Business
Eight Banks Lose N1.9bn To Fraud In One Year
Bank deposit money banks in Nigeria lost a total of N1.9billion as a result of fraudulent incidents last year, data collated from their annual reports have shown.
They are Zenith Bank Plc, Access Bank Plc, Union Bank of Nigeria Plc, Guaranty Trust Bank, Wema Bank Plc, Fidelity Bank Plc, Polaris Bank Plc and Sterling Bank Plc.
Polaris and Zenith incurred the biggest losses as a result of fraud within the review period, as they lost N938.4m and N360m respectively.
According to its annual report, Polaris recorded a total of 134 cases of fraud in 2020 which comprise seven fraud categories, namely Automated Teller Machine fraud (43 cases), Internet bank fraud (three cases), mobile fraud (46), impersonation fraud (three cases), cheque theft (one case), outright theft (25 cases) and general fraud incidents (113).
The report also revealed that ATM, Internet bank, mobile and impersonation fraud cases cost the bank N830.1m, N37.7m, N16.2m and N989,700 respectively.
It said cheque theft led to a loss of N1m, while outright theft and general fraud incidents resulted N21.8m and N30.4m losses respectively.
Zenith’s fraud losses grew by N92m from N268m recorded in 2019 to N360m in 2020.
The number of fraud cases recorded by GTB grew from 15,461 in 2019 to 17,310 last year, while the cost of the fraud cases rose to N174.4m from N107.4m recorded in 2019.
Access Bank lost a total of N138.1m in 2020, which is N197.1m lower than what it incurred in the previous year. However, the bank’s fraud incidents rose from 5,836 cases in 2019 to 11,784 last year.
Sterling, Wema and Fidelity recorded fraud losses of N132.23m, N105.4m and N22.2m, respectively.
Further analysis of the reports revealed that Sterling Bank’s total fraud loss grew from N109.5m in 2019 to N132.23, while losses incurred by Fidelity Bank fell by N315.3m in the period under review.
Wema recorded 1,201 fraud cases, which led to a loss of N105.4m, consisting of Internet fraud (N93.9m) and operational and other types of fraud (N11.4m).
Union Bank lost N1.5m to fraud in 2020, which was N400,000 lower than what it recorded in the previous year.
The Nigeria Inter-Bank Settlement System Plc had in February 2021 released the second edition of its ‘Fraud in the Nigerian financial services’ report, which revealed that in the first nine months of 2020, financial institutions lost N5bn to fraudulent activities.
NIBSS said in Nigeria’s banking sector, N203.4m was lost in 984 fraud attempts, while 3,163 attempts that could have resulted to a N380.2m loss were repelled.
According to the report, there is a need for financial institutions to offer increased artificial protection for customers’ investment.
Business
Wigwe’s Luxury Yacht Goes For N8.74 Billion After Legal Proceedings
This was contained in an online report obtained by The Tide Source in Port Harcourt recently.
The Source further clarified that $6. 5 Million dollars or N8.74 Billion was the asking price as at March this year but was unable to prove, if the said amount was exactly what the vessel went for.
The yacht, known as Chitochi, is a 2016 Custom Line 108 superyacht measuring approximately 33 metres (108 feet) in length. The transaction was handled by international yacht brokerage firm IYC, with its sales and charter consultant, Mark Elliott, overseeing the sale.
The disposal of the high-value vessel followed legal steps taken to address the corporate status of Grosvenor Marine Ventures Ltd., the company through which the yacht was held.
Otutochi Wigwe reportedly approached a court in the British Virgin Islands (BVI) to secure the restoration of the company to the corporate register, a move that enabled the necessary legal steps towards the sale of the vessel.
The proceedings were central to resolving the corporate issues affecting the company and facilitating the transaction, underscoring the legal complexities that may arise when valuable assets are held through corporate entities in foreign jurisdictions.
The sale is also significant in the context of estate administration, as luxury yachts require substantial financial commitments to maintain, even when they are no longer actively used by their owners or beneficiaries.
Such vessels typically attract considerable expenses, including crew salaries, insurance premiums, berthing charges, routine servicing and other maintenance costs, making their continued ownership a major financial responsibility.
Beyond the recurring expenses, luxury yachts are depreciating assets that may lose value over time. Their disposal can therefore form part of a strategy to preserve estate value, reduce liabilities and convert an expensive asset into liquid funds.
Wigwe, who was the former Group Chief Executive Officer of Access Holdings, died on February 9, 2024, in a helicopter crash in California, United States, alongside his wife, Chizoba; their son, Chizi; and former Nigerian Exchange Group chairman, Abimbola Ogunbanjo.
His death was widely mourned across Nigeria’s banking and business communities, where he was recognised for his contributions to the financial services industry, entrepreneurship and philanthropy.
Wigwe’s passing left behind an estate whose administration involves the management of assets and other financial interests, a process that can require legal and financial decisions to protect the interests of the estate and its beneficiaries.
The sale of Chitochi highlights the challenges associated with managing high-value assets held through corporate structures, particularly where the relevant companies and legal proceedings fall under different jurisdictions.
The $6.5 million transaction brings the yacht’s ownership chapter to a close while illustrating how legal procedures, financial considerations and estate management can intersect in the administration of the assets of a prominent business figure.
‘’We determined to get all our equipments and machinery functioning as we progress. For now we’ve about 105 workers, comprising daily paid harvesters and regular staffs. But aside these 105 staffs we also employ daily slashers who for now are about 100.
“During peak periods, hopefully on or before January 2026 we hope to increase our work force for maximum production”, the firm’s management Stated.
King Onunwor
Business
Firm Mulls Crash Down On Vegetable Oil Price …Targets Revenue Boost, Job Creation
Ariwera Ibibo-Howells, Yenagoa
Business
Traders Decry Continuous Increase In Prices Of Foodstuffs
This was made known by the traders when The Tide visited the market recently.
The traders revealed varying changes in the prices of foodstuffs, with some commodities recording higher increase than others .
A trader Mrs Charity Obinna, at the market, said the price of yam remained the same last week and this week compared to the prices from last month to this month, adding that only a difference of about N100 to N200 was seen.
Another trader, Chukwuebuka Livinus who deals on garri, reported that the prices of some food commodities had been changing frequently.
According to him, the price of a bag of garri increased from N45,000 last week to N58,000 this week, representing an increase of N13,000.
Livinus described the increase as scary and called on the government to do something about it, especially as we get closer to the festive period.
A trader that deals on vegetables, Mrs Joy reported that a significant increase in the prices of pepper rose from N20,000 last week to N40,000 this week.
Similarly, the price of a bag of melon (egusi) increased from N420,000 toN490,000 this week.
In a separate report, Mrs Charity Obinna said that foodstuffs were generally cheaper last month than this month, with price differences ranging from N150 to N200 for some items.
Meanwhile, Giff Okoro reported a decrease in the price of tomatoes. According to her, a quantity of tomatoes that cost N45,000 last month now sells for N25,000, indicating a reduction of N20,000.
Another trader, Usman Ibrahim said the cost of transporting goods from the communities to urban areas where they are sold is one of the major reasons for high cost of goods.
He said transport cost has doubled due to the cost of petroleum products in Nigeria, adding the whole cost is part of the goods because “entrepreneurs must cover their cost and make their gains .
Ibrahim called on the government to help farmers and traders even with little capitals to expand and sustain their business.
Another trader, Mrs Choice Promise a fish retailer said a cartoon which sold at #35,000 last week now sells at #50,000 .
Promise complained that there is no gain or profit because the price has drastically increase and most people cannot afford to buy fish again.
“Mr. President’s Renewed Hope Agenda recognizes that economic ambition requires dependable infrastructure,” Tegbe said.
He added that investments in electricity infrastructure would strengthen the foundations for business expansion, employment and economic growth.
The Kankia substations comprise two 60 MVA, 132/33 kilovolt (kV) facilities designed to strengthen the transmission network serving Katsina State and neighbouring areas.
Tegbe said the infrastructure would improve the network’s ability to distribute available electricity, supporting commercial activities and household welfare.
He also urged residents to protect the facilities against vandalism and other activities that could disrupt electricity infrastructure, asking them to report suspicious activities to TCN or security agencies.
Katsina State Governor, Dikko Umaru Radda, described the project as a significant investment in the state’s electricity infrastructure.
Radda stated that improved electricity supply could support industrial development, economic growth and public service delivery.
He further commended the President, the Federal Ministry of Power and TCN for completing the project.
It would be noted that the latest projects come amid a broader government’s drive to address bottlenecks in Nigeria’s electricity transmission network, which has constrained the amount of electricity that can be delivered to distribution companies and end users.
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