The Chairman of the Nigeria Electronic Fraud Forum (NeFF), ‘Dipo Fatokun, has predicted a tough year for electronic payment (e-payment) fraudsters.
Fatokun, who doubles as the Central Bank of Nigeria (CBN) Deputy Governor, Payment System Department, said the forum would ensure that activities of e-fraudsters are stopped before they happen.
Speaking at NeFF’s end of year party held in Lagos, he said NeFF’s efforts in 2018 will be aimed at further securing banking channels, raising awareness on fraud controls and deepening collaboration and partnership with both law-enforcement and telecommunication stakeholders within and outside the country.
The Forum,he further explained, had in the last six years of its operation, embarked on several industry defining initiatives backed by three major circulars that have emanated from previous deliberations of the forum.
Such initiatives include implementing a two-factor authentication for internal banking processes, instituting regulation for card present fraud in a non- Europay, MasterCard and Visa (EMV) environment, and creation of fraud desks for effective e-fraud control.
“In order to raise the bar of our collaboration effort, the NeFF also led the industry on a scheduled visit to the Nigerian Computer Emergency Response Team (ngCERT) facility coordinated by the Office of the National Security Adviser to the President, where the industry was enjoined to utilise the facility in bolstering its fraud prevention efforts in a more proactive, effective and efficient way,” he said.
“We have thus far restricted the activities of electronic fraudsters in Nigeria, cutting back on losses suffered for a third straight year. In the coming year, we will ensure that not only fewer losses occur but the inclination to attempt will also wane,” he added.
Fatokun, had earlier said the NeFF will be partnering with the Nigeria Communications Commission (NCC) to check e-fraud in the country.
Fatokun revealed that NeFF also organised a stakeholders workshop on Cybercrime collaborating with Technology Advisors (ICT Lawyers/Consultants) with theme: “Tackling Enforcement Challenges Under The Cybercrime Act” to ensure success of the partnership.
He said Subscriber Identification Module (SIM) swaps and recycled SIMs have posed a new challenge in Nigeria’s space, with subscribers constantly being inundated with messages and calls aimed at phishing personal banking information from the unsuspecting public.
“It has become important to partner with the telcos which can assist us in probably ending this dimension of fraud. Users of financial products need to keep payment safety buttons on top of their mind at all times. We hope that our members will show the much needed cooperation when the time comes for us to jointly engage the public and push our message to the forefront of payment conversations alongside convenience and speed,”he said.
The workshop, he said, attracted stakeholders as defined by the Act from the Presidency, banks, telecommunication companies and the Nigerian Stock Exchange with the Governor of the Central Bank of Nigeria, Godwin Emefiele who was represented by a Deputy Governor of the apex bank.
“The workshop was able to issue a 10 point communiqué which was delivered to the representative of the Hon. Minister of Justice and Attorney General of the Federation for further action. I want to assure you that with your cooperation, we will not relent in realizing the points that have been birthed from this process in order to create a safer operating environment in our payments system,” he said.
Also speaking at the event, CBN Deputy Governor, Operations, Adebayo Adekola, said the Nigeria payment system and banking security have improved since the NeFF creation six years ago.
He said before NeFF’s creation, the country was operating from an era of magnetic stripe challenges which was effectively truncated with the migration to Personal Identification Number (PIN) and chip technology for card issuance. This, he said, ensured that we reduced Automated Teller Machines (ATM) fraud to zero with the aid of this technology.
“Since this feat, the industry has consistently been inundated with other types of frauds, from card not present fraud, to insider abuses and phishing scams. In all these, the forum has responded not only proactively but also effectively in fashioning strategies to combat these threats to our payments system,” he said.