The U.S. Securities and Exchange Commission (SEC) has taken decisive action against Olayinka Oyebola and his PCAOB-registered accounting firm, Olayinka Oyebola & Co., for their alleged role in a massive securities fraud scheme. The SEC’s complaint accuses Oyebola and his firm of aiding and abetting fraud perpetrated by Mmobuosi Odogwu Banye and three U.S. companies under his control, collectively known as the Tingo entities.
Charges and Allegations
- The SEC has charged Olayinka Oyebola and his PCAOB-registered accounting firm, Olayinka Oyebola & Co., with aiding and abetting a massive securities fraud.
- The fraud was allegedly perpetrated by Mmobuosi Odogwu Banye (aka Dozy Mmobuosi) and three U.S. companies he controlled, referred to as the Tingo entities. The SEC recently obtained a $250 million final judgment against Mmobuosi and the Tingo entities.
- Oyebola and his firm are accused of:
- Deliberately failing to act upon learning about fake audit reports bearing Oyebola’s signature in SEC filings
- Making material misstatements to the then-auditor of one of the Tingo entities
- Helping Mmobuosi conceal that the audit reports were fake
These actions allegedly enabled his client Mmobuosi Odogwu Banye and the Tingo entities to carry out a multi-year scheme to inflate financial performance metrics and defraud investors worldwide.
The SEC is seeking civil penalties, permanent injunctive relief, an order permanently barring Oyebola and his firm from acting as auditors or accountants for U.S. public companies, and a prohibition from providing substantial assistance in preparing financial statements filed with the SEC.
Actionable Insight:
The case highlights the critical role auditors play in ensuring financial transparency. Gatekeepers like Oyebola must uphold their responsibilities or face severe legal consequences. Compliance teams should reinforce stringent audit verification procedures to prevent fraudulent activities from slipping through regulatory cracks.
Call for Information:
Are you aware of financial professionals neglecting their duties or assisting in fraudulent activities? FinTelegram is committed to uncovering such misconduct. Share your tips to help maintain transparency and integrity in financial markets.
