Ola Olukoyede, Executive Chairman of the Economic and Financial Crimes Commission (EFCC), has raised concerns over the growing menace of employment fraud, revealing that Nigeria loses over N40 billion annually to fraudulent employment schemes.
He made this disclosure on Friday, February, when the Nigerian Employers’ Consultative Association (NECA), led by Adewale Oyerinde, its Director General and Chief Executive Officer, paid a courtesy visit to the EFCC’s corporate headquarters in Abuja.
According to a statement signed by Dele Oyewale, Head, Media & Publicity, EFCC, Olukoyede emphasized that corruption and financial crimes remain Nigeria’s greatest obstacles to economic growth and development.
He noted that employment fraud is a key area of concern, as both employers and employees exploit systemic loopholes for illicit financial gains.
“In 2007, before I joined the EFCC, I conducted research into employment fraud and found that Nigeria lost over N40 billion annually due to fraudulent employment practices. Over the years, this problem has persisted, affecting both the public and private sectors,” Olukoyede stated.
He cited EFCC’s past successes in exposing salary fraud within the Integrated Personnel and Payroll Information System (IPPIS), where individuals received government salaries without being legitimate employees.
He noted that ongoing investigations have helped the government save billions of naira and that the EFCC remains committed to preventive measures in tackling corruption.
Olukoyede stressed that under his leadership, the EFCC has prioritized prevention over post-crime investigations, ensuring that financial loopholes are closed before funds are misappropriated.
“It costs less to prevent than to investigate and recover stolen funds. This is why we established the Fraud Risk Assessment and Control Department, which monitors financial transactions in MDAs, ensuring transparency in budget releases,” he explained.
He urged NECA, as a federation of private sector employers, to play an active role in tackling employment fraud, particularly in preventing cases where employers defraud staff or vice versa.
In response, Oyerinde, highlighted the huge financial losses suffered by the private sector due to financial crimes.
He expressed the association’s willingness to collaborate with the EFCC in curbing money laundering, cybercrime, and identity theft.
“We are here to seek collaboration with the EFCC on tackling financial crimes in the private sector. We propose joint workshops and structured engagement to promote compliance, fraud prevention, and governance ethics,” Oyerinde stated.
Olukoyede welcomed the proposal and assured NECA of EFCC’s commitment to improving financial transparency, safeguarding workers’ welfare, and strengthening ethical practices in both the public and private sectors.
