Lagos Slams Banks Over ATM Fraud

The Lagos State Government has accused banks in the state of frustrating its move to resolve the numerous cases of ATM fraud involving customers and the banks.

The government said the unwillingness of banks to co-operate with it was posing serious challenges in this regard, but stated that the state government was undeterred in a bid to ensure that the rights of customers were protected.

Commissioner for Commerce and Industry, Prince Adeniyi Oyemade at a news conference at the weekend in Lagos, South West Nigeria said the Consumer Protection Committee, CPC, of the ministry had to contend with unwillingness of banks to cooperate with it in order to resolve ATM fraud issues.

“This committee has had to contend with challenges, one of which is the resolution of ATM fraud-related complaints.

“This has been largely occasioned by the uncooperative attitude of the banks as they have refused to accept liability for fraud on the basis that customers must have compromised their customer Personal Identification Number, PIN,” he said.

“As a responsible government, this situation cannot be allowed to continue unchecked,” he added.

Oyemade stated that he was glad that the Central Bank of Nigeria, CBN, had set up the Card Fraud Arbitration Committee in an effort at building and sustaining consumers’ confidence in the use of ATM cards, which “is a move towards strengthening the nation’s banking sector.”

The commissioner added that the ministry was therefore making preparations to organise a forum of all stakeholders made up of all banks, regulatory bodies and relevant organisations to find a lasting solution to this problem.

He called on banks and relevant regulatory bodies to be alive to their responsibilities in protecting the rights of their customers, stressing that the ATM was a technological innovation which must not be allowed to turn to a curse through the activities of a few unscrupulous elements.

According to him, the state government was determined to protect the rights of consumers in Lagos State and that it was for this purpose that the CPC was inaugurated few years ago.

Oyemade called on all Lagosians whose rights as consumers had been infringed upon to take advantage of this opportunity to seek redress, adding that the services of the committee were available free of charge.

The commissioner also disclosed plans by the state government to build the proposed Lekki International Airport with N102.4 billion ($650 million), saying that the airport was designed to handle about five million passengers annually.

He said the government envisioned the establishment of the airport along the Lekki/Epe corridor to facilitate easy movement of persons and cargoes.

Oyemade stated that the government had also completed the master plan on the about 3,500 hectares of land earmarked for the project, adding that the airport had a modular terminal for future expansion.

“The state government, under the leadership of Governor Babatunde Fashola has also approved the conduct of the topographical and geotechnical surveys of the land area earmarked for the airport.

“Approval has also been given for the construction of access road, perimeter fence and clearance of the site earmarked for the runway.”

He said with the airport being proposed and other projects, the Lekki Free Trade Zone has become a reality, adding that a ready testimony to this development was the interest expressed by the Federal Government through the Nigeria National Petroleum Corporation, NNPC, to establish an industrial park complex.

The commissioner stated that the park would comprise a refinery, petrochemical, fertilizer and power plant within the zone, saying that presently, 1,500 hectares had been allocated by the state government for the project and that a Memorandum of Understanding had been signed with the NNPC for this purpose.

“Preparation for the commencement of work on the construction of the Lekki Greenfield Refinery which would refine between 200,000 to 300,000 barrels of crude oil per day is due to commence in earnest and upon completion, would help shore up the domestic refining capacity and close the prevailing demand-supply gap for petroleum products,” he said.

—Kazeem Ugbodaga