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 ₦206 million fraud.
Babafemi was charged alongside three companies — 606 Autos Limited, 606 Music Limited, and Splash Off Entertainment Limited — before Justice Rahman Oshodi of the Special Offences Court in Ikeja, Lagos. The arraignment was carried out by the EFCC’s Lagos Zonal Directorate 1 on Tuesday, January 20, 2026.
According to the anti-graft agency, the defendants are facing a five-count charge bordering on conspiracy, concealment, and transfer of proceeds of crime, contrary to Section 332(1) of the Criminal Law of Lagos State, 2011.
EFCC 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 alleges that he conspired with Mompha and others, who are currently at large, to conceal the origin of funds and transfer ₦37.6 million to a third party.
Another count accused Babafemi of using his companies’ accounts to transfer ₦93 million to another individual, knowing that the funds were derived from illegal activities.
Babafemi pleaded not guilty to all charges. Following his plea, the prosecution asked the court to remand him in custody pending trial. However, his counsel applied for bail, stating that arrangements were already in place.
Justice Oshodi granted the application, ordering that Babafemi be released to his counsel upon the filing of an affidavit of undertaking to ensure his appearance in court. The case was adjourned to March 24, 2026, for the commencement of trial.
