Fraud is whenever form is limitless in classification. This is the more reason why courts and writers on fraud haven / ways sly away from giving it a particular definition last discuss it under whatever form it prevent itself, so here, there has never been a single definition of term fraud. Not with standing the varied meaning accepted to the concept of financial fraud the concept of financial fraud the author address the subject with following working condition.

Oxford and charison dictionary simply define fraud as criminal deception. Act of decisive trick, cheating swindling person on thing that dictionary defined fraud as an act of deceitful behaviour for the purpose of gain which may be perishable by law.

However in the mind of civil court of justice fraud may be said to cover ill acts. Commission and co concealment which involves a breach of legal or equitable duty trust or confidence justly reposed and ingenious to another or by which in undue advantage is taken of another.

Bunmi Fagbemi 1990, while citing the dictionary of dictionary by penny, defined fraud to mean an act or course of deception deliberately practiced to gain unlawful or unfair advantage such deception directed to the detriment of another R.B Awasanya widely see fraud any deliberate action in whatever form (writer, spoken physical) designed to deprive a legitimate owners of his / her assets properties or rights further more, osboni’s concise law dictionary say that fraud is obtaining of a material advantage by unfair or wrongful means it involves more obliquity.

Then finally, Wole Adewumi describes financial fraud as a conscious premeditated action of a person thus the intention of the monetary gain thus having closely studies these perspective one may correctly see bank financial fraud a deliberate act by individual or group of finding within or without the Nigeria banking system to cheat deceive, swindle or manipulate in order to disposes the banks depositor / shareholders of their fraud fund.

Therefore, fraud or forgeries customer with a view to take benefit of the excess proceed or the shortfall.

Despite several definition of fraud, the author believes that one so far given are rather appropriate. Adequate and inspiring for the purpose in which the research work intend to achieve. This is because they contain the basic of fraud which include that:


  •  There must be deceit or deception directed to the detriment of another.
  •  A false representation has been made knowingly or without believes in its truth or recklessly whether it is truth or false.
  • To obtain damage for deceit it must be proved that the defendant intended that the plaintiff should act on it, and suffered damages in consequence.

Thus every act of unfair dealing whether against the back by its customer or by the third parties, against the customer by the banks (including his officers) or indeed against the bank by its officers really supposed to be included financial fraud in our today’s banking system involves the use of deceit and tricks and some times highly intelligent, cunning know – how the action usually take the form of forgery, falsification of document and authority signatures and outright theft.

A fraudulent act without damage is not actionable but fraud is actionable if it deals to any form of damage, which involves on gaining at the expenses of the other.

The position of banking system in our economy cannot be over emphasized. The banking system houses the central bank of Nigeria (CBN), the commercial banks the merchant bank and the development bank. At the end of March, their were about eight five 85 licensed bank 35 merchant bank and 5 development bank. These banks occupy an indispensable position in the financial system in particular and in Nigeria economy as a whole.

Fraud have been shown serious bottleneck in the proper dispensation of the Nigeria bank roles and function to the nation the efficiency of banking system as observed by the customer has been degenerated overtime. People are becoming to get worried and sooner than late may lose confidence in our banks today fraud a common phenomenal in bank has perpetrated an agonizing influence resulting in loss of confidence and trust in our banks by depositor banks as the store house of public / people fund should be built on trust not on fraud.

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