Business and Economy
Rising Bank Fraud: Sad Tales From GTB, Ecobank, Polaris, Fidelity, Others
By NGIJ team of Oluwasegun Abifarin, Olawale Abideen and Adeyemi Obadimu
To further promote a cash-less economy and enhance the collection of applicable government revenues, the Central Bank of Nigeria last Tuesday, announced a review of the process for merchant settlement. js">
With effect from September 17, 2019, the CBN approved for banks to unbundle merchant settlement amounts and charge applicable taxes and duties on individual transactions as stipulated by regulations.
The CBN, in a circular to all deposit money bank also announced the commencement of charges on deposits in addition to already existing charges on withdrawals.
According to the circular, the charges, which took effect from September 18, 2019, will attract 3 per cent processing fees for withdrawals and 2 per cent processing fees for lodgements of amounts above N500, 000 for individual accounts.
Similarly, corporate accounts will attract 5 per cent processing fees for withdrawals and 3 per cent processing fee for lodgements of amounts above N3 million.
The statement, however, disclosed that the charge on deposits shall apply in Lagos, Ogun, Kano, Abia, Anambra, and Rivers States as well as the Federal Capital Territory, while the implementation of the cash-less policy would take effect from March 31, 2020 nationwide.
The Dilemma
To Olusegun Aremu, father of Miss Mary Taiwo, this directive by the CBN is akin to a double jeopardy of rubbing salt to a fresh wound. Their recent experience with internet transaction with Guaranty Trust Bank, GTB is still haunting the memory of both father and daughter.
While Taiwo was looking forward to her admission at a Federal University in one the states in the South West, her father, had deposited N250, 000 in her savings account with GTB domiciled at Ikotun-Egbe, Lagos State, to take care of necessary admission/resumption formalities.
Sorrow and Tears
While Taiwo was waiting for her admission letter, she did not anticipate that tragedy was also lurking in the corner. Precisely on Saturday, 20th of July, 2019, she received a text message supposedly from the bank on her phone to “upgrade some information on her account.” She innocently obliged and that was the genesis of nightmare for the family. Within 18 hours, the entire N250, 000 in the account was transferred to various accounts.
A statement of account she obtained from the bank showed that on 20th July, the sum of N80, 000 was yanked off the account via POS/WEB Purchase Transaction 766634-134659-CASABELLA INTERNATIONAL. The next day, 21st July, there was an NIBSS Instant Payment of N5, 000 Outward to a First Bank of Nigeria, FBN Leramo AKinwumi Olamide. This was followed immediately of another N5, 000 to the same account.
The third transaction of the day was a double transfer of N50, 000 each NIBSS Instant Payment Outward to UBA/ Agbokun Ayoka. This was followed by another transfer of N20, 000; and N10, 000 respectively to the same UBA account of Agbokun Ayoka.
The last tranche of the fraud was a USSD transfer of N20, 000 to Amuokuyo Success Imengowen, leaving a paltry N2, 500 in the account before the girl actually realized what had hit her.
The girl and the family are yet to get over the trauma as the resumption time at the school draws closer. Her complaint at the bank merely received an email sympathizing with her and claiming the account will from now be put on extra security.
“You can see that the announcement by the CBN last Tuesday is just nothing but a sham. How can you say you are encouraging cashless banking when the process is riddled with fraud and scams?” Taiwo’s father told our correspondent last week.
Taiwo’s case is similar to the case of a Pastor in Sango-Ota, Ogun State, who lost about N180, 000 in his account with Polaris Bank in the same manner as Taiwo’s. The case of a young man whose $5,000 was sniffed in his account with a first generation bank in Ikorodu, Lagos State was not less dramatic.
It actually took an invasion of the bank by hired thugs from the young man, which disrupted the operations in the bank before the scam was reversed.
Early this year, the Economic and Financial Crimes Commission, Ibadan Zonal Office, has arrested one Kehinde Agbabiaka, a sales agent with Fidelity Bank Plc, for allegedly diverting N137m belonging to a customer to personal use.
Agbabiaka was supported in the fraudulent act by his bank’s Regional Security Officer and Cluster Control and Compliance Manager.
According to a petition filed against him on August 20, 2019 by the client, Agbabiaka committed the offence between January 2017 and July 2019 when he was the account officer of the victim.
Trouble, however, started when the customer reviewed his statement of account and discovered some discrepancies.
When EFCC investigators stepped into the case after the agency was petitioned, it was revealed that Agbabiaka had used the diverted sum to build houses, purchase cars, invest in fixed deposits and insurance policies.
In the case of Ademola Taiwo, a Police officer, thirty three thousand naira got missing from her Eco Bank account between the 2nd and 16th September, 2019.
According to Ademola’s statement of account obtained from the bank, a particular MTN mobile phone number (08032942510) was used to siphon the money. Ademola explained that she has been using the account for the past 10 years and has been receiving transaction alerts through her mobile phone line.
She added that few weeks ago, the bank stopped sending her alerts and within two weeks that she could not access her account through her mobile phone, N33, 000 was yanked off her account. On approaching the bank, Ademola could not believe what she heard as the Eco bank officials could not explain why she has to lose such amount of money from her bank account.
Banking on Fraud
According to the Nigerian Deposit Insurance Corporation, the insurer of all Deposit Money Banks in the country, a total of 37,817 fraud cases were reported in 2018 against 26,182 in 2017. The amount involved stood at ₦38.93 billion in 2018 compared to ₦12.01 billion in 2017.
The actual amount lost to fraud incidences in 2018, according to the NDIC stood at ₦15.15 billion as against ₦2.37 billion and ₦2.40 billion in 2017 and 2016, respectively.
The rising fraud incidences, investigation revealed, could be attributed to the increase in the sophistication of fraud related techniques such as hacking, cybercrime as well as increase in I.T related products and usage, fraudulent withdrawals and unauthorised credit.
The channels and instruments through which the reported frauds and forgeries were perpetrated indicated that Internet and technology-based sources of fraud had the highest frequency, accounting for 59.2% of fraud cases and 42.83% of the actual total loss suffered.
Meanwhile, the number of ATM/Card-related fraud cases declined from 16,397 in 2017 to 10,063 in 2018. That may be attributed to improved security features of the card as well as security awareness on the part of users. Web-based fraud cases, however, increased from 7,869 in 2017 to 12,343 in 2018.
Enemy Within
Investigation also revealed that a total of 899 staff were involved in frauds and forgery cases in 2018 compared with 320 in 2017. The number of temporary staff involved in fraud was 394, accounting for 43.83% of the total number of staff involved in frauds.
This was followed by Officers and Executive Assistants’ cadre with 206 or 22.91%. Supervisors and Managers accounted for 119 or 13.24% of the total fraud cases.
Other Legs of Fraud
Not a few Nigerians also believe that the Card Maintenance Fee charged by banks is fraud in another name. In the first six months of this year alone, 13 banks raked in 39.5 billion naira from the exercise.
There are currently 27 banks in Nigeria with government licenses, harbouring 112,005,516 accounts as at 31st December, 2018 through recent drive to enhance financial inclusion as well as other social welfare schemes.
As at December 2018, Nigeria’s Total Deposits was reported at 28.7 trillion naira out of which FUGAZ (which is an acronym for FBNH, UBA, GT Bank, Access Bank and Zenith Bank) now have a cumulative total customer deposit of N14.1 trillion.
Remedies
The number of temporary staff involved in fraud and forgery cases had consistently been on the increase. Forensic and security experts agree that the banks and regulators need to address the problem of contract/temporary staff in terms of welfare and permanent employment in view of the risk their current status poses to banks operations.
Furthermore, they advise that banks should strengthen their internal controls and validate their recruitment process.
Long Arm of the Law
The Act establishing the Economic and Financial Crimes Commission, EFCC mandates it to combat financial and economic crimes. The Commission is empowered to prevent, investigate, prosecute and penalise economic and financial crimes and is charged with the responsibility of enforcing the provisions of other laws and regulations relating to economic and financial crimes including:
Economic and Financial Crimes Commission Establishment act (2004); The Money Laundering Act 1995;The Money Laundering (Prohibition) act 2004; The Advance Fee Fraud and Other Fraud Related Offences Act 1995;
The Failed Banks (Recovery of Debts) and Financial Malpractices in Banks Act1994;The Banks and other Financial Institutions Act 1991; and
Miscellaneous Offences Act.
In 2016 alone, the EFCC secured the convictions of 182 fraudsters as follows: Abuja, 38; Lagos, 62; Kano, 34; Enugu, 15; and Port Harcourt, 33
Defending the Rot
Despite Nigerian banks’ huge investment on technology, it is alarming that most banks are still very vulnerable to attacks and financial frauds. None of the banks is ready to admit that customers’ money in their custody is not safe. When confronted by our team on what their banks are doing to secure their customers savings, they tried to dodge the question either by out rightly failed to pick calls or respond to messages sent to their phones.
Some of them also do not want to be quoted claiming that there are “fraudsters everywhere and no matter how hard bankers tried, criminals will always find a way to perpetuate financial crimes”.
For instance, Idoko Negedu who is said to be the Head of Media in Guaranty Trust, after series of failed attempts to seek his views finally agreed to meet NGIJ team last Friday.
However, when the team got to his Lagos Island office, he claimed he is not willing to meet more than one person who had earlier called to schedule the appointment with him. All efforts to convince him that two others are members of the team on the assignment, proved abortive as he maintained that he was not willing to grant media interviews, claiming he is not the spokesman of the bank.
Idoko who wears an apparently arrogant look, frowned at some of the questions posed to him, claiming that the journalists “seem to be interesting in publishing the report rather than cooperating with the bank.”
However, a top official of Ecobank who would not like his name to be mentioned stated that “technology is evolving and as the banks device new technology so as the criminals create new ways to beat it”. The Ecobank official told NGIJ team that “I’m surprise hearing two people can be receiving alerts from a single account.”
Author Profile
Latest entries
PoliticsFebruary 10, 2026ADC Inaugurates Southwest Zonal Working Committee in Ibadan, Reaffirms Party Strength and Unity
PoliticsFebruary 9, 2026Ajia Pitches Tent with APC, Says Nigeria Must Defeat Insecurity
PoliticsFebruary 8, 2026Kogi Progressive Forum Denies Alleged Division In APC
Health and Life StyleFebruary 8, 2026Kogi L-PRES Project Takes Delivery of Vaccines for Transboundary Animal Disease
Business and Economy
Ododo Lauds Tinubu Over Public Finance Reforms, As Chief Ibori Commissions Kogi Audit House
From Joseph Amedu, Lokoja
Kogi State Governor, Alhaji Ahmed Usman Ododo has commended President Ahmed Bola Tinubu, for his visionary leadership and steadfast commitment to strengthening governance systems across the country through public finance reforms.
adsbygoogle || []).push({});
com/pagead/js/adsbygoogle.js">
The Governor who stated this on Tuesday during the official commissioning of the Kogi State Audit House, said the ongoing national reforms in public finance management, institutional accountability, and economic restructuring under his administration have created an enabling environment for states to execute impactful projects that strengthen transparency and improve service delivery.
“We remain fully aligned with the Renewed Hope Agenda and deeply appreciate the support extended to sub-national governments.
Governor Ododo also acknowledge and commended Chief James Onanefe Ibori, former Governor of Delta State, who he described as a respected statesman and distinguished son of Niger Delta, for presence to commission the Audit House.
Speaking further on Chief Ibori, the governor said “Your contributions to governance, leadership, and national development continue to inspire many of us, and we are deeply grateful for your solidarity with the Government and people of Kogi State on this historic day.
“I therefore use this opportunity to specially welcome our visiting dignitaries, Auditors-General from across the Federation, party leaders, members of civil society organizations, development partners, and all friends of Kogi State who have honored us with their presence today.
“Your participation underscores the national significance of this event and the shared responsibility we all bear in strengthening democratic accountability and public sector performance in Nigeria.
“As we mark this commissioning, let this facility serve not only as an administrative center, but as a symbol of our collective resolve to uphold integrity, professionalism, and transparency in the management of public resources.
“It should also stand as a model and inspiration to other states to invest deliberately in institutional frameworks that support effective oversight and responsible governance.
“In conclusion, I reaffirm the commitment of my administration to building systems that protect public interest, strengthen public institutions, and promote inclusive development. The Kogi State Audit House represents a major step in that direction.
“It is therefore my honor and privilege, with gratitude to Almighty God and in recognition of his distinguished service to our nation, to invite His Excellency, Chief James Onanefe Ibori, former Governor of Delta State, to kindly perform the official commissioning of the Kogi State Audit House. The governor said.
While commissioning the edifice, Chief Ibori commended the the Kogi State Governor, Alhaji Ahmed Usman Ododo for his effort in promoting accountability and transparency in governance through institutional support.
He called on the people of the state to continue to support the programmes and vision of the Governor Ododo administration, saying that this will enhance all round development of the state.
“Let me commend Governor Ododo for his effort in promoting accountability and transparency in governance. I therefore called on all citizens of the state to continue to give their support to the administration, which will enhance all round development of the state.
Speaking earlier, the Auditor General of Local Government, Alhaji Yakubu Adabenege, noted that the commissioning of the Audit House was a dream come through.
Speaking further he said “Someone may ask why the audit house at this time. I have to tell the story for your record and for history. What you are seeing here today is beyond an ordinary building, it’s God’s own project, it is a dream come true.
“From this Audit House, we promise to put our body and soul to support your administration to achieve all its set goals. We shall follow every kobo, every resource deployed to its final intended destination, for you to leave many more lasting legacies for our dear Kogi State. He stressed
In his remarks, the Commissioner for Housing and Urban development, Hon. Taiye Abanika, noted that the Audit House stands as further proof of the Governor’s promise to support critical institutions with the needed infrastructures to enable them perform their responsibilities effectively.
He said It also reflects the governor’s firm belief that accountability and good governance can function effectively, if they are properly equipped and empowered.
“I sincerely appreciate the Governor for his trust in us and for his consistent support in the execution of this and all other projects across the state.
Author Profile
Latest entries
PoliticsFebruary 10, 2026ADC Inaugurates Southwest Zonal Working Committee in Ibadan, Reaffirms Party Strength and UnityPoliticsFebruary 9, 2026Ajia Pitches Tent with APC, Says Nigeria Must Defeat InsecurityPoliticsFebruary 8, 2026Kogi Progressive Forum Denies Alleged Division In APCHealth and Life StyleFebruary 8, 2026Kogi L-PRES Project Takes Delivery of Vaccines for Transboundary Animal Disease
Business and Economy
Nupe Natives Of Lokoja Flags Off Cooperative Union To Facilitate Development
From Joseph Amedu, Lokoja
Nupe Natives of Lokoja, has flagged off its CAMPDAVID MULTIPURPOSE COOPERATIVE UNION LIMITED registered with the Kogi State government, aimed at facilitating the development of the community of the native Nupe of Lokoja and her entire residents.
adsbygoogle || []).push({});
googlesyndication.com/pagead/js/adsbygoogle.js">
Twelve other Cooperative Societies are registered to operate under the umbrella union which was launched in Lokoja over the weekend.
The Etsu Lokoja and Chairman, Lokoja Native Traditional Council, His Royal Highness, Emmanuel Akamisoko Dauda Shelika – Nyamkpa IV, performed the flag off ceremony during the first General Meeting of Nupe Natives of Lokoja in 2026, organized to showcase their culture and had interactions on how to attract development to their community.
The Royal Father in his speech, said that the Cooperative Union and its other sub-societies would no doubt facilitate people’s zeal to embark on self-help development that would impact on their living standards.
According to the traditional ruler “The newly registered cooperative societies would serve as veritable tools with which our people could utilize to generate funds to enable them embark on self-help projects such as drilling of motorized boreholes for portable water supply, rural electrification and health clinics amongst others.
“The need to complement government’s efforts in the provision of basic infrastructure for improved living conditions of citizens cannot be over emphasized, hence our desire as a people to do the needful”
The Etsu Lokoja used the occasion to call on the younger generation of the community to embrace skills acquisition of vocational enterprises such tailoring, welding, fabrication, carpentry, plumbing, hair dressing and farming among others for self-reliance.
He also disclosed his community’s planned programmes for this new year to include; facilitating of Summer Studies, Medical Outreaches for the less privileged, cultural and political summits.
He commended Governor Ahmed Usman Ododo of Kogi state for his passion to carry everybody along in his development programmes irrespective of political, ethnic and religious differences.
He reiterated the loyalty of his people to the present administration in Kogi state and assured that the tempo would be sustained.
Author Profile
Latest entries
PoliticsFebruary 10, 2026ADC Inaugurates Southwest Zonal Working Committee in Ibadan, Reaffirms Party Strength and UnityPoliticsFebruary 9, 2026Ajia Pitches Tent with APC, Says Nigeria Must Defeat InsecurityPoliticsFebruary 8, 2026Kogi Progressive Forum Denies Alleged Division In APCHealth and Life StyleFebruary 8, 2026Kogi L-PRES Project Takes Delivery of Vaccines for Transboundary Animal Disease
Business and Economy
Kogi To Domesticate New Nigeria’s Tax Act, 2025
From Joseph Amedu, Lokoja
The Kogi State Government has expressed readiness to domesticate the new Nigeria’s Tax Act 2025 for implementation by the State Internal Revenue Service (KGIRS).
The Special Adviser to Governor Ahmed Usman Ododo on Internal Revenue Generation, Nasir Rahman Ichanyi gave the hint while speaking at the second tranche of the critical stakeholders engagement on better understanding of the key provisions in the new tax law organised by the Kogi State Internal Revenue Service in Lokoja on Wednesday.
Ichanyi said that participants for the sensitization engagement were drawn from ministries, departments and agencies in view of their advantage position as technocrats that would play vital role in full implementation of the new tax law as from January, 2026.
He said that the sensitization programme is aimed at strengthening tax administration and promoting voluntary compliance to the new law.
The Special Adviser commended Governr Usman Ahmed Ododo for his visionary leadership and steadfast support in ensuring the effective domestication and implementation of progressive federal fiscal policies.
“His Excellency’s commitment to good governance and economic reforms continues to enhance fiscal discipline and sustainable development in the state”
He also praised the management and staff of KGIRS for their professionalism, dedication, and proactive engagement with stakeholders.
” This sensitization exercise reflects their resolve to ensure clarity, transparency, and inclusiveness in the implementation of the new tax framework.
“The 2025 Tax Acts, that will be domesticated by Kogi State, is distinguished by its simplicity, clarity, and taxpayer-friendly provisions
” It harmonizes tax obligations, removes incidences of multiple taxation, and provides clear guidelines that make compliance easier for taxpayers. The law also embraces technology-driven processes that improve efficiency, reduce human interference, and promote accountability.
“Furthermore, the domesticated tax Acts will offers significant benefits to taxpayers by reducing compliance costs, ensuring fairness and equity, and fostering a more predictable and business-friendly tax environment. Ultimately, it strengthens the trust between government and taxpayers and ensures that revenues generated translate into improved public services and infrastructural development across the state.
” I urge all MDAs and stakeholders to support the effective implementation of the 2025 Tax Acts that will be domesticated in Kogi State and to serve as ambassadors of compliance within their respective institutions. Together, we can build a robust and sustainable revenue system that will drive inclusive growth and development for Kogi State.
Earlier in his welcome address, the Executive Chairman of the Kogi State Internal Revenue Service, Alhaji Sule Salihu Enehe urged citizens to embrace the new Nigeria’s Tax Act in view of its enormous benefits.
Author Profile
Latest entries
PoliticsFebruary 10, 2026ADC Inaugurates Southwest Zonal Working Committee in Ibadan, Reaffirms Party Strength and UnityPoliticsFebruary 9, 2026Ajia Pitches Tent with APC, Says Nigeria Must Defeat InsecurityPoliticsFebruary 8, 2026Kogi Progressive Forum Denies Alleged Division In APCHealth and Life StyleFebruary 8, 2026Kogi L-PRES Project Takes Delivery of Vaccines for Transboundary Animal Disease