Dozy Mmobuosi, the former CEO of Tingo Group, has been ordered by a U.S. federal court to pay over $250 million in fines. The judgment, delivered by Judge Jesse M. Furman of the Southern District of New York, also bars Mmobuosi from serving as a director of any public company, marking a significant chapter in the legal battle against the businessman. Mmobuosi, along with his companies Tingo Group Inc., Agri-Fintech Holdings Inc., and Tingo International Holdings Inc., was charged by the U.S. Securities and Exchange Commission (SEC) in 2023 with committing fraud by inflating the financial performance of his companies. The SEC's investigation uncovered that Tingo Group's reported assets were grossly exaggerated. For instance, while Tingo Mobile claimed to have over $461.7 million in cash for 2022, its bank accounts held less than $50. The SEC's complaint further alleged that Mmobuosi misled investors globally, fabricating key financial metrics to paint a picture of success. This deception was exposed by a damning report from Hindenburg Research, a U.S.-based short seller, which described Tingo Group as an "exceptionally obvious scam." Despite Mmobuosi's attempts to counter the allegations—including his recent claims that he is being targeted due to his success as a Black African entrepreneur—the U.S. court has ruled against him. The judgment includes a series of financial penalties, including the cancellation of shares owned by his companies and the disgorgement of $156.67 million in ill-gotten gains. This case has attracted significant attention, especially in Nigeria, where Mmobuosi has positioned himself as a leading figure in the tech and agritech sectors. The outcome of this case serves as a stark reminder of the importance of transparency and integrity in business operations, particularly for companies operating on a global scale.
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