With the advent of musicians jumping out to support conmen aka Yahoo Boys, It’s only normal to wonder how much damage these conmen do, well the National Deposit Insurance Commission’s report for 2018 has answered that question. The Nigerian banking industry lost N15.15 billion to cyber-crime and forgeries in 2018. This amount was 539% higher than the N2.37 billion recorded in 2017.
Let’s look at the breakdown
59.2% of fraud cases reported in 2018 were via the internet and technology-based channels.
43.83% of the 899 staff involved in frauds and forgery cases in 2018, were temporary/contract staff, in 2017 there were just 320 staff.
There was an increase in the number of web-based fraud cases to 12,343 in 2018 from 7,869 in 2017.
On the bright side, the number of Automated Teller Machines (ATM)/card-related fraud cases declined from 16,397 in 2017 to 10,063 in 2018. This decline was attributed to the improved security features of the cards as well as security awareness on the part of the users.
Why it matters?
Hiring temporary staffs on the surface appear to be a cheaper option for banks but could it be that they are costing banks more.
N15.15 billion lost to fraud provides further evidence to question the support of Conmen. Isn’t it obvious that cons outweigh the “pros” – that’s if there is any at all.