In a jaw-dropping revelation, Wema Bank Nigeria Plc has lost N847.599 billion to fraud, with investigations suggesting that part of the crime was committed by internal sources or staff. The staggering loss highlights deep vulnerabilities within the bank’s operations and has sent shockwaves through Nigeria’s financial sector, raising urgent questions about oversight and internal controls.
According to a painstaking analysis of the bank’s 2025 financial statement, fraudsters targeted N7.187 trillion from the bank but eventually succeeded in stealing N847.599 billion. However, the financial institution stated that 14 percent of the theft was perpetrated by insiders, while 86 percent was linked to external forces.
This did not end here. The thieves also targeted $6,850.00 but ended up stealing $2,550. Analysis shows that Wema Bank lost N10.892 billion to internet fraud, though fraudsters had targeted N84.189 billion. The financial records show that N750.328 million was stolen through mobile banking, while N929.2 million vanished via the point of sale (POS) or point of purchase (POP).
Moreover, Wema Bank lost N17.894 billion via web or website channels, while the biggest theft occurred through what the bank described as ‘operations and others.’ The thieves had targeted N6.928 trillion through the so-called ‘operations and others,’ but succeeded in making away with N817.133 billion. Financial analysts say ‘operations and others’ includes account management, transaction processing, back-office functions, customer service support, among others.
This exposes Nigerian banks’ vulnerabilities to online theft and why they must strengthen their internal control systems to protect depositors’ funds.
Texts and WhatsApp messages sent to Wema Bank’s Head of Brand and Marketing Communications, Ms Mabel Adeteye, seeking clarification on the surge in fraud cases in 2025 and the measures being implemented to prevent future occurrences had not received any response as of the time this report was filed.
Rising tech spend fails to help Wema Bank
The colossal fraud was perpetrated on the bank’s channels despite its very high technology spend in 2025. Last year, Wema Bank’s technology spend jumped 3.4 times compared to its 2024 expenditure. The bank spent N19.042 billion on technology and alternative channels from N5.55 billion in 2024. Wema Bank also spent N491.856 million as ‘digital bank professional fees’ as against N321.393 million in the previous year. Yet, neither of these helped to protect Wema Bank from one of its biggest fraud losses in recent times.
Specific case in hand
On November 6, 2025, Justice Rahman Oshodi of the Special Offences Court sitting in Ikeja, Lagos, convicted and sentenced one Samuel Asiegbu, a Wema Bank staff member, to three years’ imprisonment without an option of fine for his role in a humongous N8.56 billion fraud carried out at the bank.
Asiegbu was arraigned along with Hamza Zakaria, Nurudeen Ibrahim, and Alhaji Sulaiman (at large) on four counts bordering on conspiracy, stealing, and unauthorised access to a computer system, preferred against him by the Economic and Financial Crimes Commission (EFCC).
The defendants were first arraigned on June 23, 2025, and had initially pleaded not guilty, according to The Punch.
Banks’ fraud losses in 2025
Nigerian banks lost N3.3 billion to fraud in the first quarter of 2025, a 137 percent increase from N1.39 billion in the previous quarter, according to the Financial Institutions Training Centre.
The FITC Fraud and Forgeries in Nigerian Banks Report for Q1 2025 showed that while the total number of reported cases fell, the financial impact of each incident rose sharply.
“Q1 2025 recorded 12,347 reported fraud cases, a 33.8 percent decline from the 18,672 cases reported in Q4 2024. However, the total amount involved in fraud rose sharply to N22.27 billion, up from N6.5 billion in the previous quarter,” the report said.
The report revealed that banks successfully prevented most attempted losses, noting that lenders blocked N19 billion, representing 85.2 percent of the total value of attempted fraud. Actual losses accounted for just 14.8 percent, FITC said.
Digital channels continued to be the main source of risk. “Computer and web-based platforms accounted for N10.6 billion of fraud attempts in Q1 2025, while mobile application fraud contributed N2.3 billion. Fraud through bank branches also rose sharply, reaching nearly N8 billion,” the report stated. Losses from ATMs and point of sale terminals declined, with ATM-related fraud falling to N576,215.
According to the Nigeria Inter-Bank Settlement System (NIBSS), digital payment fraud in Nigeria fell to N25.85 billion in the whole of 2025, representing a 51 percent decline from N52.26 billion the previous year.
“Looking at industry fraud over the past five years, the number of cases has declined significantly. While case counts are important, what matters more is the value. In 2023, actual losses stood at about N17.67 billion,” said Managing Director and Chief Executive Officer of NIBSS, Premier Oiwoh.
In 2024, losses rose to N52.26 billion, largely driven by a single fraud incident of N31.1 billion involving one entity. In 2025, losses dropped significantly, he said. Data shows that fraud incidents fell from 123,918 in 2021 to 67,518 in 2025, with a small 4 percent decline in the last year.
“The bank must begin real-time staff activity monitoring, and no employee must have full access without layered approval,” said a Lagos-based tech expert, Mr Chinny Ngoka.
“Right now, the bank must deply AI-based fraud detection systems and must strengthen internal control systems. It must encrypt everything that is critical, especially customer data and internal systems. Also, there must be multi-factor authentication for all sensitive actions.”
