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Bank Customers Lose N2.72bn To Fraudsters – Report

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A report by FITC has revealed that bank customers in Nigeria lost a total of N2.72bn to fraud in the first and second quarters of 2022.

It was also disclosed that there was a total of 67,878 cases of fraud recorded within this period.

This was according to the second quarter report obtained by our correspondent from the website of FITC.

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FITC’s institutional members are members of the Nigerian Banker’s Committee, which comprises the Central Bank of Nigeria, the Nigeria Deposit Insurance Corporation and all liscensed banks in Nigeria.

READ ALSO: Hackers Steal $11m From Nigeria, Others

The data, however, showed a decline in the number of fraud cases across the banks compared to the first quarter of 2022.

According to the report, a total of 27,356 incidents of fraud and forgeries were reported in Q2, compared to 40,522 reported cases in the first quarter of 2022, representing a 32.49 per cent decrease between within the periods.

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The total sum reported to be involved in fraud cases during the period also decreased by 40.05 per cent from N14.65bn in Q1 2022 to N8.78bn in Q2 2022.

Likewise, for the total amount lost due to fraud incidences, there was a slight decrease of 23.66 per cent from N1.54bn in the first quarter of 2022 to N1.17bn in the second quarter of 2022.

The report showed that mobile fraud which includes fraud activities through USSD transactions had the highest occurrence followed by computer/web fraud and POS fraud.

The report read in part, “Evaluating the total amount lost to frauds in Q2 2022 reveals that Mobile Fraud accounts for 38.18 per cent at N449m loss, followed by Miscellaneous & other types of fraud accounting for 32.19 per cent (N379m) and Suppression of Entries at 11.02 per cent (N129.64m).

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“A closer look at the unusual amount recorded under the miscellaneous fraud revealed that the fraud was carried out via E-naira for which the banks were liable.

“With regards to the returns by payment channel, the analysis reveals that there was a decrease in the amount lost to fraud via the web, ATM and PoS channels.”

“The amount lost via the web channel decreased considerably from N1.07bn to N98.4m while the amount lost via the ATM channel decreased from N43m to N5.9m. On the other hand, an increase was noted in the amount lost via the bank branch, mobile fraud channels, from N103.45m to N618.24m (497.56 per cent) and N270.92m to N449.03 million (65.74 per cent).”

The FITC further said it was necessary for banks to further strengthen their internal control measures for improved efficiency in pre-empting fraud activities and ultimate prevention of fraud.

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Recently it was reported that at least 6,047 Bank Verification Numbers of bank customers have been placed under the CBN watch-list for fraudulent transactions.

READ ALSO: How Three Ex-bank Workers Planned With Hackers To Steal N20bn – Witness

According to the Nigeria Interbank Settlement System, Nigeria has one of the most advanced electronic payment capabilities in the world. It said the increase in transaction processing speed and available channels had also created an avenue for fraudulent transactions to thrive.

In its ‘NIBSS Insight: Fraud in the Nigeria Financial Services’ report, it said, “Statistically, even a one per cent successful fraud rate would result in 100,000 successful fraudulent transactions daily.

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“This would directly impact customer’s faith in the entire system and could significantly impact our financial inclusion drive as well as the CBN cashless policy.”
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Kudos As Nigeria Gains Additional Territory ‘Five Times The Size Of Lagos’

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President Bola Tinubu has commended the High Powered Presidential Committee, HPPC, on Nigeria’s extended continental shelf project, a team of experts who worked hard over the years to advance the project.

The president gave the commendation when he received the report of the protect yesterday in Abuja.

According to Vanguard, the project aims to extend Nigeria’s maritime boundaries in accordance with the United Nations Convention on the Law of the Sea (UNCLOS), 1982.

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The president expressed his appreciation in Abuja after listening to technical presentations by Professor Larry Awosika, a marine scientist and member of the committee, and Surveyor Aliyu Omar, Secretary of HPPC.

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The experts have been involved in the project since Nigeria’s initial submission to extend its continental shelf to the United Nations Commission on the Limits of the Continental Shelf (CLCS) in 2009.

They informed the President that the UN has approved Nigeria’s submission, granting sovereignty over additional square kilometres of maritime territory.

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A statement issued by the Special Adviser to the President on Media and Publicity, Chief Ajuri Ngelale, quoted the President as saying: ‘’When the HPPC briefed former President Muhammadu Buhari in 2022 on the status of the project, the United Nations Commission on the Limits of the Continental Shelf, CLCS, was still considering Nigeria’s submission and having technical interactions with the HPPC.

‘’These interactions and consideration have now culminated in the approval for Nigeria to extend its continental shelf beyond 200M (200 nautical miles).

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‘’As it stands now, the area approved for Nigeria is about 16,300 square kilometres, which is about five times the size of Lagos State,” Surveyor Omar told the president.’’

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He added that the official notification of the decision was conveyed to Nigeria by the UN Nations Commission on the limits of the Continental Shelf, CLCS, in August 2023, shortly after President Tinubu assumed office.

Omar outlined the available options for Nigeria following the approval: “The first option is to take the area gained and finalize the registration with the UN Secretary-General and close everything, meaning that we are satisfied with what we got. This will take at least one year.

“The second option is to take what we have right now, acquire more data, do a support write-up, and make a revised submission as recommended by CLCS for further consideration. This will take another four years. Either way (options), Nigeria will keep what has been approved.”

READ ALSO: EFCC Arrests 13 Fake BDC Operators In Lagos

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In his presentation, Professor Awosika explained that the approval came after years of meticulous scientific research on geophysics, geology, geography, and diplomatic efforts, which solidified Nigeria’s legal rights over a vast expanse of seabed and subsoil beyond its traditional territorial waters.

Awosika highlighted the economic potential of the newly acquired territory, which includes hydrocarbons, gas, solid minerals, and a wide variety of sedentary species.

He, however, cautioned against total disclosure of sensitive data acquired during surveys, noting that this will jeopardize confidentiality as Nigeria is expected to monetize the information to recover project expenses.

Responding, the president thanked the experts for their diligence, emphasizing the significance of the achievement for Nigeria’s economic and strategic interests.
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Police Give Tips On How To Report Erring Officers

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The Police have urged Nigerians to take the advantage of its Complaint Response Unit, at the Force Headquarters, to report misconduct of its officers and men.

The Head of the unit, CSP El-Musta Sani, made the appeal at a Summit organised in Abuja by the Public Complaints Commission (PCC) in collaboration with the Foundation for Youth Empowerment and Social Justice.

Sanni said that the unit was created in 2015 to handle complaints against police officers from members of the public.

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He said, so far, from the first quarter of 2024, the unit had received 459 complaints from members of the public against officers and men, through its social media platforms.

He further explained that 265 of the cases had been resolved while 195 were still being handled by the police.

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According to him, “It takes the Unit 21 days to receive and conclude investigations on all complaints”.

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He said it was worrisome that members of the public did not know about the platforms to channel their complaints.

“The major problem is that the institutions are there, but Nigerians do not know their functions.

“We receive complaints through WhatsApp, Twitter handles, phone calls, and walk-in petitions.

“And the Unit is directly responsible to the Office of the Inspector General of Police through the Public Relation Officer,” he said.

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Sanni assured more sensitisation to enlighten the public to take advantage of the opportunity to lodge their complaint for proper handling.

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In his remarks, the Chief Commissioner of PCC, Mr Abimbola Ayo-Yusuf emphasised the need to strengthen institutions to combat administrative injustice and corruption.

He noted that, properly developed institution is key to good governance, adding that the summit aimed to improve service delivery and ensure that the right to complain and raise issues was available to everyone.

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“The purpose of this Summit, which is to foster collaboration between the Public Complaints Commission and other organisations, is quite timely and key to the understanding of the mandate of the Commission.

“The PCC, known as the Nigerian version of the Ombudsman, was established to investigate complaints regarding administrative actions,” he said.

Ms. Sandra Benson, the Director Administration, Foundation for Youth Empowerment and Social Justice, said that the Foundation and PCC were working hard to ensure justice for those who had faced injustices over the years.

Banson emphasised the need for collective action to address the issues, stating that now was the time to match voices with action for good governance.

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She highlighted the importance of addressing citizens’ complaints about administrative actions and called for immediate responses, sensitisation of workers on grievance channels, and cooperation for swift justice.

“The Summit marks the beginning of important engagements with stakeholders and the PCC, aiming to restore trust in the system and liberate workers from bad leadership.”

Also speaking, Maurice Okoye, the Chief Executive Officer (CEO) Jewel Social Empowerment Initiative, said that the critical need for consequence management in addressing issues in Nigeria was necessary.

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Okoye cited the absence of consequence management as a major challenge, leading to lack of accountability among government agency heads.

He also mentioned the reluctance of many to seek justice due to a lack of confidence in the system.

He cited an example where one of his friends chose not to pursue justice after a robbery due to high costs and skepticism about the outcome.

Okoye called for a restoration of public confidence in the justice system and emphasised the need for accountability and responsibility among leaders.

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Google To Offer AI-generated Answers In Search Results

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Google has announced it would introduce AI-generated answers to online queries made by users in the United States, in one of the biggest updates to its search engine in 25 years.

I’m excited to announce that we will begin launching this fully revamped experience, ‘AI overviews,’ to everyone in the US this week,” Google chief executive Sundar Pichai said at an event in California on Tuesday, May 14.

Google’s search results will feature an AI summary at the top of the page before the more typical unfurling of links.

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READ ALSO: Google Agrees To Settle $5bn Consumer Privacy Lawsuit

The AI answers generated by Google’s Gemini technology will offer succinct summaries of what it found on the internet with links to the online sources that supplied the information.

“You can ask whatever’s on your mind or whatever you need to get done – from researching to planning to brainstorming – and Google will take care of the legwork,” said Google Search team boss Liz Reid.

The change comes as Google feels growing pressure from AI-powered search engines like Perplexity, and from the rumors that OpenAI, the creator of ChatGPT, is building its own AI search tool.

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Searches through AI chats have also appeared on Facebook, Instagram and WhatsApp, with users able to get information from the web without Google.

The change will soon spread to other countries, Pichai added, making it accessible to more than a billion people.

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