Economic And Financial Crimes Commission Research Articles

Moderating Influence of Corruption on the Relationship between Aggregate Tax Revenue and Economic Development in Nigeria and Ghana

The study examines the moderating influence of corruption on the relationship between aggregate tax revenue and economic development in Nigeria and Ghana. Ex-post facto research design was adopted for the study where country specific data extracted from the annual publications of OECD database on tax revenue in Africa, Central Bank of Nigeria and Transparency International (TI) for the periods 1981 to 2022 were used. The dependent variable was economic development measured with Gross Domestic Product at 2015 Constant price while the independent variable was Aggregate tax revenue. The relationship between the dependent and independent variables was moderated by the presence of corruption measured by Corruption perception index for Nigeria and Ghana. Different econometric techniques were applied in the study while the data was analyzed by means of the Autoregressive Distributed Lag (ARDL) model using E views Version 10. The findings showed that in Nigeria and Ghana, aggregate tax revenue had a positive and significant influence on economic development both short and long run whereas corruption had a negative but significant influence on the relationship between tax revenue and gross domestic product of Nigeria and Ghana. The study therefore recommends among others that the respective governments of Nigeria and Ghana should put in place adequate fiscal measures to ensure that revenue generated from taxes are effectively utilized to develop their economies. They should also see the need to tackle corruption in the process of executing projects by ensuring that activities of bad and corrupt leaders are closely monitored through further strengthening the hands of the anti Graft Agencies like the Economic and Financial Crimes Commission (EFCC) and ICPC to have the political will to persecute corrupt leaders and managers of public funds.

The Impact of the Fight Against Corruption on Nigeria's Economy: A Case Study of the Economic and Financial Crime Commission

Corruption in Nigeria has long hindered economic development and raised concerns about resource misallocation, reduced foreign direct investment, and eroded public confidence in institutions. Established in 2003, the Economic and Financial Crimes Commission (EFCC) was tasked with combating economic and financial offenses, including corruption. This study aimed to assess the impact of anti-corruption efforts, particularly the role of the Economic and Financial Crimes Commission (EFCC), on Nigeria's economy. A survey research design was employed, with data collected through 109 structured questionnaires administered to personnel from various units of the EFCC at the Enugu state branch. Out of the questionnaires distributed, 100 were properly filled out and returned for analysis. Respondents were selected using a simple random sampling technique. The collected data were processed using the Statistical Package for Social Sciences (SPSS) 20.0. Descriptive statistical tools, such as simple percentages presented in tables and charts, were used to analyze and interpret the questionnaire data. The study revealed several key findings. Firstly, it emphasized the importance of the fight against corruption in Nigeria. Secondly, it highlighted the positive impact of anti-corruption efforts on the country's economy. Thirdly, it found that the EFCC has been making progress in combating corruption. Lastly, it confirmed that corruption hinders Nigeria's economic development. In conclusion, this study casts a glaring spotlight on the corrosive impact of corruption on Nigeria's economy, translating to staggering losses exceeding $100 billion in GDP. Consequently, the research emphasized the necessity of intensifying anti-corruption efforts. It proposed recommendations to address this issue, including the strengthening of anti-corruption agencies, the improvement of legal frameworks, and the promotion of economic growth as crucial steps towards achieving sustainable

Why Corruption in Nigeria? Experts’ Accounts on the Occurrences and Persistence

Corruption is increasingly becoming commonplace in Nigeria. Recent discoveries of hidden corrupt funds in Nigeria by anti-corruption agencies, particularly the Economic and Financial Crimes Commission (EFCC) in Nigeria, give insight into how severe the menace has become. The amount recovered during the early part of 2017 is shocking, despite the renewed effort to fight corruption by the present administration in Nigeria and, by extension, past governments. This has prompted the question of why corruption occurs and persists in Nigeria. To satisfy this urge, we believe that getting those involved in corruption will be of great significance in unraveling the reality of the issue. However, thoughtfully considering the situation in Nigeria, where, in most instances, even those caught in corrupt acts with overwhelming evidence often deny being corrupt and are ever ready to go to any length in proving their innocence, we oblige for a workable alternative, which is to meet experts from the anti-corruption agencies and get their perspectives on this. We believe that through these experts who have been interacting with corrupt officers as investigators and prosecutors, the reality of the matter will be revealed. Their experiences and understanding in the anti-corruption efforts can lead us to uncover why the occurrences and persistence of corruption in Nigeria. In achieving this goal, we conducted in-depth face-to-face interviews with the two anti-corruption bodies. Using thematic analysis, we find that six reasons explain why corruption occurs and then persists in Nigeria.

Nigeria’s Anti-Corruption Model: Time for a Review

Corruption and its challenges to the society is not a new phenomenon but designing effective methods to combat it has proven to be challenging for a few reasons. They include the fact that the phenomenon is ever evolving, and the perpetrators are usually ahead of the law. Another reason is that the absence of commitment on the government has prevented sincere assessment of measures introduced to combat corruption. This paper assesses Nigeria’s Anti-corruption model of criminalisation of corruption related offences. Effective criminalisation of corruption related offences requires a workable legal framework and effective institutions. The absence of either or both means that combating corruption would not be effective. This paper discusses Nigeria’s legal framework for combating corruption. Using qualitative method, this paper finds that the legal and institutional frameworks need to be strengthened. One area of strengthening is that the anti-corruption model of multi-agencies with the two foremost Anti-Corruption Agencies (ACA), the Independent and Corruption Practices Commission (ICPC) and the Economic and Financial Crimes Commission (EFCC) be reviewed. Instead, Nigeria should consider merging these two foremost institutions. The political will of the government is however sine qua non if this is to be achieved.

Anti-Corruption in Nigeria: Towards a Critical Discourse Analysis

This paper makes a case for discursive analysis of anticorruption in Nigeria. It argues for an alternative understanding of anti/corruption discourse by examining anticorruption as a discourse shrouded in a complex inter-related process shaped by socio-historical continuities, meaning-making, interests, perceptions and interpretations that (inter)act to impel, and sometimes propel, anticorruption to produce contradictory outcomes. Without impugning on the strides of government, through the efforts of the Economic and Financial Crimes Commission (EFCC), in the fight against corruption, this piece interrogates why anticorruption campaign appears to have little or no impact in its fight against corruption in Nigeria and argues it is not unconnected with emphasis on institutions as against interests and meaning-making processes that goes into the making of ‘institutions’. It contends that emphasis on institutions in the campaign against corruption loses sight of and does not take into account what corruption is, what it portends, and whether its re/presentation captures or reflects the needs, views and experience of the society. Grounded in postcolonialism and relying on extant literature on (anti)corruption in Nigeria, this study deploys critical discourse analysis (CDA) to examine how the discourse of (anti)corruption in Nigeria is generating a social process of anticorruption with (un)intended consequences. Keywords: Corruption, Anticorruption, Critical Discourse Analysis, Postcolonialism, Institutionalism DOI: 10.7176/RHSS/13-8-01 Publication date: April 30 th 2023

Economic and Financial Crimes Commission and Anti-Corruption Crusade in Nigeria, (2015-2020)

Corruption has proven to be intractable in Nigeria, with resultant consequences on the political, economic and socio-cultural development of the nation. Though past military regimes, before the return to democratic government in 1999, initiated series of anti-corruption crusades at various times, corruption in high and low places continued to be on an alarming increase. With the return to democratic governance, President Olusegun Obasanjo saw to the establishment of the Economic and Financial Crimes Commission (EFCC) in 2002, which amongst others is vested with the responsibilities of prevention, investigation and prosecution of individuals, groups and institutions found culpable or corrupt, and unearth frauds and recover public loots in the country. After over a decade of the commission’s existence in the country, corruption remain a pandemic, which informed President Muhammadu Buhari’s second major promise during his campaign in 2015, to fight and completely eradicate corruption. Between 2015 and 2020, a lot a successes and failures have punctuated the activities of the commission and this is the thrust of this study. The Institutional Approach was used as the theoretical framework for the study and we relied on materials collected from secondary sources. Among other recommendations of the study, the Federal Government of Nigeria should speedily take steps to establish special courts to deal specifically with corruption cases while the Judicial Service Commission and the Nigeria Bar Association should be strengthened to deal firmly with alleged cases of corruption or misconduct involving Judges and lawyers respectively.

Perception of the Performance of Economic and Financial Crimes Commission (EFCC) in Darazo Local Government Area of Bauchi State, Nigeria

Perception of the Performance of Economic and Financial Crimes Commission (EFCC) in Darazo Local Government Area of Bauchi State, Nigeria

Advantageous comparison: using Twitter responses to understand similarities between cybercriminals (“Yahoo Boys”) and politicians (“Yahoo men”)

This article is about the manifestations of similarities between two seemingly distinct groups of Nigerians: cybercriminals and politicians. Which linguistic strategies do Twitter users use to express their opinions on cybercriminals and politicians? The study undertakes a qualitative analysis of ‘engaged’ tweets of an elite law enforcement agency in West Africa. We analyzed and coded over 100,000 ‘engaged’ tweets based on a component of mechanisms of moral disengagement (i.e., advantageous comparison), a linguistic device. The results reveal how respondents defend the actions of online fraudsters (“the deviant group”) by strategically comparing them to the wrongful acts of corrupt politicians (“the respectable group”). Similarly, the results show how respondents positioned this linguistic strategy to compare “the powerless group” (online fraudsters) and “the powerful group” (politicians) in society. Indeed, tweet responses suggest that the Economic and Financial Crimes Commission (EFCC) generally looks downwards for culprits (i.e., online fraudsters) while ignoring fraudulent politicians. We conclude that the process by which some actions are interpreted as a crime compared to others is a moral enterprise.

Evaluating the ability of the National Agency for Financial Investigation of Cameroon and the Nigerian Economic and Financial Crimes Commission in combating Money Laundering

Illicit financial flows remain a serious problem to both developed and developing countries with tremendous negative impact on the economy. Although the police is there to investigate offences, certain offences are more sophisticated in nature thereby, necessitating the establishment of specialized agencies to investigate such offences. Nigeria and Cameroon have very common similarities when it comes to corruption and efforts to eliminate it led to the creation of the Economic and Financial Crimes Commission (EFCC) and the National Agency for Financial Investigation (ANIF). These agencies have the mandate to fight against money laundering and terrorist financing but the mandate of the EFCC is more extended with tremendous powers to investigate and directly prosecute offenders. ANIF does not have such powers and only report to the prosecution after investigation. This is attributed to the fact it is Financial Intelligence Unit (FIU) whose functions are usually limited to collection, analysis and dissemination of information related to money laundering, associated predicate offences and the financing of terrorism. Cameroon has opted for the administrative model lodged within the Ministry of Finance. The objective of this paper is that it seeks to make a comparative study of the EFCC and ANIF in the fight against financial crimes and to draw a line as to the model that is more efficient. To achieve this, a qualitative research approach was adopted. Accordingly, the doctrinal method was used which enabled us to do an on desk analysis of the available secondary and primary data on the EFCC and ANIF. This paper recommends that more sophisticated means should be given to the EFCC and that the CEMAC sub region should adopt the Nigerian model which has proven to be more successful in combating illicit financial flows.

Tweets and Reactions: Revealing the Geographies of Cybercrime Perpetrators and the North-South Divide.

How do tweets reflect the long-standing disparities between the northern and southern regions of Nigeria? This study presents a qualitative analysis of Twitter users' responses (n = 101,518) to the tweets of the Economic and Financial Crimes Commission (EFCC) regarding the production and prosecution of cybercrime. The article uses postcolonial perspectives to shed light on the legacies of British colonial efforts in Nigeria, such as the amalgamation of the northern and southern protectorates in 1914. The results revealed significant discrepancies between Nigeria's northern and southern regions regarding cybercriminal arrest, conviction, and sentencing. Specifically, the results showed that the EFCC's criminalization of Southerners differs substantially from that of Northerners. The contemporary manifestation of inequalities concerning the production and prosecution of cybercrime on Twitter reflects long-standing contestations (e.g., economic, political, cultural, geological) between the northern and southern parts of Nigerian society. Therefore, since the North-South divide in present-day Nigeria originated from British colonization, colonialism is the base that shaped the superstructure comprising political, religious, historical, geological (e.g., crude oil), and economic factors. In turn, the article spotlights that regional differences in educational attainment, originating from differing experiences of Christianization and colonization, interact with regional disparities in the production of cybercrime. More research is required to better understand how these contextual disparities in society interact with the production and prosecution of cybercrime, given that Nigerian cybercriminals defraud victims all over the world.

Fighting Kleptocracy in Democracy: An Assessment of the Efficacy of Anti-graft Policy Enforcement in Nigeria

Financial crimes in Nigerian socio-political milieu have been more recurrent in contemporary times. The paper attempted to assess the performance of the Economic and Financial Crimes Commission (EFCC) from inception as a platform to evaluate the efficacy of anti-graft policy enforcement in Nigeria. It sought to establish whether the persistence of graft offences by Nigerian government officials was fallout of flaws emanating from censored operational space to restrict of the agency’s autonomy. Statutorily, it was mandated to prosecute all financial corruption in public offices, money laundering, advance-fee fraud and other offences related to these. However, in spite of these efforts, the war against corruption in every sphere is far from over. The paper anchored on the rational choice theory as analytical framework and employed the secondary source of data collection and analysis. Arguably, the EFCC operations have not been effective since the number of convictions for financial crimes in public offices is considered relatively low as against the level of the offense in the country. Again, the personnel of the agency were deemed to lack the required autonomy to address the intricacies of fighting the crime. Therefore, to reduce the spate of financial embezzlement, the Nigerian public laws should be amended to embrace a credible method of nominating candidates with good track records for political positions and public offices. In the same vein, more realistic autonomy should be given the operatives of the EFCC with a view to elicit more credible enforcement of the anti-graft law.

TOWARDS FEDERALIZATION OF NIGERIAN UNITARIZED JUDICIARY

This paper examines federalism as a concept, its adoption to governance in Nigeria through the constitution. The constitution is examined with a view of showing elements of unitarism instead of the federalism the constitution proclaims for Nigeria. In this regard, we examined the creation of federation account, statutory allocation of revenue to states and local government and what it portends for a federation. Conduct of general Election on a date for the central government and all the states of the federation is observed as an aberration in a federal state, so also is the creation of a National electoral commission for both the central and state governments. Creation of central judiciary for both the National and state government with institutions like Economic and Financial Crimes Commission (EFCC) and Independent Corrupt Practices Commission (ICPC) is also an aberration in a federation. The paper is concluded by contrasting Nigerian federation with American federation with a recommendation for true federation modeled along American system so as to ensure peace, order, good governance and security of the nation. This will be a form of devolution of power which can ensure Nigeria’s unity and erase agitation for balkanisation of Nigeria.

COVID-‘419’: Social Context of Cybercrime in the Age of COVID-19 in Nigeria

ABSTRACT While extant studies have probed the causes, actors and effects of cybercrimes in Nigeria, knowledge is scarce on the adaptable nature of cybercrimes during the COVID-19 pandemic. Using Fraud triangle theory and exploratory research design, I analyzed data emanating from the Economic and Financial Crimes Commission (EFCC), the Nigerian Police, the Nigerian Communications Commission (NCC) and the Central Bank of Nigeria (CBN). Partial and total lockdown imposed by Federal and State governments in Nigeria to curtail the spread of COVID-19 delayed government palliative intervention, weakened social support systems and increased the vulnerability of Nigerians to COVID-419ners. The fraud scheming deployed included relief package fraud, food and data fraud, and COVID-19 cash support and loan fraud. These fraud schemes were designed to align with federal government’s policy on COVID-19 palliative or intervention to defraud the unsuspecting public. Arising from the findings, the study recommends timely palliative support and unambiguous public enlightenment on beneficiaries to reduce victimization of vulnerable Nigerians. Anti-cybercrime agencies need to be proactive in preventing fraud occurrence, neutralizing fraudulent schemes and arresting cyber-offenders.

Exploring the role of artificial intelligence and machine learning for financial intelligence in Nigeria

Developing countries, especially in Africa, lag behind developed countries in utilizing artificial intelligence to detect and identify financial fraud and corruption incidents. However, with the fight against corruption and the increasing demand for accountability, artificial intelligence can address this gap. Artificial has already gained popularity and acceptance in nations such as the United States and China and is being used in the banking sector to reduce financial fraud. Nigeria, the most populous African country, can build upon the success of implementing and artificial intelligence in the nation's financial system. This exploratory study seeks to explore how the Economic and Financial Crimes Commission (EFCC) could leverage some of the artificial intelligence techniques to identify and detect instances of financial fraud and corruption. This exploratory study identifies the possibilities for integrating machine learning and artificial intelligence techniques to detect and identify fraud. The reviewed literature findings reveal that Radial Basis Functions (RBF) networks and Active Learning Through Sequential Design (ALSD) methods were more effective than other models in detecting money laundering.

Military Outlay and Economic Growth: The Scenarios of Lake Chad Basin Countries of the Republic of Chad and Nigeria

This study examined the relationship between military outlay and economic growth in the Lake Chad Basin countries of Nigeria and the Republic of Chad respectively by testing the causal link between these two principal variables. The data ranges used for Nigeria and Chad were 1981-2019 and 1983-2019 respectively. The econometric method employed for this study was the Autoregressive Distributed Lag Bounds approach to cointegration. The results revealed that Nigeria’s military outlay exerted a positive and insignificant relationship with economic growth. However, the Republic of Chad’s military outlay had a positive and significant link with economic growth. The results of the causality test showed that there was no causal relationship between real GDP per capita and military outlay in both Nigeria and the Republic of Chad. These findings for Nigeria and Chad imply that they can pursue the policy objectives of defence and economic growth independently. The study, thus, recommends that the policymakers of the governments of both countries should pursue the policy objectives of defence and economic growth independently. Furthermore, the Economic and Financial Crimes Commission (EFCC) and Independent Corrupt Practices and other Related Offences Commission (ICPC), charged with the responsibility of fighting corruption should rise to the occasion and track down military officials that divert defence funds for individual gains in Nigeria.

Forensic Accounting and Incidence of Fraud Detection

The study described and explained forensic accounting and the incidence of fraud detection in Nigeria. The objectives of this study were to identify personal skills requirements and, assess the types of investigative techniques used in forensic accounting. A literature review was conducted to set up the conceptual and theoretical framework for the study. A quantitative approach was used by administering a structured questionnaire. A total of 101 investigators from Economic and Financial Crimes Commission (EFCC) were used as sample for the study. We employed Jarque Bera statistics to conduct the analysis using the E views software. There is a significant relationship between forensic accounting personal skills; investigative techniques and fraud detection in Nigeria. The scope of the study was only in Nigeria and all samples were drawn from the Economic and Financial Crimes Commission (EFCC). The study concluded despite all fraudulent activities, forensic accounting is proffering solutions for fraud prevention and detection in Nigeria. It was recommended for practitioners to engage in further training on forensic accounting personal skills and techniques.

Using Specialised Anti-Corruption Agencies to Combat Pervasive Corruption in Nigeria: A Critical Review of the ICPC and EFCC

Abstract The use of specialised anti-corruption agencies (ACAs) to combat corruption is increasingly popular among African countries. This is no surprise considering the successes these agencies have recorded elsewhere in the world, on the strength of which they have been described as ‘the most innovative feature of the anti-corruption movement of the last two decades’. Yet while ACAs have been successful in other parts of the world, the same cannot be said of those in Africa generally and Nigeria in particular. Even with two ACAs – the Independent Corrupt Practices and Other Related Offences Commission (ICPC) and Economic and Financial Crimes Commission (EFCC) – corruption continues to soar in the country, making it necessary to examine the flaws of Nigeria’s ACAs. Focusing on a number of key characteristics of ACAs, this article analyses the role of the ICPC and EFCC in combating corruption in Nigeria. The main question the article seeks to answer is why corruption should be on the increase despite the fact that two specialised ACAs have been in existence for close to two decades.

The Performance of the Economic and Financial Crimes Commission (EFCC) in the Fight against Corruption in Nigeria: A Critical Appraisal

This very article is essentially geared towards evaluating the performance of the EFCC as an anti-graft agency in Nigeria. The benchmark for this evaluation is a few selected functions of the agency as enumerated in the Economic and Financial Crimes Commission (Establishment) Act 2004 (section 6). Based on the sensitivity of the topic, secondary analysis is strictly used. The data generated for the study are both quantitative and quantitative. The study revealed, with pictorial evidence as well as names of culprits and properties confiscated, that the EFCC is actually carrying out its functions as mandated by the parliamentary Act of its establishment. However contrariwise, the findings revealed that the commission is yet to be fully independent in the discharge of its assignment. It is also yet to effectively reduce crime rate in the country. The study recommended among other things that the independence of the Commission should not be compromised; that is, it should not be used by any government in power as a ridiculing, incapacitating machine against the opposition.

Combating the Cankerworm of Corruption through Plea Bargaining in Nigeria

Combating the Cankerworm of Corruption through Plea Bargaining in Nigeria Dr. Stella Oloaigbe Idehen, Dr. Sunday. O. Daudu Abstract This paper examines the indices of corruption and the use of plea bargain by the Economic and Financial Crimes Commission (EFCC) as a means of combating the canker worm of corruption. Plea bargain has not been well received by Nigerians as the concept is seen to favour those who are highly placed in society. The reliance of section 14 of the EFCC Act on the use of plea bargain by the EFCC has been criticised as inappropriate. However, the introduction of the Administration of Criminal Justice Act 2015(ACJA) has elaborate provisions that provide for a transparent dispensation of the use of plea bargain and is seen as a welcome development. The paper also examines cases where plea bargain has been utilised and discovers that its use is often in high profile cases where culprits are given a leeway to escape by being given lighter sentences which makes a mockery of the concept of plea bargaining. The paper found out that despite the use of plea bargain, corruption is on the increase and recommends that a supervisory mechanism be put in place to ensure that the concept of plea bargain be strictly followed and applied to all individuals irrespective of class so that justice can be seen to be manifestly done as this will help in combating the cankerworm of corruption in Nigeria. Full Text: PDF DOI: 10.15640/jlcj.v8n2a10

Values-Based Leadership and Fight against Corruption in Nigeria between 2015 and 2019: Public Policy Implications to Good Governance

Values-Based Leadership and Fight against Corruption in Nigeria between 2015 and 2019: Public Policy Implications to Good Governance Augustine Nduka Eneanya, Ph.D. Abstract It is globally acknowledged that the commitment of any government in fighting corruption is largely contingent on the values of leadership. Values-based leadership plays an important role in ensuring that relevant stakeholders and public institutions work together within the ethical confines of transparency, accountability and integrity in fighting corruption. The purpose of this paper, therefore, is to critically interrogate value-based leadership as a concept of governance and the fight against corruption in Nigeria between 2015 and 2019. The study adopted qualitative research technique. Data were collected from primary (in-depth interview of 10 government officials/anti-corruption agencies) and secondary sources such as: extant literature, textbooks, journal articles, internet and newspapers. Content-analysis technique was adopted to elicit concepts. Elicited concepts were edited, pattern-matched, coded or categorized into key themes, namely: values, leadership, corruption, transparency, integrity and governance. Thematic data analysis method was adopted to analyze, interpret and answer research questions. Results showed that despite the intervention of anti-corruption Agencies, such as: Economic and Financial Crimes Commission (EFCC), Independent and Corruption and other Practices Commission (ICPC) and Code of Conduct Bureau (CCB), corruption remains endemic as well as extremely prevalent in the public service. Transparency International’s Corruption Perception Index (CPI) survey reports between 2016 and 2018, showed that corruption in Nigeria reduced by 1 per cent (28 per cent to 27 per cent). This is still high when compared to Obasanjo’s regime (1999-2011) scorecard of 16 per cent; and Yar’Adua and Jonathan’s regimes’ (2011-2015) scorecard of 25 per cent.. The paper concludes by suggesting that the missing link in the fight against corruption in Nigeria is that the citizens’ participations have not been included in public policy and governance process. Full Text: PDF DOI: 10.15640/ppar.v8n1a1