2007

The study examined the electronic banking system and fraud prevention in Nigeria deposit money banks. It adopts quantitative research methods with the aid of descriptive statistics, a demographic analysis of respondents, test for heteroskedasticity, test for misspecification, regression analysis; using the t-test, Ramsey reset test (R-Square), Durbin Watson test and the Cronbach alpha test with the use of questionnaire as a primary source of data. The theoretical framework was informed by theRoutine Activity Theory (RAT) and Fraud Management Lifecycle Theory (FMLT), two theories that emphasized the place of behaviour on fraud and the mitigating approach to fraud. Findings of the study showed that the factors contributing to the increase of fraud in Nigeria
electronic banking system is both technological and non-technological factors and put some fraud preventive measures as customer whistle-blowing, surveillance mechanisms, and technological mechanism. The paper made the following recommendation: that workshops and seminars should not only be for bank staff, but also for bank stakeholders particularly customers and that customers should be kept abreast on tricks of fraudsters and how not to fall victim; individual banks should carryout training and retraining for staff on local and international content on e-banking channels since online fraud is borderless and remotely; banks should put in place sophisticated surveillance mechanisms for prevention of fraud; that Nigeria MDBs should take advantage of advancement in technological mechanisms like biometrics verification and authentication