THE DETECTION AND PREVENTION OF FINANCIAL FRAUD IN NIGERIA BANKING SYSTEM

ABSTRACT

Detection and prevention of financial fraud in Nigeria banking system. The dictionary meaning of fraud by penny means unlawful act, unfair advantage such as deception to the deferment of another.

In banking system, financial fraud is also referred as a deliberate within or outside the banking system to cheat, deceive windle or manipulation in order to disposes the bank deposition or shareholders of their funds.

Banks deal essentially in cash and financial instrument and other document which are of negotiable or very transferable in nature. This makes the bank very vulnerable to internal and external fraud. Also fraud can be perpetrated in the banking transaction through falsification of entries in the account of customers with a view to take benefit of the excess proceed or the shortfall, other are forgery of signature of account holders to theft by bank and customers.

Here also, the research will identify the logs holes in banking procedures and way of filling it to examine managerial and governmental control device, geared forward eliminating financial fraud in the banking system.

Conclusively, my unalloyed gratitude I leave to the auditors of various books that I consulted.

Approval page                                                    

Dedication                                                           

Acknowledgment                                       

Abstract                                           

Table of content                                                                               

2.1            Meaning of fraud                                                 

2.2            Fraud and fraudulent practices in banking services                         

2.3            Types of financial fraud                            

2.4            Effects of computer on the detection and prevention of financial fraud in Nigeria banks         

2.5            Checks and control of financial fraud in banks.

2.6            Causes of fraud in our banks

2.7            Prevention of fraud and bank management control device

2.8            Summary of literature review

3.1            The causes of financial fraud                               

3.2            Prevention of fraud and bank management control devices             

3.3            Recommendation and conclusion                        

3.4            Summary                                                            

Bibliography                                                       

INTRODUCTION

1.1            BACKGROUND OF THE STUDY

 Fraud is whenever form is limitless in classification. This is the more reason why courts and writers on fraud haven / ways sly away from giving it a particular definition last discuss it under whatever form it prevent itself, so here, there has never been a single definition of term fraud. Not with standing the varied meaning accepted to the concept of financial fraud the concept of financial fraud the author address the subject with following working condition.

          Oxford and charison dictionary simply define fraud as criminal deception. Act of decisive trick, cheating swindling person on thing that dictionary defined fraud as an act of deceitful behaviour for the purpose of gain which may be perishable by law.

          However in the mind of civil court of justice fraud may be said to cover ill acts. Commission and co concealment which involves a breach of legal or equitable duty trust or confidence justly reposed and ingenious to another or by which in undue advantage is taken of another.

          Bunmi Fagbemi 1990, while citing the dictionary of dictionary by penny, defined fraud to mean an act or course of deception deliberately practiced to gain unlawful or unfair advantage such deception directed to the detriment of another R.B Awasanya widely see fraud any deliberate action in whatever form (writer, spoken physical) designed to deprive a legitimate owners of his / her assets properties or rights further more, osboni’s concise law dictionary say that fraud is obtaining of a material advantage by unfair or wrongful means it involves more obliquity.

          Then finally, Wole Adewumi describes financial fraud as a conscious premeditated action of a person thus the intention of the monetary gain thus having closely studies these perspective one may correctly see bank financial fraud a deliberate act by individual or group of finding within or without the Nigeria banking system to cheat deceive, swindle or manipulate in order to disposes the banks depositor / shareholders of their fraud fund.

          Therefore, fraud or forgeries customer with a view to take benefit of the excess proceed or the shortfall.