NDIC advocates collaboration to combat insider abuses, financial malpractices

The Nigeria Deposit Insurance Corporation (NDIC) on Thursday identified adequate collaboration as an essential strategy for curbing insider influence and financial malpractices in banks and other financial institutions.Mr Bello Hassan, Managing Director of NDIC, stated this during the 2024 capacity-building workshop for law enforcement agencies in Lagos.He noted that the corporation had consistently fought against insider abuses and financial malpractices for several years.Hassan, represented by Mr Bashir Nuhu, Director of Communications and Public Affairs at NDIC, said that collaboration with law enforcement stakeholders remained crucial for achieving desired results.'A safe and sound banking environment is an essential ingredient of financial system stability, which is the bedrock for economic development in every nation,' Hassan said.Since 2012, the corporation has held annual workshops to sharpen the skills of law enforcement operatives and regulatory officers to prevent infractions that could l ead to the collapse of banks or financial institutions.Hassan said that the event also provided an opportunity to review the understanding and commitment to NDIC's mandate of ensuring safe and sound banking in Nigeria.'It is to provide an avenue for sharing ideas and working together as a team to synergise efforts toward achieving a common goal of financial stability,' he said.Hassan listed financial and cyber crimes and challenges introduced by technological advancements and the continuous measures the NDIC had adopted in collaboration with law enforcement agencies to curb vulnerabilities.'This workshop is among the steps taken to provide a platform for the agencies concerned to sharpen their skills, share ideas, and be well-equipped to face challenges,' he said.Hassan noted that the theme, 'Collaboration as a Strategy in the Fight Against Insider Abuses and Financial Malpractices in Banks and Other Financial Institutions in Nigeria,' reaffirmed NDIC's commitment to tackling the issues.The worksh op aims to complement the efforts of the inter-agency task force on the implementation of the Failed Banks Act.Hassan appealed to the taskforce to diligently execute its mandate.'Through our collaborative efforts, I am aware that fourteen prosecution cases are ongoing in various courts, eighteen ongoing investigations with FMIU, eight with EFCC, and nine concluded investigations with the Federal Ministry of Justice for advice and prosecution.'This indicates that we are on the right course,' he said.He explained the relevant sections of NDIC laws that empower the corporation to regulate and monitor activities to prevent financial malpractices and ensure sanity in the financial and banking sector.'Building strong depositors' confidence in banks and other financial institutions will ensure continuous safety and soundness in the financial system.'Economic and Financial Crimes Commission (EFCC) Chairman Olanipekun Olukoyede, represented by Michael Wetkas, Acting Zonal Director of EFCC Lagos, said that the theme of the workshop was timely, considering the current economic state of the nation.He emphasised that the financial sector, as a driver of the economy, requires focus, and all hands must be on deck to maintain trust, security, and stability.Assistant Inspector of Police (AIG) Romokere Ibani of the Nigeria Police Force Criminal Investigation Department (FCID), Alagbon, said that financial malpractices usually involve insiders as collaborators.Ibani urged the NDIC to do more to ensure banks were financially stable and called for strategic collaboration among relevant agencies to help Nigerian banks meet international standards. (NAN)(www.nannews.ngSource: News Agency of Nigeria