The Founder of Tingo Group, Dozy Mmobuosi, has faulted the default judgment by the United States District Judge, Jesse Furnan, following the US Securities and Exchange Commission (SEC’s) allegations against him and Tingo Group.
Reacting to the verdict in a statement he personally signed and made available on Sunday, Mmobuosi stated that the judgment is malicious and a miscarriage of justice.
According to TheCable, the US SEC said Dozy Mmobuosi, the former chief executive officer (CEO) of Tingo Group, and three companies affiliated with him, have been ordered by a court to pay over $250 million in monetary relief in a securities fraud suit default judgment.
The online medium also reports that the default judgment was given by Jesse M. Furman, a US judge, who said Mmobuosi and his companies failed to respond to a SEC lawsuit accusing them of overstating financial results.
In a statement on August 29, the SEC said the US district court for the southern district of New York entered final judgments against Dozy Mmobuosi, and three US-based entities, Tingo Group Inc., Agri-Fintech Holdings Inc., and Tingo International Holdings Inc, on August 28.
Mmobuosi was accused by the SEC of a multi-year scheme to inflate the financial performance metrics of his companies and key operating subsidiaries to allegedly defraud investors worldwide.
But Mmobuosi has faulted the judgment, insisting that SEC levied spurious and egregious allegations against him and Tingo, knowing that it would not be forcefully opposed.
He added that SEC made the allegations not because of any supposed substance to its allegations but because it is acutely aware that the defendants would not be able to raise the necessary funds to mount a rigorous defence.
Mmobuosi said, “As you would observe from the court docket, the SEC has regularly updated the Court with regards to correspondence received from the defendants or on their behalf.
“There appears to be one flagrant omission however. There is no mention of the Police Report from the Nigerian Inspector General of Police’s Office, which is in their possession.
“For the sake of clarity, the Inspector General of Police for the Federal Republic of Nigeria is the Head of the Nigeria Police Force and their report could be easily verified. It is therefore unconscionable and indefensible that the SEC would choose to withhold this from the Court. “Rather than working with the authorities in Nigeria to thoroughly investigate the underlying businesses (which are domiciled in Nigeria), they appear to view them as irritants.
“In its findings, the Nigeria Police Force confirmed the bonafides of Tingo. As you would have observed, the All Farmers Association of Nigeria have severally mounted a staunch defence of our business, because we have been at the forefront of promoting and supporting farming and agriculture in Nigeria.
“This is an organisation that has been unwavering in its support despite all the negative media coverage and this is due to the fact that they value the impact our business has had on the lives of everyday farmers in Nigeria.
“The full text of Mmobuosi statement: “I founded Tingo over 23 years ago, with a mission to solve real life problems and challenges, and I am still committed to fulfilling that mission. I have taken time to reflect on all that has transpired in New York whilst, at the same time, being the subject of a now completed investigation by the Nigerian Police Force. I have watched as my reputation and the reputation of the businesses I built through hard work and perseverance have been grotesquely caricatured across the media.
I voluntarily submitted myself to the rigours of a thorough Police investigation in Nigeria. I can now report that the investigation was completed, and their findings were sent to the SEC. To this end, I am now able to address you all directly.
At the core of our business in Tingo is our mission to make those who feel unseen more visible and to give voice to those who have gone unnoticed for far too long. It is a mission predicated on equity and fairness. Whilst I do not attest to be a saint, I can unequivocally state that the SEC has gone to great lengths to tarnish the hard work and aspirations of so many people – from those at board level to junior staff working in the rural communities in Nigeria. The SEC have contrived a corporate Serengeti with the aim of creating a torrent of chaos within the business and sit back as we tear ourselves apart. Upon filing their Civil Claim, the SEC forthwith cut off the lifeblood of the business as they froze all our resources and effectively left the business in a comatose state. They levied spurious and egregious allegations at us knowing that they would not be forcefully opposed – not because of any supposed substance to their allegations but because they were (and indeed still are) acutely aware that the defendants would not be able to raise the necessary funds to mount a rigorous Defence.
As you would observe from the court docket, the SEC has regularly updated the Court with regards to correspondence received from the defendants or on their behalf. There appears to be one flagrant omission however. There is no mention of the Police Report from the Nigerian Inspector General of Police’s Office, which is in their possession. For the sake of clarity, the Inspector General of Police for the Federal Republic of Nigeria is the Head of the Nigeria Police Force and their report could be easily verified. It is therefore unconscionable and indefensible that the SEC would choose to withhold this from the Court. Rather than working with the authorities in Nigeria to thoroughly investigate the underlying businesses (which are domiciled in Nigeria), they appear to view them as irritants.
In its findings, the Nigeria Police Force confirmed the bonafides of Tingo. As you would have observed, the All Farmers Association of Nigeria have severally mounted a staunch defence of our business, because we have been at the forefront of promoting and supporting farming and agriculture in Nigeria. This is an organisation that has been unwavering in its support despite all the negative media coverage and this is due to the fact that they value the impact our business has had on the lives of everyday farmers in Nigeria.
To this end, I can assure you that I remain resolute in my commitment to our vision and to you all because we have been a beacon of hope to many communities and to those, who have for far too long, been undervalued and marginalised.
I also wish to reiterate that an offer was made to the management of Tingo Group, for a buyout. And I will continue to encourage this proposed buyout. This is a critical step for me because you have all invested in our vision and I remain committed to the safeguarding of your interests.
It is true that our real strength is revealed in adversity, and I can assure you that this entire process has been a stern and relentless test of character but, indeed, my commitment to our mission remains unbowed.”
