ABSTRACT
This research work aims at determining the role of information and communication technology
in detecting fraud in the Nigerian banking system. The banking institution which has integrity
and trust as its hallmark has been exposed to various forms of fraud and various means employed
in defrauding banks. Fraud derails the society’s integrity and value among the committee of
nations and in effect, affects the level of trust. The banking sector has been the cornerstone of
economic and financial mainstay of any nation, hence the need for study of the role and the
effectiveness of information and communication technology in fraud detection in the banking
industry. First Bank of Nigeria Pie, Enugu metropolis was used as a case study. The research
work treated the causes of fraud in Nigerian banks, forms of bank frauds, Effects and
consequences of fraud in first bank of Nigeria plc, the information and communication
technology and fraud detection in banks and Fraud control measures in banks.
The methodology adopted in this study is the survey research design%. There were interactions
with bank staff of various cadres with structured questionnaire to know their own opinion. 400
questionnaires were administered of which 320 were duly completed and returned. Some of the
findings from the research work reveal that lack of staff motivation has an effect on the incidence
of fraud in Nigerian banks. It also reveals that the introduction of ICT into the banking industry
has reduced the incidence of fraud in Nigerian banks. Further findings reveal that the Nigerian
banking laws are not adequate for fraud control in banks.
Based on the findings of this study, recommendations made are the adoption of computer aids as
tool for fraud prevention and control; banks should employ highly sophisticated security gadgets
in their banks, like surveillance TV systems, on —the-spot photographing of customers etc.
Proper reviewing of laws relating to fraud should be encouraged and stern penalties that
commensurate with any offence committed should be embarked on.
