The most recent annual fraud report from the Bank of Ghana (BoG) states that at least 155 employees of banks and specialized deposit-taking institutions (SDIs) were fired in 2024 for their roles in different fraudulent schemes.
According to the research, 83 of the terminations, or 54% of the total, were directly related to cash theft and concealment, underscoring the industry’s ongoing risk of internal financial malfeasance.
The BoG reports that employee fraud involvement has increased by 33% at banks, SDIs, and payment service providers (PSPs).
In 2024, there were 365 employees involved in fraud, up from 274 the year before.
“Cash theft/suppression remains the most prevalent staff-related fraud, accounting for 75 percent of reported internal cases,” the report stated.
The BoG voiced worry that just 43% of the accused employees were actually fired, despite the rise in fraudulent conduct.
This discrepancy, according to the central bank, is caused by drawn-out legal procedures that deter banking institutions from properly prosecuting criminals. In order to discourage future infractions, it demanded enhanced internal controls, more extensive background checks during hiring, and more robust enforcement.
More generally, from 15,865 in 2023 to 16,733 in 2024, the BoG reported a 5% increase in the overall number of fraud cases throughout the financial ecosystem. The SDI and PSP sectors showed notable rises in fraud instances, while banks saw a little decrease.
The rise in document manipulation and forgery, which increased the value at risk from GH¢6.9 million in 2023 to GH¢53.5 million, was one of the most concerning trends.
This group alone was responsible for 67% of the overall fraud value risk, mostly due to one high-value case that included GH¢53 million.
The reported losses from identity theft also increased significantly, from GH¢0.6 million to GH¢5.7 million. The BoG attributed this increase to inadequate Ghana Card system verification and due diligence procedures.
The overall amount of money at risk from fraud in 2024 was GH¢99 million, up 13% from GH¢88 million the year before.
The majority of the losses, GH¢75 million, were borne by banks. But only GH¢3 million, or 4%, of the at-risk funds were recovered, highlighting the sector’s asset recovery difficulties.
There were 15,673 fraud instances in the PSP sector alone, with GH¢19 million at risk. These figures indicate rises of 7% and 18%, respectively.
Through the yearly release of its fraud report, the Bank of Ghana reaffirmed its dedication to advancing openness. To preserve the integrity of Ghana’s financial system, it called for financial institutions to work more closely with law enforcement and take a zero-tolerance stance against fraud.
Source: newsthemegh.com