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Joshua Fagbemi
Guest
The Economic and Financial Crimes Commission (EFCC) has arrested four suspects for unauthorized access to banks’ computer systems. The suspects, arrested in Abuja on Tuesday have been charged with fraudulently withdrawing depositors’ funds.
The four suspects, Chima Nwigwe, identified as the leader, along with Effiong Emmanuel, Mohammed Mahmud – the Managing Director of Downstone Ultimate Limited, and Daminan Ali, were arrested during a sting operation.
The Four Suspects – Chima Nwigwe, Effiong Emmanuel, Mohammed Mahmud, and Damian Ali
While disclosing the arrest, a post on the agency’s X account said the suspects conspired to hack various commercial banks’ websites.
“The Economic and Financial Crimes Commission, EFCC, has arrested Chima Anthony Nwigwe, the suspected leader of banks’ hacking syndicate alongside three others: Effiong Victor Emmanuel, Mohammed Bello Mahmud, managing director, Downstone Ultimate Limited and Daminan Ali for alleged conspiracy, unauthorized access to banks’ computer systems and fraudulent withdrawal of depositors’ funds,” the statement reads.
It also added that the trio had compromised banks’ database systems to make dubious digital transfers.
“They were arrested in a sting operation in Abuja following actionable intelligence about their suspected involvement in hacking, compromising databases of commercial banks, thereby causing fraudulent transfers and withdrawals through different digital platforms.”
EFCC operatives
EFCC stated that the suspects would be taken to court once the investigations were concluded.
As the EFCC continues to clamp down on cybercrime, data revealed that financial institutions are witnessing rising cyber-attacks.
A report by Business Day revealed that financial institutions ranging from commercial banks, fintech companies, and network service providers accounted for losses totalling over ₦1.1 trillion between 2017 and 2023. This is due to various cyber threats such as hacking, ransomware, and malware attacks.
From a loss of ₦2.37 billion in 2017 to a loss of N300 billion in 2023, Nigerian financial institutions have experienced rising figures twice within these periods. Since 2017, there have been a rise in financial loss due to cyber attacks with ₦15 billion in 2018 and ₦230.8 billion in 2019.
The figure thus decreased by 33.5% in 2020 after a cyber attack loss of ₦153.4 billion.
The losses increased by 26.14% from 2020 to N193.5 billion in 2021. From 2021 to 2023, it increased by a record ₦273 billion and ₦300 billion in 2022 and 2023 respectively.
Also, according to the Nigerian Central Securities System, businesses in the country encounter an average of 2,560 cyber attacks weekly. The agency pointed out that cybercrime is projected to cost the global economy over $10.5 trillion in 2024.
Read More: Nigeria experiences 2,560 cyber attacks weekly, NSA Nuhu Ribadu promises help
Last week, the EFCC Chairman, Ola Olukoyede, expressed concerns about the rise of cybercrime in the nation and the attending cost.
He raised the issue during a cybercrime summit organized by the agency. According to the EFCC boss, cybercrime accounted for the larger share of 3,455 cases recorded during his first year in office.
He added that $500m was lost to the scourge in 2022.
Olukoyede shared data on the rising global loss to cybercrime. “Projections by multiple sources show that the global loss to cybercrime may reach a staggering $10.5tn. The research I did earlier this year confirmed that cybercrime has become the third largest crime in the world with approximately 2,328 cases occurring daily”, the anti-corruption chief concluded.
EFCC Chairman – Ola Olukoyede
The EFCC Boss again stressed the implication of the widespread crime and mentioned that assets recovered had been returned to cybercrime victims.
“The implication of all this is that if unchecked, cybercrimes pose grave dangers to the entire world. A significant portfolio of choice assets has also been recovered and returned to both local and foreign victims of cybercrimes by the commission.”
As part of the implementation to curb cybercrime, Olukoyede shared EFCC’s ongoing plans. He highlighted that the agency is building a cybercrime research centre.
“We are putting up a Cybercrime Research Centre in collaboration with one of the fintechs in Nigeria. The centre will take a minimum of 500 young Nigerians at a time and train them in cyber security and all areas of cybercrime research so that we’ll be able to make something out of them,” he added.
Read More: EFCC boss says $500m lost to Cybercrime in 2024, announces training centre for youths.
The post EFCC arrests 4 commercial bank fraud masterminds in Abuja first appeared on Technext.
The four suspects, Chima Nwigwe, identified as the leader, along with Effiong Emmanuel, Mohammed Mahmud – the Managing Director of Downstone Ultimate Limited, and Daminan Ali, were arrested during a sting operation.
The Four Suspects – Chima Nwigwe, Effiong Emmanuel, Mohammed Mahmud, and Damian Ali
While disclosing the arrest, a post on the agency’s X account said the suspects conspired to hack various commercial banks’ websites.
“The Economic and Financial Crimes Commission, EFCC, has arrested Chima Anthony Nwigwe, the suspected leader of banks’ hacking syndicate alongside three others: Effiong Victor Emmanuel, Mohammed Bello Mahmud, managing director, Downstone Ultimate Limited and Daminan Ali for alleged conspiracy, unauthorized access to banks’ computer systems and fraudulent withdrawal of depositors’ funds,” the statement reads.
It also added that the trio had compromised banks’ database systems to make dubious digital transfers.
“They were arrested in a sting operation in Abuja following actionable intelligence about their suspected involvement in hacking, compromising databases of commercial banks, thereby causing fraudulent transfers and withdrawals through different digital platforms.”
EFCC operatives
EFCC stated that the suspects would be taken to court once the investigations were concluded.
Cyberattacks on Financial Institutions
As the EFCC continues to clamp down on cybercrime, data revealed that financial institutions are witnessing rising cyber-attacks.
A report by Business Day revealed that financial institutions ranging from commercial banks, fintech companies, and network service providers accounted for losses totalling over ₦1.1 trillion between 2017 and 2023. This is due to various cyber threats such as hacking, ransomware, and malware attacks.
From a loss of ₦2.37 billion in 2017 to a loss of N300 billion in 2023, Nigerian financial institutions have experienced rising figures twice within these periods. Since 2017, there have been a rise in financial loss due to cyber attacks with ₦15 billion in 2018 and ₦230.8 billion in 2019.
The figure thus decreased by 33.5% in 2020 after a cyber attack loss of ₦153.4 billion.
The losses increased by 26.14% from 2020 to N193.5 billion in 2021. From 2021 to 2023, it increased by a record ₦273 billion and ₦300 billion in 2022 and 2023 respectively.
Also, according to the Nigerian Central Securities System, businesses in the country encounter an average of 2,560 cyber attacks weekly. The agency pointed out that cybercrime is projected to cost the global economy over $10.5 trillion in 2024.
Read More: Nigeria experiences 2,560 cyber attacks weekly, NSA Nuhu Ribadu promises help
EFCC: $500m Lost to Cybercrime in 2024
Last week, the EFCC Chairman, Ola Olukoyede, expressed concerns about the rise of cybercrime in the nation and the attending cost.
He raised the issue during a cybercrime summit organized by the agency. According to the EFCC boss, cybercrime accounted for the larger share of 3,455 cases recorded during his first year in office.
He added that $500m was lost to the scourge in 2022.
Olukoyede shared data on the rising global loss to cybercrime. “Projections by multiple sources show that the global loss to cybercrime may reach a staggering $10.5tn. The research I did earlier this year confirmed that cybercrime has become the third largest crime in the world with approximately 2,328 cases occurring daily”, the anti-corruption chief concluded.
EFCC Chairman – Ola Olukoyede
The EFCC Boss again stressed the implication of the widespread crime and mentioned that assets recovered had been returned to cybercrime victims.
“The implication of all this is that if unchecked, cybercrimes pose grave dangers to the entire world. A significant portfolio of choice assets has also been recovered and returned to both local and foreign victims of cybercrimes by the commission.”
As part of the implementation to curb cybercrime, Olukoyede shared EFCC’s ongoing plans. He highlighted that the agency is building a cybercrime research centre.
“We are putting up a Cybercrime Research Centre in collaboration with one of the fintechs in Nigeria. The centre will take a minimum of 500 young Nigerians at a time and train them in cyber security and all areas of cybercrime research so that we’ll be able to make something out of them,” he added.
Read More: EFCC boss says $500m lost to Cybercrime in 2024, announces training centre for youths.
The post EFCC arrests 4 commercial bank fraud masterminds in Abuja first appeared on Technext.