One of Africa’s largest unicorns, Flutterwave, has been under fire on social media since allegations of insider trading, sexual harassment and perjury hit the Nigerian payment infrastructure provider.
The reactions follow the allegations contained in an investigative report published on Tuesday by David Hundeyin, the Editor of West Africa Weekly.
The report accused Flutterwave’s Co-Founder and Chief Executive Officer, Olugbena Ayoola, of holding onto the stock options offered to a former employee, adding that others were made to sell their stock options below their values to an investment vehicle controlled by him.
Additionally, the report said Agboola and Flutterwave’s Chief Commercial Officer, Mr Ife Orioke, abused their position of power to have inappropriate sexual relationships with the company’s female employees.
In addition, the report alleged that Agboola created a phantom Flutterwave Chief Technology Officer, Greg Agboola, who needed to be given 10% of Flutterwave’s shareholdings from Co-Founders, Iyinoluwa Aboyeji and Adeleke Adekoya’s shareholdings.
Moreover, the CEO was said to have built Flutterwave while he was still the Head of Digital Factory & Innovation at Access Bank PLC, a Nigerian local lender.
In the report, Hundeyin alleged that the United States Securities and Exchange Commission (SEC) in 2018 got wind of the said insider trading practice and summoned Agboola, Aboyeji and the CEO of Access Bank, Herbert Wigwe, to a hearing.
According to the media report, the SEC did not confirm or deny the alleged insider trading but rejected a US Freedom Of Information Act (FOIA) request submitted by the journalist, citing privacy concerns.
Hundeyin wrote in the report: “In early 2018, news about this unholy arrangement got to the United States Securities and Exchange Commission (SEC), which has jurisdiction over the Delaware-registered corporation. Under US law, a conviction for insider trading carries a criminal sentence of up to 20 years in prison.
“According to several sources, GB [Agboola], Iyin [Aboyeji] and—for some reason—Herbert Wigwe flew to the Washington DC for an SEC hearing where they allegedly testified under oath that GB never worked simultaneously at Flutterwave and Access Bank.”
The report said Agboola for “at least two years had free reign” to use the lender’s assets to “benefit Flutterwave without the knowledge of Access Bank or most external Flutterwave stakeholders.”
Finance Magnates reached out to Flutterwave for a comment on these allegations but is yet to get a response as of press time. However, Aboyeji, who resigned from the start-up
Startup
A company operating within its first stage of investing is known as a startup. While startups may give the impression that the company must be new, that is not always the case.Many companies can have this designation after nearly three years of existence. Typically, a company exits the startup status after a period between 3 to 5 years or after successful funding rounds where capital is acquired. Startups tend to derive out of the belief that there is a demand for a service or product which is created by at least one or more entrepreneurs. These seek capital as a means to bypass a limited availability of capital and combat high costs. This is why startups seek funding from funding rounds, crowdfunding, venture capitalists, financial institutions, or other sources. What Makes Startups Successful?Given the fact that most startups fail, the first three years of a startup are critical which is why startup founders require capital for talent acquisition, creating effective business models and plans.In parallel it is important to provide proof-of-concept for the long-term through an established user base and consistent revenue streams. Many startups use seed funding, which occurs during the first stage of funding rounds, where fundraised capital is used to conduct market research and product or service development.Sometimes, startups go through an acquisition process, where they merge larger companies competing in a similar industry. Companies that generate less than $20 million annually, possess less than 80 employees, and are primarily controlled by the founding entrepreneur(s) are generally classified as startups. Today, some of the world’s most successful companies started as startups, such as Facebook, Uber, and SpaceX to name a few.
A company operating within its first stage of investing is known as a startup. While startups may give the impression that the company must be new, that is not always the case.Many companies can have this designation after nearly three years of existence. Typically, a company exits the startup status after a period between 3 to 5 years or after successful funding rounds where capital is acquired. Startups tend to derive out of the belief that there is a demand for a service or product which is created by at least one or more entrepreneurs. These seek capital as a means to bypass a limited availability of capital and combat high costs. This is why startups seek funding from funding rounds, crowdfunding, venture capitalists, financial institutions, or other sources. What Makes Startups Successful?Given the fact that most startups fail, the first three years of a startup are critical which is why startup founders require capital for talent acquisition, creating effective business models and plans.In parallel it is important to provide proof-of-concept for the long-term through an established user base and consistent revenue streams. Many startups use seed funding, which occurs during the first stage of funding rounds, where fundraised capital is used to conduct market research and product or service development.Sometimes, startups go through an acquisition process, where they merge larger companies competing in a similar industry. Companies that generate less than $20 million annually, possess less than 80 employees, and are primarily controlled by the founding entrepreneur(s) are generally classified as startups. Today, some of the world’s most successful companies started as startups, such as Facebook, Uber, and SpaceX to name a few.
Read this Term in 2018, has made several tweets to clear his name.
The Co-Founder of Andela, who attacked the journalist for not reaching out to him for a comment, said Access Bank’s leadership were informed about Flutterwave.
The ex-CEO of Flutterwave also said the company maintained the “highest ethical standards” while he led the fintech
Fintech
Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to supply a technological service that not only simplifies but also aids consumers, business operators, and networks.This is done by optimizing business processes and financial operations through the implementation of specialized software, algorithms, and automated computing processes. Transitioning from the roots of the financial sector, fintech providers can be found through a multitude of industries such as retail banking, education, cryptocurrencies, insurance, nonprofit, and more. While fintechs cover a vast array of business sectors, it can be broken down into four classifications which are as followed: Business-to-business for banks, Business-to-business for banking business clients, business-to-consumers for small businesses, and consumers. More recently, fintechs presence has become increasingly apparent within the trading sector, primarily for cryptocurrencies and blockchain technology.The creation and use of Bitcoin can also be contributed to innovations brought upon by fintechs while smart contracts through blockchain technology have simplified and automated contracts between buyers and sellers. As a whole, fintechs applications are growing more diverse with a consumer-centric focus while its applications continue to innovate the trading and cryptocurrency sectors through automated technologies and business practices.
Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to supply a technological service that not only simplifies but also aids consumers, business operators, and networks.This is done by optimizing business processes and financial operations through the implementation of specialized software, algorithms, and automated computing processes. Transitioning from the roots of the financial sector, fintech providers can be found through a multitude of industries such as retail banking, education, cryptocurrencies, insurance, nonprofit, and more. While fintechs cover a vast array of business sectors, it can be broken down into four classifications which are as followed: Business-to-business for banks, Business-to-business for banking business clients, business-to-consumers for small businesses, and consumers. More recently, fintechs presence has become increasingly apparent within the trading sector, primarily for cryptocurrencies and blockchain technology.The creation and use of Bitcoin can also be contributed to innovations brought upon by fintechs while smart contracts through blockchain technology have simplified and automated contracts between buyers and sellers. As a whole, fintechs applications are growing more diverse with a consumer-centric focus while its applications continue to innovate the trading and cryptocurrency sectors through automated technologies and business practices.
Read this Term company.
Aboyeji’s tweet 1: https://twitter.com/iaboyeji/status/1514126664107708417
Aboyeji’s tweet 2: https://twitter.com/iaboyeji/status/1514092832197386240
Aboyeji’s tweet 3: https://twitter.com/iaboyeji/status/1514127134238912512
Tech Leaders React
Leaders in the emerging Nigerian tech ecosystem have started reacting to the report. In a Twitter thread, Jason Njoku, the Founder of Iroko TV, an on-demand web TV platform, said: “mad money rush” was coming into the industry. Njoku restated the importance of the media in helping to sustain the Nigerian tech ecosystem.
Njoku’s tweet: https://twitter.com/JasonNjoku/status/1514157953066184705
On his part, Ikpeme Neto, the Founder of health-tech start-up, Well Health, described journalists are “a good check and balance mechanism” for the industry.
Neto’s tweet: https://twitter.com/docneto/status/1514175893337423873
Matt Flannery, the Co-Founder and CEO of Branch.co, said there is more to come.
Flannery’s tweet: https://twitter.com/mattflannery/status/1513933866070806530
The Case of Bento Africa
The latest report comes less than a month after a Nigerian tech publication, TechCabal, published a report alleging a vile workplace culture at Bento Africa, a Nigerian payroll startup.
The report, based on the testimonies of former employees of Bento Africa, accused Ebun Okubanjo, the Co-Founder and Chief Executive Officer, among other things, of running the start-up with an iron fist while verbally abusing his employees.
The company’s Board of Directors, in its reaction, asked Okubanjo to step back from people operations in the company.
“We are reviewing the HR and people practice and guidelines at Bento and will work with HR consultants and the company’s in-house team to make sure that it is reflective of human values that drive sustainable performance,” the board had said in an email seen by the outlet.
One of Africa’s largest unicorns, Flutterwave, has been under fire on social media since allegations of insider trading, sexual harassment and perjury hit the Nigerian payment infrastructure provider.
The reactions follow the allegations contained in an investigative report published on Tuesday by David Hundeyin, the Editor of West Africa Weekly.
The report accused Flutterwave’s Co-Founder and Chief Executive Officer, Olugbena Ayoola, of holding onto the stock options offered to a former employee, adding that others were made to sell their stock options below their values to an investment vehicle controlled by him.
Additionally, the report said Agboola and Flutterwave’s Chief Commercial Officer, Mr Ife Orioke, abused their position of power to have inappropriate sexual relationships with the company’s female employees.
In addition, the report alleged that Agboola created a phantom Flutterwave Chief Technology Officer, Greg Agboola, who needed to be given 10% of Flutterwave’s shareholdings from Co-Founders, Iyinoluwa Aboyeji and Adeleke Adekoya’s shareholdings.
Moreover, the CEO was said to have built Flutterwave while he was still the Head of Digital Factory & Innovation at Access Bank PLC, a Nigerian local lender.
In the report, Hundeyin alleged that the United States Securities and Exchange Commission (SEC) in 2018 got wind of the said insider trading practice and summoned Agboola, Aboyeji and the CEO of Access Bank, Herbert Wigwe, to a hearing.
According to the media report, the SEC did not confirm or deny the alleged insider trading but rejected a US Freedom Of Information Act (FOIA) request submitted by the journalist, citing privacy concerns.
Hundeyin wrote in the report: “In early 2018, news about this unholy arrangement got to the United States Securities and Exchange Commission (SEC), which has jurisdiction over the Delaware-registered corporation. Under US law, a conviction for insider trading carries a criminal sentence of up to 20 years in prison.
“According to several sources, GB [Agboola], Iyin [Aboyeji] and—for some reason—Herbert Wigwe flew to the Washington DC for an SEC hearing where they allegedly testified under oath that GB never worked simultaneously at Flutterwave and Access Bank.”
The report said Agboola for “at least two years had free reign” to use the lender’s assets to “benefit Flutterwave without the knowledge of Access Bank or most external Flutterwave stakeholders.”
Finance Magnates reached out to Flutterwave for a comment on these allegations but is yet to get a response as of press time. However, Aboyeji, who resigned from the start-up
Startup
A company operating within its first stage of investing is known as a startup. While startups may give the impression that the company must be new, that is not always the case.Many companies can have this designation after nearly three years of existence. Typically, a company exits the startup status after a period between 3 to 5 years or after successful funding rounds where capital is acquired. Startups tend to derive out of the belief that there is a demand for a service or product which is created by at least one or more entrepreneurs. These seek capital as a means to bypass a limited availability of capital and combat high costs. This is why startups seek funding from funding rounds, crowdfunding, venture capitalists, financial institutions, or other sources. What Makes Startups Successful?Given the fact that most startups fail, the first three years of a startup are critical which is why startup founders require capital for talent acquisition, creating effective business models and plans.In parallel it is important to provide proof-of-concept for the long-term through an established user base and consistent revenue streams. Many startups use seed funding, which occurs during the first stage of funding rounds, where fundraised capital is used to conduct market research and product or service development.Sometimes, startups go through an acquisition process, where they merge larger companies competing in a similar industry. Companies that generate less than $20 million annually, possess less than 80 employees, and are primarily controlled by the founding entrepreneur(s) are generally classified as startups. Today, some of the world’s most successful companies started as startups, such as Facebook, Uber, and SpaceX to name a few.
A company operating within its first stage of investing is known as a startup. While startups may give the impression that the company must be new, that is not always the case.Many companies can have this designation after nearly three years of existence. Typically, a company exits the startup status after a period between 3 to 5 years or after successful funding rounds where capital is acquired. Startups tend to derive out of the belief that there is a demand for a service or product which is created by at least one or more entrepreneurs. These seek capital as a means to bypass a limited availability of capital and combat high costs. This is why startups seek funding from funding rounds, crowdfunding, venture capitalists, financial institutions, or other sources. What Makes Startups Successful?Given the fact that most startups fail, the first three years of a startup are critical which is why startup founders require capital for talent acquisition, creating effective business models and plans.In parallel it is important to provide proof-of-concept for the long-term through an established user base and consistent revenue streams. Many startups use seed funding, which occurs during the first stage of funding rounds, where fundraised capital is used to conduct market research and product or service development.Sometimes, startups go through an acquisition process, where they merge larger companies competing in a similar industry. Companies that generate less than $20 million annually, possess less than 80 employees, and are primarily controlled by the founding entrepreneur(s) are generally classified as startups. Today, some of the world’s most successful companies started as startups, such as Facebook, Uber, and SpaceX to name a few.
Read this Term in 2018, has made several tweets to clear his name.
The Co-Founder of Andela, who attacked the journalist for not reaching out to him for a comment, said Access Bank’s leadership were informed about Flutterwave.
The ex-CEO of Flutterwave also said the company maintained the “highest ethical standards” while he led the fintech
Fintech
Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to supply a technological service that not only simplifies but also aids consumers, business operators, and networks.This is done by optimizing business processes and financial operations through the implementation of specialized software, algorithms, and automated computing processes. Transitioning from the roots of the financial sector, fintech providers can be found through a multitude of industries such as retail banking, education, cryptocurrencies, insurance, nonprofit, and more. While fintechs cover a vast array of business sectors, it can be broken down into four classifications which are as followed: Business-to-business for banks, Business-to-business for banking business clients, business-to-consumers for small businesses, and consumers. More recently, fintechs presence has become increasingly apparent within the trading sector, primarily for cryptocurrencies and blockchain technology.The creation and use of Bitcoin can also be contributed to innovations brought upon by fintechs while smart contracts through blockchain technology have simplified and automated contracts between buyers and sellers. As a whole, fintechs applications are growing more diverse with a consumer-centric focus while its applications continue to innovate the trading and cryptocurrency sectors through automated technologies and business practices.
Financial Technology (fintech) is defined as ay technology that is geared towards automating and enhancing the delivery and application of financial services. The origin of the term fintechs can be traced back to the 1990s where it was primarily used as a back-end system technology for renowned financial institutions. However, it has since grown outside the business sector with an increased focus upon consumer services.What Purpose Do Fintechs Serve?The main purpose of fintechs would be to supply a technological service that not only simplifies but also aids consumers, business operators, and networks.This is done by optimizing business processes and financial operations through the implementation of specialized software, algorithms, and automated computing processes. Transitioning from the roots of the financial sector, fintech providers can be found through a multitude of industries such as retail banking, education, cryptocurrencies, insurance, nonprofit, and more. While fintechs cover a vast array of business sectors, it can be broken down into four classifications which are as followed: Business-to-business for banks, Business-to-business for banking business clients, business-to-consumers for small businesses, and consumers. More recently, fintechs presence has become increasingly apparent within the trading sector, primarily for cryptocurrencies and blockchain technology.The creation and use of Bitcoin can also be contributed to innovations brought upon by fintechs while smart contracts through blockchain technology have simplified and automated contracts between buyers and sellers. As a whole, fintechs applications are growing more diverse with a consumer-centric focus while its applications continue to innovate the trading and cryptocurrency sectors through automated technologies and business practices.
Read this Term company.
Aboyeji’s tweet 1: https://twitter.com/iaboyeji/status/1514126664107708417
Aboyeji’s tweet 2: https://twitter.com/iaboyeji/status/1514092832197386240
Aboyeji’s tweet 3: https://twitter.com/iaboyeji/status/1514127134238912512
Tech Leaders React
Leaders in the emerging Nigerian tech ecosystem have started reacting to the report. In a Twitter thread, Jason Njoku, the Founder of Iroko TV, an on-demand web TV platform, said: “mad money rush” was coming into the industry. Njoku restated the importance of the media in helping to sustain the Nigerian tech ecosystem.
Njoku’s tweet: https://twitter.com/JasonNjoku/status/1514157953066184705
On his part, Ikpeme Neto, the Founder of health-tech start-up, Well Health, described journalists are “a good check and balance mechanism” for the industry.
Neto’s tweet: https://twitter.com/docneto/status/1514175893337423873
Matt Flannery, the Co-Founder and CEO of Branch.co, said there is more to come.
Flannery’s tweet: https://twitter.com/mattflannery/status/1513933866070806530
The Case of Bento Africa
The latest report comes less than a month after a Nigerian tech publication, TechCabal, published a report alleging a vile workplace culture at Bento Africa, a Nigerian payroll startup.
The report, based on the testimonies of former employees of Bento Africa, accused Ebun Okubanjo, the Co-Founder and Chief Executive Officer, among other things, of running the start-up with an iron fist while verbally abusing his employees.
The company’s Board of Directors, in its reaction, asked Okubanjo to step back from people operations in the company.
“We are reviewing the HR and people practice and guidelines at Bento and will work with HR consultants and the company’s in-house team to make sure that it is reflective of human values that drive sustainable performance,” the board had said in an email seen by the outlet.
Source: https://www.financemagnates.com/fintech/nigerian-fintech-leaders-react-to-flutterwave-allegations/