Fraud in itscasedecreases the assets and raises the liability of any organization

Fraud in itscasedecreases the assets and raises the liability of any organization. on the side case of commercial banksitbrings the loss of potential customers or loss of confidence on bankingpublic and hinder the going concern position of the bank and ultimately drives to bank failure (Adeyemo, 2012).
Fraud and its management have been the main issue in the suffering of banks and as much as various measures have been taken to minimize theincidence of fraud it still rises by the day because fraudsters always device strategic waysof committing fraud.
It is useful to know that many banking operatives have different reasons for joiningvarious banks. Many have the purpose of working for a short time in the banking industry(get whatever they could and find another job that is less demanding) some are in theindustry because of their love for banking and all it stands for while majority are there toenrich themselves by fraudulent means. Due to the rising of great profitabilityin the commercial banking sector its active and fast expanding level of activities commercial banks are facedwith different types of challenges such as trying to prevent various fraudulentintentions of both staff and customers as frauds to have increased as new technology is born and more advancedtechniques of enhancing business transactions have been developed.
Fraudsters are constantly devising new plans updating old methods and trying out newtechniques of bypassing these electronic systems meant to ensure high security of bankingoperations. The introductions of automated systems that lose handwriting and fingerprinttails have not helped matters either in these recent times and the rate at which fraudsters appearto have shifted their ways and engaged their energies to banks developingall unimaginable tactics to exploit gaps in the control methods and exploiton weakness of the employee’s and client’s fraud in the industry has hinder many banks from achieving their goals. Some banks were just seen in the physical as body and building in reality they were already liquidated and many were already into suffering.
The banking sector has been a vitalrole in the growth of any economy (Adeyemo, 2012). Banks in most countries are the principal mobilizers of thepublic’smonetary savings the channels of the payment system and the ability of money formation and provision of financial resourcesand intermediate through which financial and credit policies are implemented (Idolor, 2013, Akindele, 2012).