Flutterwave, a prominent Nigerian fintech company, has recently been embroiled in controversies that have cast a shadow over its operations and reputation. The latest incident involves the arrest of bank customers linked to fraudulent activities on its platform, adding to the company’s growing list of challenges.
In February 2023, Flutterwave reported unauthorised transfers amounting to ₦2.9 billion from its accounts. The company sought legal action to freeze accounts across 27 financial institutions in Nigeria to recover the stolen funds. Despite these efforts, a Lagos court later ordered the unfreezing of certain accounts, complicating the recovery process.
The company’s troubles extend beyond Nigeria. In July 2022, a Kenyan High Court froze accounts holding over 6.2 billion Kenyan shillings (approximately $51 million) belonging to Flutterwave, following money laundering and fraud allegations. Although Flutterwave denied these claims, stating they had records to prove their innocence, the incident raised significant concerns about the company’s operations in Kenya.