The Economic and Financial Crimes Commission (EFCC) and the Lagos State Real Estate Regulatory Authority (LASRERA) have agreed to strengthen collaboration to combat the growing cases of fraudulent real estate transactions in Lagos State.
The resolution was reached on Wednesday during a courtesy visit by a LASRERA delegation, led by its Permanent Secretary, Engr. Gbolahan Toriola, to the Acting Zonal Director of the EFCC Lagos Zonal Directorate 2, ACE I Bawa Usman Kaltungo.
Speaking during the meeting, Toriola said the visit was aimed at sanitising the real estate sector, protecting investors and restoring public confidence in property transactions across Lagos State.
He explained that LASRERA was established to regulate real estate activities and shield residents from fraudulent practices, noting that some developers engage in multiple sales or leases of the same property, leading to disputes and financial losses.
According to him, the Authority prioritises mediation before litigation but seeks the EFCC’s support in handling cases involving criminal elements.
Toriola disclosed that LASRERA had received more than 505 petitions this year and had resolved over 300 of them. He also reminded stakeholders that all real estate developers operating in Lagos State are required by law to register with the Authority before commencing business.
He commended the EFCC for its commitment to protecting investors, adding that LASRERA’s regulatory framework also covers estate agents, lawyers, landlords and tenants.
Also speaking, the Assistant Director of LASRERA’s Legal Unit, Jumoke Omosanya, said the agency was created in response to widespread complaints of real estate fraud received by the Lagos State Government.
She recalled that LASRERA first sought collaboration with the EFCC in 2023 to address fraudulent activities in the sector.
Omosanya noted that some developers fail to complete projects within agreed timelines, while others unlawfully rent out the same property to multiple tenants.
She added that LASRERA has the statutory authority to suspend erring developers and warned that anyone operating as a real estate developer or agent without registration with the Authority is acting illegally.
She further disclosed that the Lagos State Government is working on amendments to the Lagos State Tenancy Law, 2015, to strengthen regulation of the real estate sector.
Responding, Acting Zonal Director Kaltungo welcomed the delegation on behalf of EFCC Executive Chairman, Mr. Ola Olukoyede, describing the visit as timely.
He expressed concern over the increasing number of real estate fraud petitions received by the Commission, stating that the majority of complaints handled by the EFCC involve fraudulent property transactions.
Kaltungo lamented that many investors, including Nigerians in the diaspora, had lost millions of naira to fraudulent developers, leading to declining confidence in Nigeria’s real estate market.
He assured LASRERA of the Commission’s readiness to investigate every genuine petition, regardless of the amount involved.
“We are always ready to assist, irrespective of the amount involved. Every victim deserves justice,” he said.
Kaltungo also urged LASRERA to strengthen its regulatory framework by seeking legislative backing to blacklist developers found guilty of fraudulent practices, saying such measures would deter others.
Meanwhile, the Head of the Legal and Prosecution Department of EFCC Lagos Zonal Directorate 2, DCE Deborah Ademu-Eteh, revealed that the Commission plans to organise a seminar for real estate developers in Lagos State to promote legal compliance and consumer protection.
She highlighted recurring complaints against developers who demand additional payments from subscribers after project completion and recounted a case involving an N80 million property transaction that resulted in litigation against both the subscriber and the EFCC.
Ademu-Eteh said the Commission often encourages mediation in appropriate cases before prosecution and urged LASRERA to intensify public awareness campaigns on safe real estate transactions.
Also speaking, Assistant Commander of the EFCC, ACE II Henry Anasoh, called for stronger legislation to address real estate fraud.
He urged LASRERA to work with the Lagos State Attorney-General to amend relevant land laws to specifically criminalise real estate fraud and empower the Authority to directly refer financial and economic crime cases to the EFCC for investigation and prosecution.
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