Moruf Oseni’s Wema Bank faced N8.067 billion in court cases as of September 2023, coupled with a loss of N239.920 million due to fraud and burglary during the nine-month period ending September 2023. The recently released financial statement to the Nigerian Exchange Group unveiled these challenges.
However, the litigation claims accounted for only 3.2 percent of the N8.331 billion reported in December 2022. Additionally, the losses from fraud and burglary in the third quarter of 2023 showcased a significant 73 percent reduction compared to the corresponding period in 2022 when losses totaled N880.154 million.
This reduction in fraud cases suggests that Wema Bank successfully mitigated such incidents during the specified period. Analysts attribute this achievement to an increase in technology expenditure, which surged by 31 percent from N1.421 billion in September 2022 to N1.856 billion by September 2023.
Recognizing the importance of technology investment, a Lagos-based IT expert, Mr. Tobe Iloani, emphasized its critical role for banks, especially in countering the global network of fraudsters. He stated, “Investment in technology is critical for banks because they are targeted by fraudsters who have cliques all over the world. If you do not spend in technology, you will spend time in courts with depositors.”