How banks in Nigeria commit fraud – EFCC

Chairman of the Economic and Financial Crimes Commission (EFCC), Ola Olukayode, has explained how banks in Nigeria carryout fraudulent acts.

In his address at the 2023 Annual Retreat and General Meeting of the Association of Chief Audit Executives of Banks in Nigeria, Olukayode said fraud in the sector is both inside and outside related.

The Chairman, was represented by EFCC’s Director of Internal Audit, Idowu Apejoye at the event.

“Broadly speaking, banking fraud in Nigeria is both inside and outside related. The inside related fraud comprises outright selling of customers’ deposits, authorising loan facilities, forgery and several other kinds of unhealthy and criminal practices.

“The outsider related ones include hacking, ATM fraud, conspiracy, among others. And then the absurd one is when both collaborate, that is collaboration among the bankers and the outsider.”

“That one is the one that is really absurd because when you do that, that means you are selling out the system.”

On the percentage of financial crimes traceable to the banking sector in Nigeria, he said:”It is estimated that about 70 per cent of financial crimes in Nigeria are traceable to the banking sector, this scenario is disturbing and unacceptable.”