The Economic and Financial Crimes Commission (EFCC) has arraigned Sarumi Samusudeen Babafemi, an associate of social media personality Ismail Mustapha, popularly known as Mompha, over an alleged N206 million fraud.
Babafemi was docked alongside three companies — 606 Autos Limited, 606 Music Limited and Splash Off Entertainment Limited – before Justice Rahman Oshodi of the Special Offences Court sitting in Ikeja,
The defendants were arraigned in court by Lagos Zonal Directorate 1, on Tuesday, January 20, 2026.
According to the EFCC, the defendants are facing a five-count charge bordering on conspiracy, concealment and transfer of proceeds of crime amounting to N206,000,000, contrary to Section 332(1) of the Criminal Law of Lagos State, 2011, and punishable under Section 332(3) of the same law.
The EFCC spokesperson, Dele Oyewale, in statement, said investigations revealed that Babafemi allegedly used the companies, where he served as Managing Director and Chief Executive Officer, to launder funds suspected to be proceeds of unlawful activities between 2013 and 2018.
One of the charges alleged that Babafemi conspired with Mompha, who is said to be at large, Ridwan Momodu Allison (also at large), and Richard Ugbah to conceal the origin of funds and transfer N37.6million to one Omojadesola Shittu Allison.
The prosecution alleged that Babafemi knew, or ought reasonably to have known, that the funds were proceeds of crime.
Another count accused the defendant of using his companies’ accounts to conceal and transfer N93 million to one Olanrewaju Ibrahim Oriyomi between 2015 and 2018, with knowledge that the funds were derived from unlawful activities.
When the charges were read to him, Babafemi pleaded not guilty.
Following the plea, prosecution counsel, Ayanfe Ogunsina, asked the court to remand the defendant in a correctional facility and to fix a date for the commencement of trial.
However, defence counsel, Kunle Adegoke, SAN, told the court that he had only been served with the charges the previous day and had worked overnight to prepare a bail application, which was already being processed.
He urged the court to release the defendant to him, assuring that he would produce Babafemi in court on the next adjourned date.
Justice Oshodi granted the application and ordered that the defendant be released to his counsel upon the filing of an affidavit of undertaking to produce him in court.
The case was adjourned to March 24 for the commencement of trial.
