70% of financial crimes in Nigeria facilitated by banks – EFCC

EFCC

The majority of financial crimes perpetrated in Nigeria are done with the active involvement of the banks, the Economic and Financial Crimes Commission has said.

This is as EFCC’s Chairman, Ola Olukayode, disclosed that about 70 per cent of the financial crimes in the country are committed in connivance with banks’ officials.

He made the disclosure while speaking in Abuja at the 2023 Annual Retreat and General Meeting of the Association of Chief Audit Executives of Banks in Nigeria.

He asserted that the banking sector was increasingly becoming an enclave of questionable and fraudulent activities and this had a source of worry and challenge to the anti-graft agency.

Olukayode who was represented by the Director, Internal Audit, EFCC, Idowu Apejoye, said there was a need for concerted effort by relevant authorities and professionals, especially audit executives to prevent and tackle issues of fraudulent practices in the sector.

He said it does not speak well of the country that those who are saddled with protecting the integrity of financial institutions are the ones engaging in activities that bring it into disrepute.

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

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