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 allegations of N206 million fraud.

Babafemi, alongside three companies—606 Autos Limited, 606 Music Limited, and Splash Off Entertainment Limited—appeared before Justice Rahman Oshodi of the Special Offences Court in Ikeja, Lagos, on Tuesday, January 20, 2026.

The EFCC charged the defendants with five counts of conspiracy, concealment, and transfer of proceeds of crime totaling N206 million, contrary to Section 332(1) and punishable under Section 332(3) of the Lagos State Criminal Law, 2011.

Investigations, according to EFCC spokesperson Dele Oyewale, revealed that Babafemi allegedly used the companies under his management to launder funds suspected to be derived from unlawful activities between 2013 and 2018.

One count claims that Babafemi conspired with Mompha, who is currently at large, Ridwan Momodu Allison (also at large), and Richard Ugbah to conceal the source of N37.6 million, which was transferred to Omojadesola Shittu Allison. Another allegation states that he used the company accounts to transfer N93 million to Olanrewaju Ibrahim Oriyomi during the same period, fully aware that the funds originated from criminal activity.

Babafemi pleaded not guilty to all charges. The prosecution requested that he be remanded in a correctional facility and that a trial date be set. In response, his defence counsel, Kunle Adegoke, SAN, explained that he had just received the charges and had prepared a bail application overnight.

Justice Oshodi approved Babafemi’s release to his counsel upon the filing of an affidavit of undertaking to ensure his appearance in court. The trial is now scheduled to commence on March 24, 2026.