The fallout from Bento Africa: Startups and employees grapple with payroll and tax fraud

Omoleye Omoruyi
Bento allegedly collected millions in employee taxes and pensions but failed to remit them. 
Ebun Okubanjo, CEO, Bento Africa
Ebun Okubanjo, CEO, Bento Africa

Dealing with Payroll fraud wasn’t a concern for many Nigerian startups until Bento Africa entered the picture. Positioned as a reliable solution for payroll processing, tax remittance, and pension management, Bento offered an appealing alternative to businesses looking to streamline operations.

As revelations from affected businesses continue to surface, however, Bento’s name is now associated with allegations of financial malpractice, forged receipts, and unremitted employee contributions.

Matthew Ekeinde, CEO of Work Pillars, described the experience of working with Bento as “harrowing.” 

His company had used the payroll provider for months before discovering discrepancies in its PAYE remittances. 

They are utterly stressful to work with. Honestly, they were fine for the first 1-3 months we used them and in the third month, the issues started. We once noticed about ₦200,000 at a point was missing from the account. Thankfully, our finance team caught it, and Bento returned the money after we escalated, but the process was excruciating,” he said.

Other companies have echoed similar frustrations, detailing how Bento allegedly collected millions in employee taxes and pensions but failed to remit them. 

Read also: Ebun Okubanjo of Bento will step away from ‘people decisions’, after accusations of toxicity

In some cases, receipts provided by Bento were claimed to be fake, leaving businesses to deal with penalties, reputational damage, and strained employee relationships.

Allegations gain traction on X

The first alarm bells rang on X, where users shared shocking accounts of Bento’s practices. Sultan Akintunde, one of the earliest and strongest voices, posted:

This Nigerian payroll company has been stealing employee tax (PAYE) from all the startups using them. They’ve been collecting millions from startups and they’re remitting just 100 Naira monthly.”

He went further, adding: “You’re collecting millions from us and you’re remitting 100 Naira to LIRS. These guys would remit 100 Naira, get a receipt for that, then forge a new receipt to match the main amount they were meant to remit and submit that.

Akintunde also urged companies to act fast. “If you’re a Nigerian startup using @bento_africa, please go to FIRS and confirm that they’re remitting all the PAYE they’re collecting from you. We’ve stopped using them, but for the period we were using them, they were remitting 100 Naira and faking transaction payments to FIRS.

The thread gained significant traction, with more users stepping forward. Tomiwa recounted her experience: “Lol, I worked with a company that used Bento for our payroll, and for two years… pension and taxes were only paid for in some months out of 24 months, and it is less than 12 months.”

An X user echoed the sentiment: “On this pension remittance matter. Bento fapped a few months from us, we moved to another provider, those ones also fapped it. Then we involved our lawyers and boom… I’m getting old alerts. Na only werey fit survive this country.”

‘Forged receipts, missing pensions, and unremitted taxes’

For many companies, the discovery came only after regulatory red flags. 

Matthew Ekeinde shared how Work Pillars uncovered the discrepancies. 

We were notified a few months ago by the government office as Bento’s portal shows that our taxes were remitted. But the government portal shows that a few months are missing

We’re working to sort that out directly with the government as we don’t want to incur penalties but that is more money from our end. As Bento is uncooperative,” he explained.

An anonymous employer who claimed to have used Bento from September 2022 to March 2023 described a similar experience. “We stopped using them in March after noticing discrepancies. When we asked for evidence of remittance, they initially responded but later stopped. Eventually, we filed a legal case.”

The company won a judgment against Bento, with the court ruling that the provider owed ₦6 million in unremitted pensions and ₦22 million in unpaid taxes. 

Despite the ruling, Bento has yet to make payments. “We were quiet about this for a long time,” the employer admitted. “We didn’t want to scare the tech space or risk Bento running away, but we couldn’t stay silent any longer.”

Employees left in financial limbo

The human cost of Bento’s alleged malpractice extends beyond businesses. Employees who trusted their companies to manage pensions and taxes are now grappling with the fallout. Missing pension contributions have raised concerns about long-term financial security, while unremitted taxes could lead to legal complications for unsuspecting workers.

Akintunde’s tweet highlighted this with the following allegation: “It’s not only PAYE tax that they steal; they also steal employee pensions too. If you’re using them, please go and investigate. Don’t believe what you see on their dashboard or email.”

One employer explained how the issue has eroded trust within their team. “Pensions are about financial security. When staff found out their contributions were missing, it felt like a betrayal—not just by Bento but by us as employers who trusted them.”

‘Bento’s pattern of deception’

A recurring theme in the accounts of affected companies is the claimed use of forged receipts. Ayodeji Ogundiran, who said his company used Bento from 2019 to 2023, explained how the alleged deception unfolded. 

In early September, the LIRS came to our office for a spot check of our 2024 PAYE receipts which we provided them. They then came back to us the following week to say that some of the receipts were fake and requested for our 2023 receipts which we furnished them as well. It was also discovered that most of the 2023 receipts were fake,” he said.

The pattern of deception extended to pension contributions. One employer described how Bento’s records would reflect payments that never reached pension fund administrators. 

It was only when we asked for a PENCOM compliance certificate that we realised several months of contributions were missing,” they revealed.

Ekeinde adds: “From employees receiving their salaries late, to the constant need for our team to always reach out to support, it’s crippling.”

Affected companies argue that more robust oversight is needed to prevent similar cases in the future.

One business owner stressed the importance of stronger enforcement. “The government must step in to hold these companies accountable. We trusted them, and they failed us,” he said.

Legal action is also underway, with several companies attempting to pursue claims against Bento to recover funds. While one has won a judgment in their favour, enforcement remains a challenge.

Lessons for startups and the payroll ecosystem

Entrepreneurs like Akintunde are urging their peers to take proactive measures to protect their businesses and employees.

Go to FIRS, check your records,” Akintunde warned. “Don’t rely on emails or dashboards. Protect your business and your employees.”

Matthew Ekeinde offered similar advice. “No business small or large can function like that long term.”

Read also: Africa loses $60 billion a year due to non-implementation of digital tax collection- Bento Report

Bento CEO responds: “Mistakes were made, but not the type you think”  

Ebun Okubanjo, Co-founder and CEO of Bento Africa, has broken his silence on the allegations against the payroll company through a statement shared on LinkedIn. Addressing the public and stakeholders, Okubanjo appealed for patience and understanding, emphasising that not all claims should be taken at face value.  

My goal this year was actually to post less… I woke to messages on Friday – lord not again,” Okubanjo began, referencing the backlash and viral moments that have thrust the company into the spotlight. He acknowledged past mistakes but insisted they were not the kind being alleged. 

Ebun Okubanjo, CEO, Bento Africa
Ebun Okubanjo, CEO, Bento Africa

Not everything that is written is true, and mistakes are a feature not a bug in building and we make and continue to make a lot hopefully not the same,” he wrote. 

 “We made mistakes but not the type you think.” He continued. 

Okubanjo sought empathy from the public, admitting the toll of such crises on him personally and professionally. 

Since Friday – I have taken a lot of calls… but to all of you who called, not to ask, ‘Ebun, what now?’ but ‘Ebun, how are you?’… I am incredibly grateful,” he said, expressing appreciation for the support he’s received.  

While assuring that “people’s money cannot disappear” and promising to resolve the issues raised, Okubanjo maintained the company’s innocence regarding the core accusations. 

This is not saying we did something wrong,” he stated, noting that out of over 1,000 users, 30 complaints had been made, which he argued “that does not a pattern make.”  

The statement highlighted Okubanjo’s frustration with the scrutiny that comes with scaling a business, as he humorously pointed to competitors like Seamless and Workpay, inviting them to “take some of this heat.”  

Along with his plea for understanding, Okubanjo reaffirmed his commitment to ensuring that complaints are resolved. “All of it must and will be sorted,” he wrote, acknowledging the seriousness of the public’s concerns while asking for time for the situation to “play out.”


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