The Economic and Financial Crimes Commission (EFCC) Chairman, Ola Olukayode, has unveiled that banks in Nigeria are implicated in approximately 70% of the country’s financial crimes.
Olukayode disclosed this during the 2023 Annual Retreat and General Meeting of the Association of Chief Audit Executives of Banks in Nigeria, held in Abuja.
Highlighting the gravity of the situation, Olukayode emphasized that the banking sector is increasingly becoming a breeding ground for fraudulent activities, posing significant challenges to the commission.
He stated the urgent need for collaborative efforts among relevant authorities and professionals, particularly audit executives, to combat fraudulent practices within the sector.
Olukayode outlined the types of fraud prevalent in the banking sector, ranging from internal malpractices such as unauthorized selling of customers’ deposits and forgery to external threats like hacking and ATM fraud. He also condemned the collaboration between insiders and outsiders, describing it as detrimental to the integrity of the financial system.
To address these concerns, Olukayode urged the Association of Chief Audit Executives of Banks in Nigeria (ACAEBIN) to prioritize proper reconciliation of accounts, monitor financial activities, and conduct regular reviews to ensure compliance with accounting standards.
Responding to the EFCC’s call to action, the Chairman of ACAEBIN, Prince Akamadu, affirmed the association’s commitment to implementing the recommendations provided. He acknowledged the pivotal role of banks in addressing foreign exchange challenges in Nigeria, a key agenda of the retreat.
Akamadu reassured stakeholders that banks are actively implementing measures, including stringent Know Your Customer (KYC) mechanisms, to mitigate fraudulent activities.
