EFCC Expresses Concerns Over The Involvement of Banks in Approximately 70% of Financial Crimes in Nigeria
The Economic and Financial Crimes Commission (EFCC) recently raised concerns about the involvement of banks in approximately 70% of financial crimes in Nigeria. This revelation was made by EFCC Chairman Ola Olukayode during the 2023 Annual Retreat and General Meeting of the Association of Chief Audit Executives of Banks in Nigeria, held in Abuja.
Olukayode emphasized the growing trend of fraudulent activities within the banking sector, posing significant challenges to the commission. He stressed the importance of collaborative efforts among relevant authorities and professionals, particularly audit executives, to address and prevent fraudulent practices in the sector.
He said, “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. 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.”
Olukayode stated that in order to curb the anomalies, ACAEBIN should ensure proper reconciliation of accounts every month in accordance with accounting requirements. He charged the association to monitor the financial activities of banks, comparing actual and budgeted revenue with expenses, carry out periodical review, checks, among others.
The Chairman, ACAEBIN, Prince Akamadu, said the association would work towards achieving some of the recommendations provided by the EFCC boss. He also stated that the association was fully committed to fixing the foreign exchange challenges in Nigeria, which was one of the issues that the retreat aimed to achieve.
