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FCMB System Failures: N3.09 billion Digital Banking Fraud Revealed

A major fraud case involving over N3.09 billion siphoned from customer accounts has exposed critical system lapses at First City Monument Bank (FCMB), even as the bank moves to recover part of the losses through the courts. Justice Rahman Oshodi of the Special Offences Court in Lagos sentenced an ex-convict, Oluokun Gabriel Adekola, to three years’ imprisonment for his role in laundering N12 million, which was traced to the wider fraud. The court also ordered him to restitute N3.5 million to the bank within three months. The case revealed how fraudsters exploited vulnerabilities in digital banking channels, gaining unauthorized access to customer accounts and moving huge sums undetected before converting the funds to cash through Point of Sale (POS) agents. The breach, which affected accounts domiciled with FCMB, underscored the risks tied to mobile banking platforms and internal control gaps.  Investigations revealed that he collaborated with accomplices still at large to conceal and disguise N12 million traced to his bank account in 2025.  Despite the scale of the loss, FCMB initiated recovery efforts by tracing transaction flows and flagging beneficiary accounts. Working with the Economic and Financial Crimes Commission (EFCC), investigators tracked part of the stolen funds to Adekola, leading to his arrest, prosecution, and eventual conviction. The restitution order, though a fraction of the total sum lost, represents a tangible recovery and a step toward accountability. It also highlights the growing role of financial forensics in clawing back stolen funds, even after they have been dispersed across multiple channels. During sentencing, EFCC counsel E.S. Okongwu urged the court to impose appropriate punishment and grant restitution of N3.5 million to the victim. Defence counsel Fabian Nwaforji, however, appealed for leniency, citing the defendant’s remorse and the over four years he had already spent in custody. Source: TopCourtNewsNg