Fraud and Fraudulent Practices in Nigeria Banking Industry
An International Multi-Disciplinary Journal, Ethiopia Vol. 4 (3b) July, 2010 ISSN 1994-9057 (Print) ISSN 2070-0083 (Online)
Fraud and Fraudulent Practices in Nigeria Banking Industry (Pp. 240-256)
Owolabi, S. A. - Accounting Department, Babcock University, Nigeria E-mail: emilagab05@yahoo.com
Abstract The paper reviews the various forms of fraudulent practice their impact and inducement for various reforms in banking industry. It also mentions various legislations targeted at reducing fraud and introducing some forms of control and reporting systems. Various theories of fraud are examined and detailed analysis of various causes, prevention and control strategies were emphasized. Previous experiences of different types of fraud and employees involvement are analyzed using tables and percentages for elusive description and discussion. The paper is concluded by with the recommendations targeting at reducing fraud and forgeries in the Nigerian banking industry. Key Words: Fraud, Bank Failure, Forgeries and Embezzlement Introduction Banks and non-bank financial institutions jointly constituting the financial industry of any economy however, the banking system comprises the major corner stone of an economy. For any economy to develop and grow, the financial sector must be strong, solid, effective and efficient. The existence of an effective banking industry is a panacea to growing any economy. The pivot of any economic development is the financial sector through its role in intermediating funds from the surplus units to deficit units. This also stimulates investment, economic growth and employment as well as international trade and payment. The significant roles played by financial
Copyright © IAARR, www.afrrev.com Indexed African Journals Online: www.ajol.info
240
African Research Review Vol. 4(3b) July, 2010. Pp. 240-256
institutions are responsible for the importance accorded them by every economy of the world. Over the years the Nigerian banking industry has
Fraud and Fraudulent Practices in Nigeria Banking Industry (Pp. 240-256)
Owolabi, S. A. - Accounting Department, Babcock University, Nigeria E-mail: emilagab05@yahoo.com
Abstract The paper reviews the various forms of fraudulent practice their impact and inducement for various reforms in banking industry. It also mentions various legislations targeted at reducing fraud and introducing some forms of control and reporting systems. Various theories of fraud are examined and detailed analysis of various causes, prevention and control strategies were emphasized. Previous experiences of different types of fraud and employees involvement are analyzed using tables and percentages for elusive description and discussion. The paper is concluded by with the recommendations targeting at reducing fraud and forgeries in the Nigerian banking industry. Key Words: Fraud, Bank Failure, Forgeries and Embezzlement Introduction Banks and non-bank financial institutions jointly constituting the financial industry of any economy however, the banking system comprises the major corner stone of an economy. For any economy to develop and grow, the financial sector must be strong, solid, effective and efficient. The existence of an effective banking industry is a panacea to growing any economy. The pivot of any economic development is the financial sector through its role in intermediating funds from the surplus units to deficit units. This also stimulates investment, economic growth and employment as well as international trade and payment. The significant roles played by financial
Copyright © IAARR, www.afrrev.com Indexed African Journals Online: www.ajol.info
240
African Research Review Vol. 4(3b) July, 2010. Pp. 240-256
institutions are responsible for the importance accorded them by every economy of the world. Over the years the Nigerian banking industry has