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Eight Banks Lose N1.9bn To Fraud In One Year - Business - Nairaland

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Eight Banks Lose N1.9bn To Fraud In One Year by dre11(m): 9:17pm On Aug 22, 2021
Eight deposit money banks in Nigeria lost a total of N1.9bn as a result of fraudulent incidents last year, data collated from their annual reports have shown.

They are Zenith Bank Plc, Access Bank Plc, Union Bank of Nigeria Plc, Guaranty Trust Bank, Wema Bank Plc, Fidelity Bank Plc, Polaris Bank Plc and Sterling Bank Plc.

Polaris and Zenith incurred the biggest losses as a result of fraud within the review period, as they lost N938.4m and N360m respectively.

According to its annual report, Polaris recorded a total of 134 cases of fraud in 2020 which comprise seven fraud categories, namely Automated Teller Machine fraud (43 cases), Internet bank fraud (three cases), mobile fraud (46), impersonation fraud (three cases), cheque theft (one case), outright theft (25 cases) and general fraud incidents (113).

The report also revealed that ATM, Internet bank, mobile and impersonation fraud cases cost the bank N830.1m, N37.7m, N16.2m and N989,700 respectively.

It said cheque theft led to a loss of N1m, while outright theft and general fraud incidents resulted N21.8m and N30.4m losses respectively.

Zenith’s fraud losses grew by N92m from N268m recorded in 2019 to N360m in 2020.

The number of fraud cases recorded by GTB grew from 15,461 in 2019 to 17,310 last year, while the cost of the fraud cases rose to N174.4m from N107.4m recorded in 2019.

Access Bank lost a total of N138.1m in 2020, which is N197.1m lower than what it incurred in the previous year. However, the bank’s fraud incidents rose from 5,836 cases in 2019 to 11,784 last year.

Sterling, Wema and Fidelity recorded fraud losses of N132.23m, N105.4m and N22.2m, respectively.

Further analysis of the reports revealed that Sterling Bank’s total fraud loss grew from N109.5m in 2019 to N132.23, while losses incurred by Fidelity Bank fell by N315.3m in the period under review.

Wema recorded 1,201 fraud cases, which led to a loss of N105.4m, consisting of Internet fraud (N93.9m) and operational and other types of fraud (N11.4m).

The Nigeria Inter-Bank Settlement System Plc had in February 2021 released the second edition of its ‘Fraud in the Nigerian financial services’ report, which revealed that in the first nine months of 2020, financial institutions lost N5bn to fraudulent activities.

NIBSS said in Nigeria’s banking sector, N203.4m was lost in 984 fraud attempts, while 3,163 attempts that could have resulted to a N380.2m loss were repelled.

According to the report, there is a need for financial institutions to offer increased artificial protection for customers’ investment.

Experts, in separate interviews with our correspondent, advised banks to adopt sophisticated cybersecurity measures to mitigate current cyber threats and intensify their efforts in educating customers on ways to avoid falling prey to fraudulent actors.

An ICT expert and Senior Partner at e86 Limited, OluGbenga Odeyemi, said, “I think there is a gap on the education of customers on what to do and what not to do. Times are hard, and those into crimes are inventing new ways to move forward.

“So, banks, especially the central bank, need to be steps ahead of those in financial crimes. They should think ahead and come up with certain measures that would mitigate cyber fraud and attacks, and ensure that their customers are well educated on how not to become preys.”

He also emphasised the need for banks to hire qualified cyber security personnel to monitor their ICT space.

A financial expert and Senior Lecturer at Pan-Atlantic University, Dr Olalekan Aworinde, urged banks to increase their investments in cybersecurity and strengthen their internal control to curb fraud in the financial sector.

https://punchng.com/eight-banks-lose-n1-9bn-to-fraud-in-one-year/

Re: Eight Banks Lose N1.9bn To Fraud In One Year by Goldbw122(m): 9:18pm On Aug 22, 2021
Our generation is going bad day by day..

9 Likes 1 Share

Re: Eight Banks Lose N1.9bn To Fraud In One Year by ObiOkpor(m): 9:18pm On Aug 22, 2021
Bank staff collaborate with outsiders to defraud innocent citizens.....

72 Likes 1 Share

Re: Eight Banks Lose N1.9bn To Fraud In One Year by jaeyking(m): 9:42pm On Aug 22, 2021
Huge loss.
To the customers and not the bank..

10 Likes

Re: Eight Banks Lose N1.9bn To Fraud In One Year by Resurrection212: 10:25pm On Aug 22, 2021
Where is UBA useless bank they can't explain how my 900k disappeared from account I can't withdraw 20k per day except add my 4last digit of my atm.

27 Likes 1 Share

Re: Eight Banks Lose N1.9bn To Fraud In One Year by Akwaibomdude(m): 8:13am On Aug 23, 2021
Damn...no be lie
Re: Eight Banks Lose N1.9bn To Fraud In One Year by tomilayomi: 8:13am On Aug 23, 2021
This con tree eh grin
Gbagbe, anything can happen... grin

2 Likes 1 Share

Re: Eight Banks Lose N1.9bn To Fraud In One Year by money121(m): 8:13am On Aug 23, 2021
Ok
Re: Eight Banks Lose N1.9bn To Fraud In One Year by Kayberg: 8:13am On Aug 23, 2021
undecided

Let's hear word… it can only be inside job.

4 Likes 1 Share

Re: Eight Banks Lose N1.9bn To Fraud In One Year by jaxxy(m): 8:13am On Aug 23, 2021
By who??
Re: Eight Banks Lose N1.9bn To Fraud In One Year by HEAVEN4444: 8:14am On Aug 23, 2021
cheesy
Re: Eight Banks Lose N1.9bn To Fraud In One Year by baike: 8:14am On Aug 23, 2021
Hmmmmm
Re: Eight Banks Lose N1.9bn To Fraud In One Year by Jh0wsef(m): 8:14am On Aug 23, 2021
Stupid banks.

4 Likes 1 Share

Re: Eight Banks Lose N1.9bn To Fraud In One Year by Nobody: 8:14am On Aug 23, 2021
First bank remains the first

10 Likes 1 Share

Re: Eight Banks Lose N1.9bn To Fraud In One Year by AFvckingAlpha(m): 8:15am On Aug 23, 2021
The fvck

Niggarr!!


Small figures compared to what BOA and American banks are loosing.

Nor be North Korean hackers steal $81m from Central bank of Bangladesh that year.

Niggarrs aint playing, they going for the big bag.

I said what I said

4 Likes

Re: Eight Banks Lose N1.9bn To Fraud In One Year by Calibrator: 8:16am On Aug 23, 2021
Nigerian financial institutions are a joke.

Local thrift collectors are safer and more trustworthy than the lot of them.

3 Likes

Re: Eight Banks Lose N1.9bn To Fraud In One Year by akanbiaa(m): 8:16am On Aug 23, 2021
Hmmmm
Re: Eight Banks Lose N1.9bn To Fraud In One Year by Timoleon(m): 8:16am On Aug 23, 2021
Re: Eight Banks Lose N1.9bn To Fraud In One Year by oluwaseunamos33(m): 8:16am On Aug 23, 2021
hmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmmm
Re: Eight Banks Lose N1.9bn To Fraud In One Year by peppermint7(m): 8:17am On Aug 23, 2021
Yen yen yen
Nigerian banks no de lose for cases of fraud
This is just innocent citizens loosing their money

2 Likes

Re: Eight Banks Lose N1.9bn To Fraud In One Year by Olarewaju89: 8:17am On Aug 23, 2021
Awon omo aye... grin

Even banks are also fraudster undecided
Re: Eight Banks Lose N1.9bn To Fraud In One Year by Fulla(m): 8:17am On Aug 23, 2021
Most bank frauds have an insider in it but they won't tell us. Now that they are claiming victim, I hope the account owners are not affected. I personally go for fintech banks any day

4 Likes 2 Shares

Re: Eight Banks Lose N1.9bn To Fraud In One Year by armadeo(m): 8:17am On Aug 23, 2021
Imagine.

Na God dey save person for this country.

Last last they would be bouncing mails up and down and nothing would come out of it.
Re: Eight Banks Lose N1.9bn To Fraud In One Year by kennyz247(m): 8:18am On Aug 23, 2021
ds country really need help oooó
Re: Eight Banks Lose N1.9bn To Fraud In One Year by KingLennon(m): 8:19am On Aug 23, 2021
There is no fraudulent transaction that can go on in a bank without one or two workers not knowing about it...



House rat na it dey tell Bush rat where dem hide pot for house...

2 Likes

Re: Eight Banks Lose N1.9bn To Fraud In One Year by vickydevoka(m): 8:19am On Aug 23, 2021
Resurrection212:
Where is UBA useless bank they can't explain how my 900k disappeared from account I can't withdraw 20k per day except add my 4last digit of my atm.

exactly!! Bank staff are thieves. They secret is dis, never u have an ATM card for your main account. Never!!! With that de staff dere won't be able to withdraw any money.
What most of dem do is cloning of ATM cards. De will be monitoring ur account untill a day will come dey will wipe everything. And also your friends n relatives fear Dem. De will just snap ur ATM without ur knowledge. Dere are platform that doesn't require 4 digit. Like pay stack. N some other shopping sites. So de bottom line is don't Ask for ATM for you main savings account

10 Likes 1 Share

Re: Eight Banks Lose N1.9bn To Fraud In One Year by moneyissweet(m): 8:19am On Aug 23, 2021
And some nairaland mugus are here shouting crime does not pay while men are cashing out 247


Mugus

Hahahaha

1 Like

Re: Eight Banks Lose N1.9bn To Fraud In One Year by The5DME(m): 8:20am On Aug 23, 2021
B
Re: Eight Banks Lose N1.9bn To Fraud In One Year by Bunnatex(m): 8:21am On Aug 23, 2021
Internet fraud is on the rise. And the bankers too can't be trusted. Some of those fraud was orchestrated by insiders in the bank. There was a case of a banker supplying kidnappers the bank balances of potential victims.

Last last our problem does not only lie with bad government.

9 Likes 1 Share

Re: Eight Banks Lose N1.9bn To Fraud In One Year by OakConsultNG: 8:21am On Aug 23, 2021
Interesting..
Re: Eight Banks Lose N1.9bn To Fraud In One Year by haslaw(m): 8:23am On Aug 23, 2021
A lot of these banks have very wack and unsecured networks. Most times, its the innocent customers are the ones losing money.
Re: Eight Banks Lose N1.9bn To Fraud In One Year by DropsMic(m): 8:24am On Aug 23, 2021
Access bank

1 Like

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