In One Year, Nigerian Depositors, Banks Lost N6.2 Billion to Fraudsters- NDIC

• The total number such scams grew astronomically from 3,786 cases in 2013, to 10,612 cases in 2014, the report said.
• The report, released Tuesday by the Nigeria Deposit Insurance Corporation, said in 2014, reported cases of fraud by banks grew by 182.77 per cent.
• Fraudsters stole N6.2 billion from Nigerian depositors and banks in 2014, with majority of cases related to internet banking and ATM scam, a new report by the banks’ insurer, NDIC, has said.
• While it involved about ₦25.61billion in 2014 (compared to N21.80billion the previous year), the actual loss was N6.19 billion.
• By contrast, the actual loss in 2013 was N5.76 billion, the report said.
• In all, the major catalyst for the rising scale of fraud, was internet and ATM banking.The expected/actual loss increased from ₦5.76 billion in 2013 to ₦6.19 billion in 2014,” the report states.

“The increase of 7.57per cent in expected/actual loss in fraud and forgeries was mainly due to the astronomical increase in the incidence of web-based (online banking)/ATM and fraudulent transfer/withdrawal of deposit frauds.”

• The NDIC said total loans and advances granted climbed from ₦10.04trillion in 2013 to ₦12.63trillion the following year.
• Source: Premium Times