AN APPRAISAL OF THE LEGAL PROTECTION AGAINST BANKING FRAUD AND MALPRACTICES IN NIGERIA

Abstract

Banks are institutions that hold a pivotal stake in the economic wellbeing and development of a nation. They are at the centre of monetary dealings and transactions in the economy. Healthy and secured banking system and economic stability attract business and investment including Foreign Direct Investment (FDI) into the nation. Of recent, there is a phenomenon at level of fraud in the banking sector in Nigeria leading to various loss of money by banks’ customers to fraudsters including bank employees. The weak institutions make it seem that, there are no good laws against this menace, hence the need for this study aimed at attempting an expository appraisal of different fraudulent activities in the banks and the laws against banking fraud and other malpractices in Nigeria. The doctrinal research methodology is adopted in this work which includes the use of primary sources such as the statutes and case law and some secondary sources such as journal articles and text books in data gathering. It is the findings of this work that the high level of banking fraud and malpractices in Nigeria are carried or aided in most cases, by bank workers or the banks themselves. It is therefore recommended that adequate measures be put in place to check the internal workings of the banks security and operations so as to eliminate or reduce this monstrous development.