The Nigeria Inter-Bank Settlement System (NIBSS) has reported that approximately N400 million was stolen by fraudsters through financial accounts opened with stolen identities in 2024.
The latest NIBSS Fraud Report revealed that identities of senior citizens were stolen, and accounts were opened in their names.
According to the report, the estimated N400 million proceeds from fraud were transferred into these accounts and subsequently dissipated.
The accounts were operated by an individual from Asia whose selfie was used for verification, with locations showing as Hong Kong in at least three financial institutions. However, the report did not disclose the names of these institutions.
On July 30, 2024, a corporate account for an oil and gas company was opened using doctored documents and a registered company number picked from the internet. Supporting documents were also fabricated to open the accounts.
The NIBSS Fraud Report also highlighted that over one billion naira was moved using two accounts after Bank Verification Numbers (BVNs) were registered for two minors by compromised bank staff.
An enterprise account was opened for the first minor using the BVN, receiving an estimated N495.3 million, which was later drawn down.
The NIBSS Fraud Report documents fraud activities, whether attempted or successful, and related metrics identified by local financial institutions or agencies. NIBSS is the central system responsible for the settlement of inter-bank transactions within Nigeria.
The platform connects Deposit Money Banks (DMBs), Mobile Money Operators (MMOs), Switches, and Payment Service Providers (PSPs). The NIBSS Industry Fraud Desk compiles all reported fraud incidents within a period, analyzes them, and delivers industry-wide reports.