A Bank of Ghana (BoG) report has indicated that about 99 per cent of fraud cases reported in relation to the suppression of cash and deposits were perpetrated by staff – either by those on contract or permanent workers of the affected financial institutions.

“It is important to stress that about 99 per cent of the fraud cases reported as suppression of cash and deposits were perpetrated by staff (either contract or permanent) of the financial institutions”, the report said.

The report, which was put together by the BoG’s Financial Stability Department, disclosed a 78-per cent increase in employee fraud in 2018 compared to 697 cases reported in 2017.

It also indicated that 1,239 cases out of the more than 2,170 cases that were reported, were committed by staff of the banks through suppression of cash or deposits from customers.

The report also called for significant reforms in the recruitment, remuneration, and disengagement of persons employed as banks’ staff.

“The alarming involvement of staff in the perpetration of fraud in the banking sector calls for significant reforms in the recruitment, remuneration, and disengagement of persons that are engaged by financial institutions.”

The report also noted that financial institutions lost GHS 44.4 million to all forms of fraud and GHS 19.1 million was lost in the year under review due to the involvement of banks’ staff of the affected financial institutions, with employee-related fraud accounting for 42 per cent of total losses in the year 2018”.