at the Command Headquarters in Ikeja.

The investigation, led by detectives from the State Criminal Investigation Department at Panti, began after complaints from multiple car dealers whose vehicles had disappeared along with the buyers' promised payments.

The syndicate's operational pattern, once investigators mapped all three cases, was consistent enough to confirm they were dealing with one network rather than isolated incidents.

The suspects identified bogus car buyers, obtained vehicles from reputable dealers using postdated cheques that were later dishonoured, moved the cars quickly to third-party buyers across Lagos, Abuja, and other parts of the country, and used middlemen to insulate the masterminds from direct exposure.

In two of the three cases, the suspects told dealers the vehicles were being purchased on behalf of prominent Abuja politicians. That detail was not accidental. It was designed to make the dealers feel the transactions were credible and the eventual payments guaranteed. Respectable names as cover. Postdated cheques as the paper trail. Speed as the escape.

The Lagos car fraud syndicate N1 billion exotic vehicles investigation breaks down across three connected incidents.

In the first, a suspect named Muritala allegedly bought cars from dealers on the promise of paying after resale. During questioning, Muritala implicated Fatai Balogun, also known as Eleku, who admitted participating in the deals and passing the vehicles to a fourth suspect known as Otunba. Balogun was subsequently linked to twelve exotic vehicles obtained fraudulently from different sellers.

In the second case, three victims reported that Balogun, Otunba, and other defendants had obtained seven vehicles worth approximately N700 million through postdated cheques that were later dishonoured.

"Balogun confessed to the offences and admitted selling the vehicles to different buyers," CP Fatai said.

A 2020 Toyota Hiace bus and a 2018 Ford Edge SUV were recovered from this case.

In the third case, Balogun, another suspect named Bashiru, and others allegedly purchased ten Toyota Hiace buses valued at N320 million while claiming to be acting on Otunba's orders for political campaign purposes. The cheque issued for the transaction was returned for insufficient funds. Eight of the ten buses were eventually recovered, though in damaged condition. Two buses worth N56.5 million remain missing.

The vehicles recovered so far include a 2010 Toyota RAV4, a 2007 Toyota Highlander SUV, a 2017 Toyota Highlander SUV, two 2016 Toyota Hiace buses, a 2020 Toyota Hiace bus, and a 2018 Ford Edge SUV.

Recovery was made possible through a combination of intelligence-led operations and the AUTOREG vehicle tracking platform, a detail worth noting because it demonstrates the practical value of digital vehicle registration and tracking infrastructure in fraud investigations.

The most significant name in this investigation has not been caught.

Otunba, described by the police as the alleged ringleader of the syndicate, remains at large. Suspects Muritala, Bashiru, Segun, and Balogun have been identified and Balogun has confessed, but the person who the other suspects consistently name as the principal beneficiary of the scheme is still out there.

CP Fatai said investigations are ongoing. The command has not announced whether Otunba has been identified beyond a single name or whether there are active leads on his whereabouts.