By David Akinmola
The Nigeria Deposit Insurance Corporation (NDIC) has renewed its call for deeper collaboration with law enforcement and regulatory agencies to tackle the growing threat of insider abuses, cybercrime, and financial malpractices in the country’s banking sector.
Speaking at the 2025 Capacity Building Workshop for Law Enforcement Agencies in Lagos, themed “Investigating and Prosecuting Financial Malpractices in Banks: A Critical Analysis of Strategies to Prevent Bank Failures”, the Acting Managing Director and Chief Executive NDIC, Emily Osuji, noted that the initiative is part of ongoing efforts to strengthen financial system stability and avert avoidable bank failures.
Osuji highlighted the Corporation’s relentless efforts in ensuring a safe and sound banking environment while noting that financial system stability is the bedrock of economic development and stressed the importance of holding culpable parties accountable for bank failures.
“Through inter- agency collaboration, we currently have 11 cases in court, 25 ongoing investigations with the Financial Malpractices Investigation Unit (FMIU), 8 with the Economic and Financial Crimes Commission (EFCC) and nine concluded investigations with the Federal Ministry of Justice for advice and prosecution.” she disclosed.
She reiterated the importance of bringing to book all individuals found culpable in the collapse of banks and financial institutions.
“Since 2012, NDIC has consistently hosted the annual workshop to sharpen the investigative and prosecutorial skills of law enforcement operatives and regulatory officials, particularly in cases of insider abuse and corporate fraud. This year’s theme was carefully chosen to reflect the urgency and importance of tackling the systemic failures that erode public confidence in banks”, she noted.
She further cited the recent revocation of Heritage Bank’s license by the Central Bank of Nigeria (CBN), stating that investigations into the roles of the bank’s directors, managers, and officers were ongoing and aimed at ensuring accountability.
Acknowledging the rising threats posed by technological advancements, the MD called for adaptability among law enforcement agencies. She urged participants to equip themselves with knowledge of prevalent fraud types such as ATM card fraud, fraudulent transfers and withdrawals, cybercrime, unauthorized crediting, money laundering, and terrorism financing.
“As the banking system evolves with financial technology, so do the criminals. Workshops like this are necessary to help officers adapt and respond effectively.” she said.
Echoing similar sentiments, Director of the NDIC Legal Department, Mr. Olufemi Kushimo, stressed the urgency of restoring public and international confidence in Nigeria’s financial system.
“Cybercrime and financial fraud have risen sharply due to the growth of financial technology. This workshop not only affirms our collective resolve to sanitize the system but also offers a strategic platform to strengthen inter-agency relationships”, he noted.
Kushimo emphasized that the prosecution of financial crimes must be prioritized to serve as deterrence, adding that a robust criminal justice response is essential to the Corporation’s overarching objective of financial system stability.
Participants at the workshop included representatives from the Police Special Fraud Unit (PSFU), the Directorate of Public Prosecutions, the EFCC, FMIU and other key stakeholders in the banking supervision and enforcement ecosystem.
The NDIC maintained that it would continue to support and enhance collaboration with all relevant agencies, assuring participants of its commitment to seeing that the objectives of the Inter-Agency Task Force on the Implementation of the Failed Banks Act are fully realized.
