Banking

Fear as Man Hacks Wema Bank to Transfer N4m

Published

7 years ago

15/07/2019

By Modupe Gbadeyanka

Reports of a young man claimed to be 19-year-old, but actually a 29-year-old, according to latest information, allegedly breaking into an account domiciled with Wema Bank Plc is creating panic among some customers of the financial institution. The reason for this fear is the safety of their deposits with the lender.

It was reported in the media that last Wednesday, one Nonso Okereke, was arraigned before an Igbosere Magistrates’ Court in Lagos for allegedly hacking into a Wema Bank account in connivance with one 36-year-old Emeka Onumba to transfer N4 million.

The Prosecutor, Inspector Ingobo Emby, who brought the suspects before Magistrate A.O. Alogba, claimed that the duo committed the offences sometime in January at Wema Bank headquarters, located at 54, Marina Street, Lagos Island.

He informed the court that the defendants hacked into an account of Wema Bank, fraudulently transferred N4 million into various accounts, and later withdrew the money and shared, which the prosecutor said contravened Sections 287 and 411 of the Criminal Law of Lagos State.

When the charges were read to them, the suspects pleaded not guilty, while the magistrate granted them bail in the sum of N400,000 each with two sureties each in like sum who must have N500,000 in their bank accounts, with the case adjourned till July 18 for trial.

But as a result of the fear created by this report last week, Wema Bank has emphasised that its system was never hacked by the suspects, assuring customers that their deposits were safe.

“Wema Bank remains committed to protecting the funds of their customers and offering safe and secure banking services,” the financial institution said.

Explaining what happened, it was gathered after an investigation that the said sum was fraudulently withdrawn from the Wema Bank account of Maxwell Odoemenam without his consent by swapping the customer’s SIM card through the telecom company.

The SIM card swapped was due to failed controls on the part of the telecoms firm who did not carry out due diligence before allowing the SIM card swap. This is beyond the control of the bank, as they do not issue SIM card to customers, we learned.

The investigation further reveals that the customer had initially visited our Lawanson branch on 20/12/2018 to request for the balance in his account and when he was availed his account balance, he discovered that there was a shortfall of N20,100.00 in his balance. Further review of his statement of account revealed that the sum of N19,000 was transferred from his account via USSD platform into the account of one Amadi Promise in Union Bank, while the balance of N1,100 was used to purchase airtime recharge for his mobile line.

He however claimed that he did not register for USSD or any online platform with the bank thus, the transactions were fraudulent and not at his instance.

Upon interrogation of the customer, he explained that he had earlier visited Airtel Office to complain of network downtime on his phone number (08121730557), which he registered with the bank and he was notified by a staff of Airtel Office that someone had tampered with his SIM card, hence, he visited our Lawanson branch to request that his phone number be changed to another.

The staff of Lawanson branch (Wema Bank) who attended to the customer claimed that he advised the customer to allow the bank to place a debit restriction on his account to avert further fraud on it but that the customer did not agree with her but rather requested for a change of telephone number on the account because it is his business account and that he did not want any restriction on it so as not to disrupt his business.

Hence, restriction was not placed on his account but his profile was deactivated on the USSD platform. The customer however denied the assertion that he rejected the Officer’s advice on placing a restriction on his account.

Unknown to the customer, after the initial N20,100 transactions, the fraudster(s) had already enrolled the customer on ALAT platform using the customer’s telephone number and other BVN details. The telephone number was fraudulently swapped at the Telecommunication company which gave them access to the customer’s BVN details on NIBSS platform.

Upon the successful enrolment of the customer’s account on the ALAT platform, funds totalling N4,056,500.00 were fraudulently transferred to Adanna Mary Opara (N210,000.00), Okeke Favour (N100,000.00), Onumba Peter (N3,646,500.00) and Anyanwu Chinonyerem (N100,000) in Access, Union and GTBank, respectively.

The bank has refunded the customer with the lost funds and got the fraudsters arrested through the instrumentality of the Police to ensure substantive justice on the matter.

Onumba Peter, one of the fraudsters apprehended by the Police claimed that one Nonso Okereke introduced the fraud to him.

Banking

Polaris Bank Embeds Gift Card Feature in VULTe

Published

11 hours ago

17/02/2026

Aduragbemi Omiyale

By Aduragbemi Omiyale

A new Gift Card feature has been added to the digital lifestyle platform of Polaris Bank Limited, known as VULTe.

The gift card catalogue includes leading brands and platforms such as Amazon, SureGift, Visa and MasterCard Prepaid Cards, iTunes and Apple, Google Play, Steam, Razer Gold, Netflix, Spotify, Starbucks, and PaySafeCard, covering everything from physical goods and digital content to subscriptions, gaming, and everyday essentials.

This feature allows for a faster and smarter way for users to send love, appreciation, and rewards across borders, enabling customers to deliver global brand gift cards to family and friends anywhere in the world in seconds.

Designed for speed, security, and everyday relevance, the feature allows users to choose from a wide range of international and local brands spanning groceries, beauty and wellness, fashion, electronics, entertainment, gaming, and lifestyle services, all seamlessly accessible on VULTe.

Whether it is paying for a Netflix subscription in London, sending Spotify Premium to a friend in Accra, gifting a Starbucks coffee in New York, or helping a loved one shop at Amazon or Shoprite, VULTe’s Gift Card feature transforms digital transfers into meaningful real-world experiences, powered by Polaris Bank’s secure digital infrastructure.

Users log in to VULTe, select Lifestyle, choose Gift Card, pick a preferred brand, enter the amount and recipient’s email, confirm the transaction, and authorise with their PIN. The gift card is delivered instantly, removing shipping delays, currency barriers, and geographic limitations.

With this feature on VULTe, Polaris Bank reinforces its commitment to digital innovation and lifestyle banking, positioning VULTe as a bridge between financial services and everyday global experiences, enabling customers to turn simple moments into meaningful connections delivered instantly, securely, and without borders.

Banking

Sterling Bank, AltBank Meet Full Recapitalisation After N153bn Injection

Published

1 day ago

16/02/2026

Modupe Gbadeyanka

By Modupe Gbadeyanka

The banking subsidiaries of Sterling Financial Holdings Company Plc, Sterling Bank and The Alternative Bank (AltBank), have met the full recapitalisation requirements of the Central Bank of Nigeria (CBN).

The chief executive of Sterling Holdings, Mr Yemi Odubiyi, said the recapitalisation strengthens the group’s ability to support economic activity while maintaining financial resilience.

“This exercise goes beyond regulatory compliance. It positions us to expand credit responsibly, accelerate innovation, and provide sustained support to businesses and households, while maintaining the discipline required in a challenging operating environment,” he said.

Mr Odubiyi noted that fully capitalising both Sterling Bank and The Alternative Bank reinforces the organisation’s dual-bank structure and its ability to serve conventional and non-interest segments.

“Our structure enables efficient deployment of capital across complementary markets and positions us to respond with agility to evolving customer needs,” he said, adding that strong investor participation across the capital programmes reflects confidence in the group’s governance and long-term strategy.

He further pointed out that the strengthened balance sheet provides a platform for the company’s next phase of growth.

“We are entering this phase from a position of significant financial strength, with the capacity to scale non-banking businesses, deepen digital capabilities, and pursue disciplined expansion opportunities while delivering sustainable value for shareholders,” Mr Odubiyi said.

Sterling Holdings achieved this feat after raising fresh capital between December 2024 and October 2025, positioning itself well ahead of the 2026 industry deadline.

In December 2024, it completed a N75 billion private placement, raising N73.86 billion in net proceeds. Of this amount, N68.8 billion was allocated to Sterling Bank and N5 billion to The Alternative Bank, strengthening the capital base of both institutions.

This was followed by a N28.79 billion rights issue, which was oversubscribed by N10.29 billion. Regulatory approvals in May 2025 enabled the allotment of N26.639 billion under the rights issue, with the oversubscription restructured into a private placement, enabling AltBank to meet the capital requirement for non-interest banks with national licences.

Sterling HoldCo further strengthened its capital position through an N88 billion public offer in October 2025, which recorded an oversubscription. The CBN has cleared the full amount of N96.69 billion for recognition as additional capital, while the Securities and Exchange Commission (SEC) approved the allotment of 13,812,239,000 shares.

In total, the group injected N153 billion into Sterling Bank and The Alternative Bank, bringing both institutions into full compliance with the revised capital requirements.

Banking

SERAP Sues CBN Over Alleged Missing N3trn

Published

2 days ago

16/02/2026

Adedapo Adesanya

By Adedapo Adesanya

The Socio-Economic Rights and Accountability Project (SERAP) has filed a lawsuit against the Central Bank of Nigeria (CBN) for failing to account for N3 trillion in public funds, alleged to be missing or diverted.

The lawsuit followed the grave allegations contained in the latest annual report by the Auditor-General of the Federation, published on September 9, 2025. It includes over N629 billion paid to ‘unknown beneficiaries’ as part of the Anchor Borrowers’ Programme.

In the suit number FHC/ABJ/CS/250/2026 filed last week at the Federal High Court in Abuja, SERAP is seeking: “an order of mandamus to direct and compel the CBN to account for and explain the whereabouts of the missing or diverted N3 trillion of public funds, including detailed reports of how exactly the funds were spent.”

In the suit, SERAP argued that, “These grim allegations by the Auditor-General suggest grave violations of the public trust, the provisions of the Nigerian Constitution 1999 [as amended], the CBN Act, and anticorruption standards.”

SERAP is arguing that, “These grave violations also reflect a failure of CBN accountability more generally and are directly linked to the institution’s persistent failure to comply with its Act and to uphold the principles of transparency and accountability.”

According to SERAP, “These violations have seriously undermined the ability of the CBN to effectively discharge its statutory functions and the public trust and confidence in the bank. The CBN ought to be committed to transparency and accountability in its operations.”

SERAP is also arguing that, “Nigerians have the right to know the whereabouts of the missing or diverted public funds. Granting the reliefs sought would advance the right of Nigerians to restitution, compensation and guarantee of non-repetition.”

The suit filed on behalf of SERAP by its lawyers: Ms Oluwakemi Agunbiade and Ms Valentina Adegoke, read in part: “According to the Auditor-General, the CBN in 2022 failed to remit over N1 trillion [N1,445,593,400,000.00] of ‘the Federal Government’s portion of operating surplus’ into the Consolidated Revenue Fund (CRF) account.”

“The Auditor-General fears that the money may have been ‘diverted.’ He wants the money recovered and remitted to the treasury.”

“The CBN also failed to recover over N629 billion [N629,040,000,000.00] paid to ‘unknown beneficiaries’ as part of the Anchor Borrowers’ Programme, a programme ‘meant to support farmers to ensure sustainable food production in the country,’” it said.

SERAP noted that the Auditor-General raised serious concerns over financial management at the apex bank, citing unaccounted intervention funds and unrecovered loans running into hundreds of billions of naira.

The report noted that the number of beneficiaries who collected certain disbursed funds remains unknown and that efforts to recover the money have been inadequate. Over N784.4 billion in unpaid and overdue loans issued between 2018 and May 2022 remain outstanding, with fears that diversion of funds may have worsened food security challenges. The Auditor-General has called for full recovery and remittance of the funds to the treasury.

The report also questions over N125.37 billion spent by the CBN in 2022 on intervention activities allegedly linked to national security, federal and state government engagements, and financial sector capacity building. According to the Auditor-General, there was no documentary evidence to support the expenditure, nor proof of approval by the National Assembly. He warned that the spending may not align with Section 2 of the CBN Act and could have been diverted, again urging that the funds be recovered and paid into the treasury.

Further scrutiny revealed that the CBN “unjustifiably” spent N1.79 billion on 43 operational vehicles for the Nigeria Immigration Service, despite no clear connection to the Bank’s statutory mandate and no evidence of delivery or procurement documentation. Additionally, 43 contracts worth over N189.5 billion allegedly suffered deliberate delays, leading to irregular contract variations of over N9.27 billion without proper records. The Katsina branch of the CBN also failed to recover over N90 million in COVID-19 intervention loans to SMEs.

In each case, SERAP noted that the Auditor-General expressed concern that the funds may have been diverted or mismanaged and demanded recovery and remittance to the treasury.