THERE is a disturbing development in the banking industry as some banks’ Automated Teller Machines (ATMs) now dispense counterfeit currencies, particularly the N1000 notes, which is the highest denomination in the country.

A drama played out last week in Lagos when a customer who withdrew money from an old generation bank went to another bank few metres away to deposit part of the money in another bank, but was shocked when the cashier told him that some of the N1000 notes were fake. Efforts to explain the source of the money were rebuffed. The cashier and customers in that bank confirmed that the development was not strange but was now becoming rampant.

Another victim who withdrew some amount of money from an ATM in Ibadan was stunned when he was told by a cashier in his office, in an attempt to make some deposit, that two of the one thousand naira notes were fake.

Efforts by Nigerian Tribune to get response from the affected banks proved abortive as they claimed ignorance.

Different opinions have been expressed on this disturbing situation. An ex-banker, Paul Ejodamen told Nigerian Tribune that, there is human factor in the whole arrangement, urging banks to put measures in place to stem the trend.

A head of corporate affairs in one of the banks who pleaded anonymity, did not rule out the handiwork of people he described as ‘bad elements’ in the system.

According to him, there is need for the banks to take extra vigilance on those uploading money into the ATMs and double-check bundle of currency notes being put in the vaults by the Tellers.

A financial analyst and Chief Operating Officer, Twinsronk Consulting, Okechukwu Amadi, said ATM has revolutionised banking in Nigeria, calling on the industry regulator, Central Bank of Nigeria (CBN) to take bold step to stop the disturbing trend.

He warned that the act should not be allowed to spread as it was capable of rubbishing the nation’s banking system.

“I have it before but I thought it was all a rumour. One can understand the use of fake currency in public place certainly not in the bank. CBn and banks must put measures in place to stem it or else, people will lose faith in the ATM technology,” he said.

It is recalled that when the issue of counterfeiting was becoming rampant, CBN advised members of the public to always look out for in-built security features on the note before accepting it for any transaction.There are three major features which are easily identifiable with the original N1000 currency, silver lining which is difficult to tear, imprint of picture images on the water mark side of the note and imprint of N1000 figure on the golden spot of the note, he explained.

Analysts see this as a huge challenge as the apex bank is still contending with the issue of excess charges on customers.

Only recently, CBN said it had recovered N8.6 billion excess charges that banks charged customers in the first quarter of the year.

According to the Deputy Director, Consumer Protection Department of CBN, Mrs Umma A. Dutse, the amount also included what was recovered for customers who complained about conversion, frauds and others.

She said the department received and treated over 2,800 complaints from consumers against their banks at the end of the first quarter.

According to her, “we have also been able to recover more than N8.6 billion in favour of various customers. The figures that I have just mentioned exclude complaints that have to do with Automated Teller Machines and electronic-related complaints, and also complaints from other financial institutions like microfinance institutions and primary mortgage institutions. They are just complaints against Deposit Money Banks.”

The department was created with a view to promoting consumer confidence in the banking industry.

Its roles also include advocacy, enlightenment, education and promotion of awareness among customers.

Oh no, not again!

Nothing is impossible in Naija. That is the reason why I love this country.

smartchoice: Oh no, not again!

. It's garbage in garbage out. What do u expect.

Front Page Mods

Where are we going in this country. Everybody is running after money even those that are well paid. Every body want to be rich no matter whose ox is gored. Money momey.

Neva heard of it nd pray I wil neva xperience such,bt in 9ja d impossibilities re made possibie.....Naija we hail thee!

Seriously :-O

Naija my country

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It was rampant with Intercontinental bank of blessed memory

Dis country is finished

The money dint just find its way into the ATM machine, definately it was the people who loaded it so need to wonder. Just hold those responsible for loading the machine and you get the source of the fake notes. And it needs to be addressed before innocent account holders suffer bigger losses and troubles.

The Purest Form if Money Laundering...

Completely untraceable

It's a strong possibility but the only way banks can stem the tide is to ensure cameras cover everywhere in their premises so the ATM custodian and vault custodians will be monitored. However, I can't say the same for off site ATMs

it's a simple phenomenon. if it happens to you, simply chook d money back into d atm, walk away n ur account will be automatically credited.
try it n see.

Airforce1: Dis country is finished

so who should we blame? the government or the people?

Like 3 times now dat customer has tried 2 use fake N1000 note 2 buy recharge card from me,but I use 2 detect it immediately cos its Polymer.

NAIJA, we no gree carry last for anytn......bt rily ds so bad
BANK...SMH

i just hope this will never happen to me or else

Is it starting 2day?no,it's been long.I was a victim of this also.I withdrew from my bank some months ago only to realised after few munites that the school i wanted to use it to pay was already late.i decided to save it back until they reopen portal.It wasnt funny when a cashier in the same bank identified one as fake.all my explanation proved ineffective.thank god that the public is becoming sensitive to this.

9jadelta: so who should we blame? the government or the people?

Government ke, no b govt dey load moni nah, na we pple ourself

Nigeria anything is possible ooh,I bought meat pie and inside na fish I see oh and anytime I make withdrawer,I make sure I count the money two times.

please,how do i post something on nairaland?

wtf those atm suppose to know fake note

Na Naija we dey abeg.

Bankers at work.

Yet more nonsensical reporting to further prove just how deep corruption has sunk. The name of the consullting firm was mentioned, the name of the CBN was mentioned but not surprisingly the names of the offending banks were protected so that the scam can continue perpetually. Then we turn around and accuse government of cover-up when we cannot even admit to ourselves the truth. Have you ever heard or read on international news stories of importance where the actors are completely anonymous. We Nigerians deserve everything we get. No ATM for me this morning. Period.