FRESH: Paystack And Qatar Airways Caught In Alleged Fraudulent N5.4 Million Diversion Controversy
Paystack Ltd, the financial technology company founded in 2015 by Shola Akinlade and Ezra Olubi to enable businesses to accept secure online and offline payments, has been linked to an alleged diversion scandal involving ₦5,422,574.
According to a Facebook post by Mogaji Wole Arisekola, the sum of ₦5,422,574 which he paid through the Paystack platform for the purchase of a Qatar Airways Business Class ticket from Lagos to London via Doha was allegedly diverted.
Arisekola explained that the payment was made for a Qatar Airways ticket to enable him to attend his daughter’s graduation ceremony in London scheduled for 15 July 2026.
He wrote: “On 27 May 2026, I paid ₦5,422,574 for a Qatar Airways Business Class ticket from Lagos to London through Doha. The journey was particularly important to me because I needed to attend my daughter’s graduation ceremony in London on 15 July 2026.”
According to him, the booking was made under reference number 7QC34K, with ticket number 1047489 . He stated that he transferred the money through his bank, Parallex Bank, into a Paystack-Titan account that was provided for the transaction.
Arisekola further said that after making the payment, he expected to receive his ticket and other necessary travel documents. However, despite repeated requests, neither Qatar Airways nor Paystack issued the ticket or gave a satisfactory explanation for the delay.
He said he immediately lodged a complaint with Parallex Bank, notifying the bank that he had paid over ₦5.4 million without receiving the ticket, after which Parallex Bank contacted Paystack to resolve the issue. He added that even though the payment was confirmed, his ticket was still not issued.
“On 19 June 2026, Paystack reportedly confirmed that the transaction was successful and that the money had been settled. This confirmation made the situation even more disturbing. If the transaction was successful and the payment had been settled, why was my ticket not issued, who received the money, and on whose instruction was the booking subsequently cancelled?” he queried.
He added that on 22 June 2026, Parallex Bank again reminded Paystack that he had still not received the ticket for which he had paid, stressing that he neither requested nor authorised the cancellation of the booking.
Arisekola said he also contacted Qatar Airways on the same day to request the immediate issuance of his ticket, but the airline responded that the payment had allegedly been disputed with his card-issuing bank and that the booking had therefore been cancelled.
He said: “The explanation was completely inconsistent with the facts of the transaction. I did not pay by card; I paid through a bank transfer. I never disputed the payment, and Parallex Bank did not dispute it on my behalf. Neither the bank nor I authorised Qatar Airways, Paystack or any other party to cancel the booking.”
“The critical questions, therefore, remain unanswered: Who falsely represented that I had disputed the payment? Who authorised the cancellation? Where was the ₦5,422,574 after Paystack confirmed that the transaction had been successfully settled? Why was the money not immediately returned after the booking was cancelled?”
He added that despite cancelling the booking without his consent, the parties involved failed to refund his money promptly, leaving him stranded at a time when he urgently needed to travel for an important family occasion. With the graduation date approaching and no assurance on the Qatar Airways booking, he had no option but to purchase another ticket on Virgin Atlantic at short notice, which forced him to incur an additional expense of over ₦3 million.
The veteran journalist said he was infuriated that he could not fly his preferred First Class and instead had to spend another ₦3 million to buy a Virgin Atlantic Economy Class ticket. He noted that he would ordinarily have preferred to travel First Class, but the continued withholding of his ₦5,422,574 severely affected his ability to make alternative arrangements, adding that the financial pressure, uncertainty and disruption caused by the incident also affected his health and general well-being.
He stressed that the matter goes beyond an airline ticket, raising serious questions about consumer protection, accountability and the integrity of electronic payment systems in Nigeria. “How can a customer transfer more than ₦5 million for a service, receive confirmation that the transaction was successful and settled, yet be denied the service and prevented from recovering his money promptly? How can a transaction made through a bank transfer suddenly be described as a disputed card payment?”
“If established businesses operating in Nigeria can treat customers in this manner, what protection does an ordinary Nigerian have?” he asked.
Arisekola, a seasoned journalist and publisher of The Street Journal Newspaper and Magazine, said his lawyers formally wrote to Qatar Airways and Paystack on 10 September 2026, demanding the immediate refund of the ₦5,422,574 he paid since 27 May 2026 without receiving either the ticket or a refund. He disclosed that Paystack and its transaction partner, Qatar Airways, only refunded the money on 21 September 2026 — four months later — after receiving his lawyer’s letter.
“To me, this raises serious concerns about the alleged illegal diversion of my money and a possible intention to deprive me of the more than ₦5 million paid to Paystack and Qatar Airways,” he said.
He added that they have also demanded full disclosure of the precise reason for the cancellation, the date and time it was carried out, whether it was initiated by Qatar Airways or Paystack, and the contractual or legal basis relied upon. According to him, both companies should clearly explain what happened to his money, noting that Nigerians deserve to know how a successfully settled transaction could end with the customer receiving neither the service paid for nor an immediate refund. He stressed that after more than four decades in journalism, he strongly believes institutions entrusted with people’s money must be held accountable, and no company should be allowed to hide behind automated messages, conflicting explanations or prolonged silence while retaining a customer’s funds.
He stated that as of the issuance of the formal pre-action notice, the matter remained unresolved, adding that the allegations are based on payment records, banking correspondence and communications exchanged with the parties concerned. He said Paystack and Qatar Airways should be given the opportunity to provide their full explanations.
He said although his money has now been refunded following his lawyer’s intervention, the circumstances surrounding the unauthorised cancellation and the prolonged withholding of the funds have still not been satisfactorily explained.
Following the unfavourable development, Arisekola has concluded arrangements to seek legal redress over the incident.
“I am, therefore, prepared to seek legal redress against every party found responsible for the cancellation, the withholding of my money and the consequential losses I suffered. Nigeria cannot genuinely improve its ease of doing business when customers are subjected to situations like this. Businesses must understand that accountability is not a favour to consumers — it is a fundamental obligation. The question remains simple: Who took custody of the ₦5,422,574 after Paystack confirmed that the transaction was successful and settled, and why was my ticket never issued? I have instructed my lawyer to petition the Nigerian Civil Aviation Authority and the Office of the Minister of Aviation, requesting appropriate investigations and sanctions against Paystack Ltd and Qatar Airways over their operations in Nigeria,” he stated.
“Any act of withholding or attempting to take intending customers’ money under the guise of an unauthorised and illegal cancellation must be met with severe punishment. I am determined to seek redress in a court of law, which remains the hope of the common man. Nigerians deserve an answer,” Arisekola said with a note of finality.
As at the time of this publication, neither Paystack nor Qatar Airways has stated what happened or issued a formal response clarifying the facts surrounding the allegations .