With fraud cases within the banking system rising by 9,004 per cent, which led to a loss of about N42.6 billion in the second quarter of 2024, 49 appointments have been terminated within the industry.

According to the Financial Institutions Training Centre (FITC) Q2 2024 Fraud and Forgeries report released at the weekend, losses from fraud rose from N468.4 million (Q1) to N42.6 billion, a staggering percentage increase of 9004.82 per cent.

FITC explained that while 11,472 cases were recorded in Q1 2024, the figure rose to 11.532 three months after (0.52 per cent). The total amount involved in the fraud rose to N56.3 billion from N2.988 billion (1,784.6 per cent). It put the total amount lost from April to June at N42.6 billion from N468.4 million, which showed a percentage change of 9,004.82 per cent within the period under review.

In the frauds, FITC revealed that outsider involvement rose from 10,397 in Q1 to 10,938 in Q2 (5.20 per cent), while insider (staff) involvement also went up from 47 to 58 (23.4 per cent). This led to the termination of people found culpable, where 49 persons as against 35 in Q1 lost their appointments.

Further analysis of the report showed that “miscellaneous and other fraud” types constituted the largest loss, representing 96.46 per cent of the total amount lost,] with a value of N41.14 billion.

This was followed by losses from fraudulent withdrawals and computer/web fraud, amounting to approximately N781.2 million and N400.7 million, respectively.

FITC explained that Q2 2024, fraudulent activities were carried out through various channels, including Automated Teller machines (ATMs), online platforms like web and mobile banking, bank branches and Point of Sale (POS) terminals.

Among instruments used, card fraud recorded a significant decrease, declining by 47.66 per cent from 21,469 in Q1 to 11,237 in Q2.

In contrast, fraudulent activity involving cheques and cash increased by 36.67 per cent and 9.09 per cent, respectively, with cheques surging from 30 cases in Q1 to 41 cases in Q2, while the use of cash rose from 209 in Q1 2024 to 228 in Q2.

A further analysis of the data showed a significant rise in the amount lost across all channels, except for mobile fraud, which recorded a decline.

Losses through bank branch-related channels rose by 31,497 per cent, to a value of N42.2 billion in Q2 from N133.9 million in Q1 2024. Computer/web frauds also saw a monumental increase of 1,560 per cent, with losses growing from N24 million to N400.8 million.

However, there was no indication of the amount lost to ATM-related fraud. As initially mentioned, mobile fraud recorded a decline in the amount lost from the previous quarter, decreasing by 59 per cent from N216.4 million in Q1 to N88.7 million in Q2 2024.

With the sudden surge in losses to fraud, the FITC advised the banks to enhance their monitoring and auditing procedures. It said deposit money institutions could utilise Artificial Intelligence (AI) tools that flag unusual entries or patterns to implement continuous and automated monitoring systems that could detect anomalies or discrepancies in settlement files.

It added that regular unannounced internal audits focusing specifically on settlement processes could be conducted to identify and address any irregularities promptly.

“Access controls should also be strengthened by limiting access to settlement files to only a small, vetted group of authorised personnel given the appropriate clearance and regularly trained on the latest security protocols.

“The implementation of Multi-Factor Authentication (MFA) and Role-Based Access Controls (RBAC) can aid the reduction of the risk of unauthorised changes to settlement files,” FITC stated.

The firm disclosed that In the period under review, it received 80 returns on fraud and forgery cases from 28 Deposit Money Banks (DMBs).

According to FITC, a closer look revealed that 26 reports were submitted in April, while 27 reports were received in May and June. (The Guardian)

The tourism, travel and aviation industry in the Southeast geopolitical zone has received a major boost as Jands Travel Network, Enugu, launches a Travel Business School in Enugu State, the capital of the region. This came after the firm’s successful outing at a press conference, where its managing director, Mrs Chioma Obi who has operated in the industry for over a decade, addressed men of the press.

Jands Travel Business School, according to Mrs. Obi, was established in Enugu to create awareness and instil knowledge of the travel, tourism and hospitality industry in the Southeast geo-political zone with a view to boosting the economy of the region.

Mrs Obi, who also doubles as the Director of Jands Travel Business School, said: “We have been in the industry for over a decade. We chose to locate the school in Enugu because, asides the fact that I’m from southeast Nigeria, the organization is eager to contribute to the development and growth of our economy and I also felt the need for our people to tap into the opportunities in the travel, tourism and hospitality industry. Secondly, I think that the Western part of Nigeria is saturated with schools like this. There are quite a number of Aviation schools, but I know and I tell people that the travel business has a lot more than aviation alone, which belongs to the transportation aspect of the travel business.”

“The people in the south eastern part of Nigeria are the travelers. They are the importers, the exporters, the business men and women as well as the explorers. They travel to explore business opportunities, they come home during festivities and celebrations, they bring in goods from all over the world to sell in Nigeria and take our local goods to so many locations outside Nigeria. They contribute greatly to flight ticket sales. These are opportunities for people in the travel business to offer their services if they know how to do so, that is why we chose to locate Jands Travel Business School in Southeast Nigeria”.

She continued: “We don’t have tourism and hospitality classes as a foundation in secondary schools like you have the sciences. We don’t have it in many Nigerian universities the way we have other courses, but in comparison with other countries, you find out that there are countries that thrive with the tourism sector. It makes up a very good part of their Gross Domestic Products (GDP) and gives them a lot of employment opportunities. We still have a long way to go when it comes to tapping into what the industry has to offer, but first, before we go into the benefitting from the industry, our people should have the basic knowledge about what the travel, tourism and hospitality industry is about, how they can become a part of it, what they can do and how they can get themselves fully employed. That is where Jands Travel Business School comes in.“

On the programmes/courses offered in Jands Travel Business School, she noted that, “the good thing about the school is that you learn at your own pace and you don’t need to travel to Lagos, Abuja or any other region in Nigeria, because the school provides what entrepreneurs need here in the Southeast. After getting trained, we ensure that entrepreneurs are registered with the Corporate Affairs Commission (CAC), National Association of Nigerian Traveling Agency (NANTA) as well as other industry associations as a part of the mentorship program in order to guide their successful growth. So, it is a full blown inclusive learning platform for the Nigerian youth who wants to start a business. Some of the courses available are: the Travel Business Foundation Course, the Visa Applications and Procurement Masterclass, the Ticketing and Reservations, Customer Service Management and Retention, the Hotel Operations, the Tourism, Tour Packaging and Planning courses amongst others”.
She disclosed that the duration of various courses lasts between three days and six weeks.

On the services provided by the Jands Travel Network, Mrs. Obi listed them to include Local & International Flight Reservations, Visa Assistance, Local & Intl Hotel reservations, Tours, Training, Global Study Services.

Also speaking, the Executive Director (Marketing), Jands Travel Network, Enugu, Mr Valentine Obi said that excellence remains their core value, stressing that they don’t play with giving perfection in their services.
“Our Facilitators are the best of the cream in the aviation industry”, the Executive Director added.

Earlier in her speech, Mrs Ruth Mbgemena, Facilitator/Faculty member, Ticketing and Reservations, Jands Travel Business School, said her major task introducing the youths to the technicalities of flight reservation, ticket issuing and sales in aviation, as well as industry ethics, to ensure that they follow the legal and professional approach to avoid scams and ticket racketeering. Mrs. Mgbemena has been in the industry for about fifteen years where she started with Bellview airlines and then to Galileo, before she started her own organization and doubles as a an experienced instructor in Jands Travel Business School.
“The school is a dream. We hope to look back five years from now and see the people that have gone through this school, I know that we will be amazed for being a part of their growth and their achievements in the aviation industry.”, she noted.