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Tag: fraud

  • A complete guide to identity verification online: Process, working and its benefits

    A complete guide to identity verification online: Process, working and its benefits

    Technologies are getting advanced daily, and new features are being added to them; this leading trend of excessive use of digital media has gained the attention of cyber scams. Scammers drive new means to hack clients’ accounts; they steal their identity and commit illicit activities using their names and personal data.


    Cyber crimes are increasing in the US, and more than 40% of individuals showed security concerns. Identity verification document provides the best hedge against all these crimes; they enhance the companies’ security and offer a smooth user experience. Businesses increase their revenue by properly verifying documents online.

    What is Document Validation?

    Digital means used to verify the kyc documents; no physical presence or document is required. Every task is performed digitally; therefore, these solutions are reliable and authentic. Traditional validation methods were time-consuming and prone to human error. Operators get tired and distracted; they sometimes need to focus more on data and commit mistakes while recording it. Previous methods took weeks to complete validation because the operator has to gather, collect, and analyze data, and it takes time to perform the whole task. Verification of online documents prevents companies from heavy penalties, as they comply with the latest rules and regulations. The government has made it essential for some companies, especially the financial sector, to follow the guidelines. It will onboard only verified clients, monitor them, and perform their risk assessment.

    Document Validation Process

    Identity documents are validated in three following steps:

    1. Users are asked to upload the scanned companies of the required documents and upload them on the given portal. These documents include identity cards, residential address details, bank statements, and utility bills. It is checked that the scanned images are correctly visible and complete.
    2. In this step, validation is done to ensure that the documents contain all the required data; any image is not photoshopped or illegal. For instance, the user is asked to upload the picture, but a photoshopped image is uploaded. Such acts will be recorded, and respective authorities are immediately informed.
    3. The last step involves verification; the documents uploaded by the client are matched against the previously stored template in the database. If both are the same, the user is genuine and authentic; otherwise, the request will be rejected, and no further process will occur. Red flags are shown for clients whose requests are rejected; this means a client is at high risk. Companies then maintain relationships with the client according to their risk rate. In the last step, some users are asked to give more documents for validation.

    How Does Verification of Document Online Work?

    • Facial Detection

    In facial detection, the solution extracts the image from the document and then matches the picture with the previously stored template in the government and private system database.

    • Information Correlation

    Government identity cards contain data on both sides, verify identity documents correlated with the data and check its validity.

    • Document Scanning

    Documents are adequately scanned to prevent fraudulent activity, and barcode readers are used for this verification.

    • Database Verification

    To validate the data, government and private both databases are used; this is done to improve the result of verification.

    • Photo Liveness

    Scanners are used to detect the user’s liveness, and it is a modified form of biometric. Hackers are so advanced that they sometimes present fake pictures to the scanner to bypass it. Therefore, a liveness check system was introduced. This solution detects the client’s movement or asks the customer to present the video where the user is speaking password. It is impossible to hack such advanced systems, and these solutions promise enhanced security.

    Benefits of Identity Verification Online

    The following are the benefits of document validation:

    • Customer Onboarding

    Companies can easily onboard their customers and employees; the database saves the complete record of the users.

    • Fraud Prevention

    Identity verification online hedge companies against money laundering, data breaches, and fraudulent activities; they use encrypted data methods.

    • Swift Speed

    The speed of automated document verification is breakneck, and the process is done in seconds with just a single click.

    • Prevent Penalties

    Companies can save their money and get protected against heavy penalties, as these solutions keep them compliant with the latest rules and regulations.

    Conclusion

    Developed countries are getting the benefits of identity verification online, as these solutions are very authentic and reliable. They improve the brand image and increase their customer retention rate. Clients get satisfied when their information is in safe hands and protected against fraudulent activities—continuous monitoring features of the system aid companies in getting up-to-date information from the client. Businesses can build a strong relationship with their clients when they have the latest and correct information about them. These solutions have shown their wonders in every field.

  • EFCC returns property to American victim of Internet fraud

    EFCC returns property to American victim of Internet fraud

    The Economic and Financial Crimes Commission (EFCC) has handed over property recovered from a convicted fraudster, Aisosa Ohue, alias Frederick Leonard, to an American victim, Cheryldene Cook.

    Its Spokesperson, Wilson Uwujaren, said this in a statement on Friday in Abuja.

    According to him, the property includes the sum of N19 million and three-bedroom semi-detached duplex at Ward 36A Amagba Community in Oredo Local Government Area of Edo.

    He said that the property, which  also include  a Lexus E350 saloon car, an iPhone 13 Pro Max and a Samsung A31 phone were presented to the victim in Abuja by the Zonal Commander, ACE I Adebayo Adeniyi and the Head, Advanced Fee Fraud Section 1, ACE II Jimoh Rauf.

    Uwujaren said that Cheryldene Cook who flew in from the United States of America to receive the items was accompanied to the commission by her lawyer, Dr. Mike Nwosu. He added that she expressed appreciation to the commission for the recovery.

    According to him, Justice C.E Nwecheonwu of the Federal Capital Territory High, Kuje had in January ordered the forfeiture of the property after Orhue was convicted of a three-count charge including obtaining money by false pretence.

    “The convicted cheated the victim in a love scam while pretending to be a famous actor, Frederick Leonard”.

  • Internet fraud: EFCC returns $26,000 to Briton

    Internet fraud: EFCC returns $26,000 to Briton

    The Economic and Financial Crimes Commission (EFCC) has facilitated the return of  $26,000 to Christine Brown, a British national and a victim of internet fraud.

    The EFCC Spokesperson, Wilson Uwujaren, said this in a statement in Abuja, added that the Benin Zonal Command handed over the money to the victim on Monday.

    According to him, Brown expressed gratitude to the Commission for its efforts which she said, has brought some succour to her after losing her life’s savings to the fraudsters.

    He said that the 70-year-old had petitioned the Commission after being defrauded by an internet fraudster through a romance scam.

    “Narrating her ordeal, Brown said she became a victim after she met a purported John Barrowman, an entertainer and citizen of America online.

    “Unknown to her, he was a fraudster.  Brown said they became romantically involved, and the fraudster began to demand money which she sent to him through wire transfers,  Bitcoin and  gift cards,” Uwajaren said.

    “Kanu Idagu, the Zonal Commander, while handing over the recovered fund,  said the Commission will continue to discharge its mandate to the betterment of the society.

    “We are doing a whole lot in ensuring that victims of fraud are restituted where possible, and we will continue to do more,” he said.

    He admonished the public to be circumspect in whatever they do online as fraudsters prowl the internet seeking to defraud unsuspecting victims.

  • Court orders AGF to take over EFCC’s suit against Senator Oduah, others

    Court orders AGF to take over EFCC’s suit against Senator Oduah, others

    A Federal High Court, Abuja, on Friday, ordered the office of the Attorney-General of the Federation (AGF) to take over the N5 billion suit the Economic and Financial Crimes Commission (EFCC) preferred against Sen. Stella Oduah and others after their arraignment.

    Justice Inyang Ekwo, who gave the order shortly after the defendants took their non-guilty plea, said the order was necessary in view of the controversy the case had generated since instituted.

    Justice Ekwo had, on June 15, ordered the EFCC to fish out persons behind breaching his privacy through text messages on his phone and another group who petitioned the chief justice of Nigeria regarding the ongoing suit.

    The judge also directed the deputy chief registrar of the FHC in charge of Litigation to liaise with the Corporate Affairs Commission (CAC) to obtain the identities of the promoters of the organisation for the purpose of bringing them to the court, saying the sanctity of the court must be maintained.

    The development had stalled the arraignment of the defendants, as the judge insisted that the anti-graft agency must produce the people behind such action in court.

    He then adjourned the matter until July 17 (Monday).

    But on Monday, counsel who appeared for EFCC, Hassan Liman, SAN, prayed the court to allow the defendants to take their plea, having filed the charge against them since Dec. 17, 2020.

    Liman begged the court to allow the arraignment of the defendants’ while the agency continued with the investigation.

    The senior lawyer told the court that the investigation carried out so far by commission had been able to reveal the identity of the person, who sent a message to the judge, via the telephone number.

    According to the lawyer, he is said to be one Mr Okolo Obinna Johnson, a promoter of two companies.

    However, Liman said that the anti-graft agency made all efforts to track the physical person, in conjunction with other security agencies, but were yet to be successful.

    He assured that the EFCC would not leave any stone unturned in bringing the culprit to book.

    Unsatisfied with Liman’s information, the judge insisted they the EFCC should produce the person before arraignment.

    Besides, Justice Ekwo also gave Liman details of the information of the group called, Anti-Corruption Network, which wrote the petition to the CJN.

    Ekwo said the order given to the deputy chief registrar, Litigation of the court to get the certified particulars of the organisation involved in the matter at CAC had been carried out.

    He then gave copies of the particular to Liman for further investigation, saying the order to arrest the person was still subsisting,.

    “The order was find him, bring him to court and let me deal with the matter,” he declared.

    He expressed displeasure in the manner the trial was allowed to degenerate, saying “the court is never without an option, but out of respect to you, I will not take those options.”

    Liman, therefore, appealed that the defendants be ordered to take their plea, even as investigation continued with persons behind the letter and the text messages.

    The judge consequentky granted Liman’s prayer and adjourned the matter until today for plea.

    On Monday, Justice Ekwo fixed the date after counsel that appeared for EFCC, Hassan Liman, SAN, prayed the court to allow the defendants to take their plea, having filed the charge against them since Dec. 17, 2020.

    The ex-lawmaker, who represented Anambra North Senatorial District at the 9th National Assembly, are being charged alongside Gloria Odita, Nwosu Emmanuel Nnamdi and Chukwuma Irene Chinyere.

    Others include Global Offshore and Marine Ltd, Tip Top Global Resources Ltd, Crystal Television Ltd, Sobora International Ltd and another.

    Oduah was arraigned on alleged N5 billion fraud and financial misappropriation while she served as Minister during the Jonathan Administration.

    In the 25-count charge marked: FHC/ABJ/CR/316/2020, they are accused of conspiracy, money laundering and maintaining anonymous bank accounts with a commercial bank.

    Upon resumed hearing on Friday, EFCC’s lawyer, Offem Uket, informed that the matter was for plea and that they were ready

    Defence lawyers, including Onyechi Ikpeazu, SAN; Ogwu Onoja, SAN, and others, said they were ready too.

    The only counsel for 5th and 6th defendants were not in court and a non-guilty plea was entered for them and other defendants (7th, 8th and 9th defendants) that were companies in the charge.

    And after the 25-count charge was read to them, they all pleaded not guilty and the judge admitted them to bail in terms of the administrative bail earlier granted then by the EFCC.

    Justice Ekwo then asked EFCC’s lawyer, Uket, about the directive he gave to produce persons behind the action that had earlier stalled the trial.

    “I gave you the photocopies of these organisations. Are they here? Did you invite them?,” the judge asked, but Uket was unable to give a direct answer to questions asked.

    Ekwo then said that though he would give a date for trial commencement, the EFCC must invite the affected people.

    “I will give a date for trial and make a consequential order because you have allowed this matter to degenerate this way.

    “You think you can shield any of these persons who have interfere in these proceedings?,” he asked rhetorically.

    The judge also warned journalists against reporting what did not transpire in court.

    He said the records of proceedings are always available for any interested journalist to access.

    Justice Ekwo, who adjourned the matter until Oct. 17 for trial, ordered that in view of the controversy the case had generated, “I make an order that the AGF shall take over this case and the EFCC shall handover the records of proceedings to the office of the AGF.”

    NAN

  • Alleged N5bn fraud: Senator Stella Oduah, others plead not guilty

    Alleged N5bn fraud: Senator Stella Oduah, others plead not guilty

    Former Aviation Minister, Sen. Stella Oduah, and others on Friday, pleaded not guilty to a N5 billion fraud charge preferred against them by the Economic and Financial Crimes Commission (EFCC).

    Oduah and eight others were arraigned by the EFCC before Justice Inyang Ekwo of a Federal High Court, Abuja.

    Recalled that on Monday, Justice Ekwo fixed the date after counsel that appeared for EFCC, Hassan Liman, SAN, prayed the court to allow the defendants to take their plea, having filed the charge against them since Dec. 17, 2020.

    Others arraigned alongside the ex-lawmaker, who represented Anambra North Senatorial District at the 9th National Assembly, were Gloria Odita, Nwosu Emmanuel Nnamdi, and Chukwuma Irene Chinyere.

    Others include Global Offshore and Marine Ltd, Tip Top Global Resources Ltd, Crystal Television Ltd, Sobora International Ltd and others.

    Oduah was arraigned on alleged N5 billion fraud and financial misappropriation while she served as Minister during the Jonathan Administration.

    In the 25-count charge marked: FHC/ABJ/CR/316/2020, they are accused of conspiracy, money laundering and maintaining anonymous bank accounts with a commercial bank.

    The proceeding was still ongoing as at the time of filing the reports.

  • Court orders release of ex-Kano Commissioner over alleged N1bn fraud

    Court orders release of ex-Kano Commissioner over alleged N1bn fraud

    A Federal High Court sitting in Kano on Friday ordered the release of a former Kano State Commissioner for Works and Infrastructure, Malam Idris Wada-Saleh, from detention pending the determination of the originating motion.

    Wada-Saleh was on July 4, arraigned by the Kano State Public Complaint and Anti-Corruption Commission (PCACC) at a Kano Chief Magistrates’ Court, on two-count count charge of giving false information and cheating.

    He however, filed a motion exparte on July 11, through his counsel Abdulgafar Murtala Esq, urging the court to restrain the commission from further detaining or intimidating him.

    The respondents in the suit included the PCACC, Chief Magistrate Tijjani Sale-Minjibir, Muhyi Magaji Rimingado, Kano State Government, the state Attorney General, AIG Zone 1, the State Commissioner of Police, the Department of State Security Service and Civil Defense Corps.

    Justice S. A. Amobeda, granted the prayer and ordered the first to third respondents to forthwith release the plaintiff from detention.

    He also ordered the respondents,their agents, servants,privies or anyone acting on their behalf restraining them from further arresting, detaining or intimidating the plaintiff.

    “The second respondent is here by ordered to stay any other proceedings in respect of this case pending the hearing of the originating motion.

    “This matter shall be given accelerated hearing,” he said.

    Amobeda adjourned the matter until July 19 for hearing.

    The former commissioner was accused of misappropriating N1billion meant for rehabilitation of some roads in the Kano.

  • EFCC arrests fake senator for alleged €5.7million internet fraud

    EFCC arrests fake senator for alleged €5.7million internet fraud

    The Economic and Financial Crimes Commission, EFCC has arrested a fake Senator, Ifechukwu Tom Makwe for alleged €5.7million (Five Million, Seven Hundred Thousand euros) internet fraud.

    Makwe was arrested at the Guzape area of Abuja following credible intelligence about his internet- related fraud activities.

    It was discovered that the suspect, bearing many aliases (Fahad Makwe, Senator Tompolo, Tom Makwe, Dr. Bran), defrauded a Spaniard of Five Million, Seven Hundred Thousand Euros (€5.7million).

    He allegedly claimed to be a US Federal Bureau of Investigation, FBI agent and diplomatic solicitor, and succeeded in defrauding his victim using fake identities.
    The suspect allegedly started defrauding the victim since 2013 when he first met her on social media.

    Makwe will be charged to court as soon as the investigations are concluded.

     

  • Court of Appeal orders arrest of Senator Bassey Akpan over fraud

    Court of Appeal orders arrest of Senator Bassey Akpan over fraud

    The Calabar Division of the Court of Appeal, on Friday, June 23, 2023 upheld the conviction of Senator Bassey Albert Akpan on money laundering charges by a Federal High Court, Uyo, Akwa Ibom State and ordered his arrest.

    Justice Agatha Okeke had on December 1, 2022, found Senator Akpan, then governorship candidate of the Young Progressive Party, YPP, guilty of seven-counts of money laundering preferred against him by the Economic and Financial Crimes Commission, EFCC and sentenced him to 42 years imprisonment, without an option of fine.

    Akpan was prosecuted on allegation of receiving vehicles valued at N240 million as bribe from companies linked to one Olajide Omokore, a contractor who executed a N3 billion contract for the Government of Akwa Ibom State whilst Senator Bassey was Commissioner for Finance and Chairman of the Inter-Ministerial Direct Labour Coordinating Committee. The offence contravenes Section 15 (2) (d) of the Money Laundering (Prohibition) Act, 2011 (as amended) and is punishable under Section 15 (3) of the same Act.

    However, dissatisfied with the judgement, Senator Akpan on December 29, 2022, approached a Vacation Court in Port Harcourt, Rivers State, presided over by Justice S. I. Mark of the Federal High Court and secured a post-conviction bail on health grounds. But upon release from prison, Senator Akpan continued with his campaign to be governor of Akwa Ibom State and subsequently approached the Appellate Court in Calabar, to set aside the judgement of Justice Okeke.

    While arguing against the appeal, counsel to the EFCC, Ekele Iheanacho urged the Court to uphold the judgement of the lower court, dismiss the appeal and revoke the said bail granted to Senator Bassey on the grounds that “the prosecution proved its case beyond reasonable doubt and the charge was validly filed”.

    Delivering judgement today, the three-man panel of the Appellate Court, led by Justice Raphael Chikwe Agbo, upheld the conviction of Senator Akpan but varied the sentence by granting the appellant an option of fine.

    The Court also affirmed that the appellant should restitute the sum of N240 million to the Federal Government through the EFCC and that the said restitution shall not be a prerequisite for his release from the correctional facility.

    The Court finally revoked the bail and ordered the arrest of Senator Akpan.

  • FCTA alerts residents, public on activities of fraudsters

    FCTA alerts residents, public on activities of fraudsters

    The Federal Capital Territory Administration (FCTA) has alerted FCT residents and the public on the activities of scammers who created fake social media accounts in the name of senior staffers of the administration.

    This is contained in a statement signed by Dr Jumai Ahmadu, Director, Reform Coordination and Service Improvement, FCTA, on Thursday in Abuja.

    She said that the unscrupulous persons had created fake social media accounts with the intent to lure unsuspecting members of the public into phantom contract deals or fake employment offers.

    Ahmadu said that in the last 24 hours, two LinkedIn accounts were opened using the names of staffers of the FCTA, all with the aim of defrauding unsuspecting members of the public.

    “One of such accounts was created in the name of the Permanent Secretary, Mr Adesola Olusade.

    “Another bore the name of the Executive Secretary, Federal Capital Development Authority (FCDA), Mr Shehu Ahmed,” she said.

    Ahmadu said that neither the permanent secretary nor the executive secretary had a LinkedIn account.

    She urged the public to desist from responding to calls for tenders or employment openings in FCTA through the social media accounts.

    The director added that the government had well established procurement and employment processes which were not publicised through social media.

    She said that security agencies were in the process of unveiling the perpetrators of the felonious act.

    Ahmadu however urged the public to take caution and not to fall prey to the scammers.

  • NCC calls for collective effort to combat e-fraud

    NCC calls for collective effort to combat e-fraud

    The Nigerian Communication Commission ( NCC) says combatting e-fraud on telecom platforms and building consumer confidence in the digital economy require a collective effort.

    Prof. Umar Danbatta, the Executive Vice Chairman of NCC, said this during the 2nd Quarter 2023 Industry Consumer Advisory Forum (ICAF) meeting in Lagos on Thursday.

    Danbatta said telecom operators, regulatory bodies, law enforcement agencies and consumers must collaborate, with each fulfilling their responsibilities to tackle e-fraud.

    He said e-fraud encompassed a wide range of malicious activities carried out via electronic means, including identity theft, phishing, hacking, and unauthorised access to personal and financial information, with the intention to defraud or take advantage of victims.

    Danbatta noted that these criminal activities might not only cause significant financial losses but also erode consumer trust in the digital ecosystem.

    He said in recent years, Nigeria had witnessed remarkable growth in the digital economy, revolutionising the way Nigerians communicated and conducted businesses.

    Danbatta noted that the telecom sector played a pivotal role in enabling this digital transformation, providing the infrastructure and connectivity that fueled the interconnected world.

    He, however, said the advancements came with new challenges, one of which was the rising tide of e-fraud and cybersecurity concerns.

    He said NCC as the regulator of the communications sector had a crucial role to play in combatting e-fraud.

    Danbatta added that to further protect telecom consumers, the Nigerian Communications Commission’s Computer Security Incident Response Team (NCC-CSIRT) periodically notified telecom consumers on the latest cybersecurity threats and how to avoid falling victim to them.

    “The NCC also type-approves communications equipment to ensure that they conform to global standards and are interoperable with various relevant technologies.

    “We must establish comprehensive legal frameworks and standards that mandate sound security practices for telecom operators.

    “The legal framework must focus on data protection, privacy and incident response, ensuring that operators are held accountable for any lapses in security on their respective networks,” he said.

    According to him, law enforcement agencies must also collaborate closely with telecom operators and regulatory bodies to investigate and prosecute e-fraud perpetrators.

    He noted that enhanced coordination, information sharing, and dedicated cybercrime units would go a long way in deterring criminals and bringing them to justice.

    Danbatta added that strengthening international cooperation in combating cross-border e-fraud was also imperative, as cybercriminals often exploited jurisdictional limitations.

    He said combatting e-fraud was not just the responsibility of industry stakeholders and authorities, but equally that of consumers too.

    “Building consumer awareness and promoting digital literacy is crucial to empowering individuals to protect themselves.

    “Telecom operators should educate their customers about potential risks, provide guidance on secure online practices and offer user-friendly tools to monitor and manage their accounts,” he said.

    He stressed that to build consumer confidence in the digital economy, telcos must emphasise transparency and accountability.

    Danbatta urged telecom operators to be transparent about their security measures, privacy policies and incident response mechanisms.

    He added that collaboration with third-party security firms and independent audits could also help validate the integrity of telecom platforms.

    Danbatta also said fostering innovation in security technologies was critical to staying ahead of e-fraudsters.

    According to him, investing in robust security infrastructure, implementing stringent protocols, promoting awareness and by fostering innovation telcos could create a safer digital ecosystem.

    “We need to rise to the challenge and build a future where the telecom platform is not only a gateway to the digital world but also a fortress against e-fraud,” Danbatta said.

    Similarly, the Director of Consumer Affairs Bureau at NCC, Mr Alkasim Umar, said e-fraud posed a significant threat to the society, as it undermined the trust and confidence in our digital platforms.

    He said the menace was also responsible for hampering economic growth and adversely impacting the lives of citizens.

    Umar said as the regulatory authority responsible for overseeing the telecommunications industry, the NCC would continue to perform its duty in protecting the interest of consumers.

    Also, Mr Emeka Akpa, the Chairman of ICAF, said fraud had escalated as a result of increased digital adoption.

    He noted that the situation required organisations to simultaneously combat fraud and provide customers with a seamless digital experience.

    Akpa said faster movement of money had also increased the risk of fraud, adding that real-time disbursements were set to double within the year and beyond.

    “Risk rises further when unsuspecting customers inadvertently share their authentication details with fraudsters targeting their devices and accounts.

    “The evolution of fraud threats has undermined the effectiveness of a reactive approach to combating fraud, which essentially focuses on stopping schemes one by one through manual reviews,” he said.