'Only 20% of Nigerian bank staff involved in fraud got sacked in 2023' - FITC report

A report by FITCS shows that just 20% of Nigerian bank employees caught in fraudulent activities were sacked in 2023.

This shows that there is a form of leniency towards such malpractices in the banking industry.

An analysis of reports on fraud and forgeries in Nigerian banks from FITCS shows that only 50 bank staff members out of a total of 270 involved in fraudulent activities faced dismissal at work.

This report has raised concerns about the commitment of financial institutions in fighting corruption and ensuring integrity in their operations.

FITC encouraged banks to strengthen their digital infrastructure to solve the issue of fraud in the banking sector.

It said: “Nigerian banks must heavily invest in upgrading and fortifying their digital infrastructure. This involves implementing cutting-edge cybersecurity measures, robust identity verification systems, and real-time transaction monitoring. Regular security audits and penetration testing are essential for promptly identifying and addressing system vulnerabilities.

“Furthermore, banks should prioritize customer and employee education to raise awareness about prevalent fraud schemes and promote effective prevention practices. Collaborating closely with law enforcement agencies is crucial to enhancing the capacity for investigating and prosecuting fraud cases. Swift response to fraud incidents and asset recovery serves as a powerful deterrent to potential fraudsters.

“Regulatory compliance should be a top priority, requiring banks to stay current with evolving regulations related to fraud prevention and data security. Compliance not only ensures adherence to legal standards but also demonstrates a commitment to safeguarding customers’ financial assets. Following these recommendations will empower Nigerian commercial and merchant banks to better protect themselves and their customers against fraud and forgeries in the current situation.”

BEB