CHECKING INTERNET FRAUD IN

NIGERIA
(CASE STUDY LAGOS)

BY

RANI MICHAEL TAHOUF

ADMIN NO.: BHC/UFP/08/0338

A PROJECT TO
BRIDGE HOUSE COLLEGE IKOYI,
LAGOS, NIGERIA
IN PARTIAL FULFILMENT FOR THE
AWARD OF CERTIFICATE IN THE
UNIVERSITY FOUNDATION
PROGRAMME
 CERTIFICATION

This Project written by Rani Michael Tahouf under the guidance of

academic committee and approved by the College, has been
submitted and accepted by the Information and Technology
Department of Bridge House College in partial fulfilment of the
requirements for the University Foundation Programme.

Name of Supervisor: __________________________

Signature: __________________________

Date: __________________________

i
DEDICATION

This Project is dedicated to God Almighty who has been very

supportive of my educational pathway; and has seen me through
this project from beginning to the end.

ii
 ACKNOWLEDGEMENT

I want to appreciate Almighty God who saw me through this

project from beginning to end.
I would like to acknowledge my parents who have supported me
all of my life. I would like to acknowledge Mrs Abdulrazaq, The
Executive Director of Bridge House College, who has been very
supportive of my educational pathway in Bridge House College. I
would also like to acknowledge The Director of Studies of Bridge
House College, Mrs Osuno, whose wise words of advice helped
me greatly throughout the writing of this project. I would also like
to acknowledge my project supervisor, Mr Wilson Eghonghon, for
his patience, time and effort in seeing that I completed this project.

iii
 ABSTRACT
This Project is aimed at examining the impact of Internet Fraud in
Nigeria, especially Lagos.
Material, directly and indirectly related to the topics at hand
were reviewed in order to make this study theoretical. Also,
questionnaires were used for the purpose of data collection from a
target population of thirty people, comprising fifteen female and
fifteen male from different age groups and educational
background. I distributed the questionnaires in an internet cafe, and
the head office of a well known internet service provider called
Starcomms. The objectives of this study are to assess problems
within Nigerian cities that would make citizens turn to a life of
crime; to identify what law enforcing bodies, such as the EFCC,
have done to eradicate internet fraud; to discover if it‟s worth
living life as an internet fraudster, taking into consideration factors
such as income.
This entire project was split up into five sections all of which
were arranged in chapters, each chapter focusing on different
issues.
Chapter one gives an introduction about the topic and talks
about the scope of the study, objectives of study, and gives
definition of unfamiliar terms.
Chapter two is the literature review; it talks about the history
of Internet Fraud in Nigeria. It also brings forth analysis of
previous studies concerning the topic, from various literary works.
Chapter three reveals the methods used to carry out the
project; and distribution of questionnaires to a target group.
Chapter four presents the analysis of the data that was
collected with the questionnaires. Percentages, tables and charts
were used to present findings.
Chapter five gives a summary of the topic, a brief
conclusion and my own recommendations towards the
eradication of internet fraud in Nigeria.

iv
TABLE OF CONTENTS

Certification i
Dedication ii
Acknowledgement iii
Abstract iv
Table of Contents v-vi

CHAPTERS PAGES

Chapter One
1.1 Introduction 1
1.2 Problem Analysis 2
1.3 Objective of Study 2
1.4 Research Questions 3
1.5 Hypothesis 3
1.6 Scope of Study 3
1.7 Unfamiliar Terms 3
Chapter Two
2.1 History of Internet Fraud in Nigeria 5
2.2 Whose Fault? 5
2.3 Internet Fraud in Lagos 6
2.4 Far Reaching Impact 8
2.5 How to Solve the Problem 9
2.6.1 The Internet Scammer‟s Identity 11
2.6.2 How is Internet Fraud Carried Out? 11

v
Chapter Three
3.1 Characteristics of Study Population 18
3.2 Data Collection Instrument 18
3.3 Procedures for Processing and Analyzing Collection of
Data 18
3.4 Limitations of Methodology 18

Chapter Four
4.1 Analysis and Presentation of Data 19
4.2 Summary 27
Chapter Five
5.1 Summary 28
5.2 Conclusion 28
5.3 Recommendations 28

Appendix 30
References 35

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Chapter 1
1.1 Introduction
Internet fraud can be described as an illegal act in which an
individual or organisation is scammed out of money, with the use
of the internet. In other words, it can be defined as advance-fee
fraud carried out over the internet. It has been an issue of rising
concern in Nigeria
In Nigeria, it has been given the nickname “419”. 419 refers
to the Nigerian Criminal Code (Chapter 38: “Obtaining Property
by false pretences; Cheating”). Other slang that has come about
from internet fraud is “mugu/maga” meaning fool, this is what a
victim of internet fraud is called; “yahoo boy” is another way of
calling someone a scammer; “yahoo yahoo” is the act of scamming
someone.
The increase in fraudulent activities, over the years, in
Nigeria has increased at a jaw dropping rate. Most of these
fraudulent activities take place over the internet. In fact Nigeria is
so highly reputed with internet fraud that it has been ranked as the
third worst country in the world in which internet fraud takes
place. This is a huge problem nowadays as it has definitely scared
the image of a once great nation. Many foreigners are lead to
believe that internet scams come from Nigeria and are made solely
by Nigerians. This of course is a very wrong stereotype. There
have been so many attempts made by officials in various
organisations, such as the Economic and Financial Crimes
Commission, with raids of internet cafés and apprehension of some
notorious internet fraud top dogs. But it hasn‟t made any
significant difference as internet fraud in Nigeria is now at an all
time high over the past few years.
Most internet fraud activities in Nigeria are carried out within
Lagos State as it is one of the most technologically and
infrastructural advanced states. With several internet cafés; internet
service providers and banks placing their national headquarters in
Lagos and a seaport nearby it makes Lagos a perfect location to
carry out such a crime.
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1.2 Problem analysis
In Nigeria there is no firm way of dealing with internet
fraudsters as it is very difficult to trace an internet fraudster down.
The way in which they receive payment from victims is well
thought. The norm is requesting payment via bank account but this
way has flaws as it would be easy for the bank to turn the bank
account holder to the police if a victim should find a way to report.
These days‟ scammers ask for a form of payment which can‟t be
reversed or cancelled e.g. Western Union. Also, requesting money
to be sent by post is another way in which scammers can receive
the payment. Also, it‟s against customers rights for an internet
service provider to go through the web pages a customer visits.
This is exactly why fraudsters can get away with this crime so
easily. So long as they don‟t try to defraud someone of a bulk sum
of money (millions of dollars) then the chances of getting caught
would remain low. Also the EFCC (Economic and Financial
Crimes Commission) has proved to be ineffective over the past few
years. When poverty is a major issue in Nigeria it‟s no wonder
people turn to crime so they can provide for themselves. These
days just about anyone could be an internet fraudster; young
teenagers, fresh university graduates, women, elderly men in
society etc. Nigeria‟s economic failure occurred with a
combination of overpopulation rising out of control and Nigeria‟s
dependency on crude oil as a main source of income.

1.3 Objective of the Study

 To assess the problems within Nigerian cities such as Lagos
that would make people turn to a life of crime.
 To identify what law enforcing bodies have done about the
problem of internet fraud.
 To discover whether or not it is worthwhile becoming an
internet fraudster.

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1.4 Research Questions
 How is internet fraud carried out?
 Why should internet fraud bother Nigerians so much?
 Is the government to blame?
 What can be done to help?

1.5 Hypothesis
H0: Internet has aided corruption in Nigeria.
H1: Increased usage of internet has discouraged corruption in
Nigeria.

1.6 Scope of Study

I intend to research into the problems created by Internet Fraud in
Nigeria and how it affects everyone in society. As well as finding
out what practical solutions there are to solving it.

1.7 Unfamiliar Terms

Computer - Machine with which

Internet - a world wide interconnection of computers which makes

available resources.

419 - a slang for “fraud”, used in Nigeria. It refers to the criminal

code chapter 32 (obtaining property by false pretences)

Yahoo yahoo - A slang popularly used in Nigeria to describe the

act of carrying out internet fraud.

Mugu - A slang that is used in Nigeria meaning; a victim of

internet fraud.

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Internet café - A place where people go to surf the internet at an
affordable rate.

EFCC - Economic and Financial Crimes Commision, a Nigerian

agency to combat advanced fee fraud, and related crimes.

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Chapter 2
Literature Review

2.1 History of internet fraud in Nigeria

In the 1980‟s Nigeria was well known for its oil wealth as oil
was just discovered in mass quantity. It was and still is amongst
the top oil producing nations in the world.
Overpopulation is when there are too many people within a
certain area for the given amount of resources. There was a rapid
population growth in Nigeria during the 1980‟s. Many Nigerian‟s
had not yet abandoned the traditional ways of thinking that the
more children to a family the better. Many Nigerians also thought
that because Nigeria was a crude oil producing country, the
country‟s wealth would allow them to live comfortable lives; this
is another reason why there was rapid population growth.
Eventually crude oil production started to fall. A combination of
the two is what allowed the Nigerian economy to deteriorate as
overpopulation started to take place.
The incidence of this meant that people started to loose
money and decided to create scams intended at scamming foreign
business men interested in shady deals within Nigeria‟s oil-sector.
Around this time fraud was mostly used by unemployed university
graduates. Later on, fraudulent faxes were being sent from Nigeria
to business men in the Western world. Around the 1990s the world
developed technologically and with this development came about
the internet. Because of the internet and availability of e-mail some
people saw opportunities to create scams and pass them around
through e-mails. Around this time the Nigerian economy had
deteriorated badly so a lot of people began carrying out what is
called internet fraud.

2.2 Whose fault?

Most people would say that it‟s the fault the government that
Nigeria is now in its current state and internet fraud exists as one
of the worst crimes committed. This is no surprise because the
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Nigerian government consists of several corrupt officials and until
corruption is kicked out, I believe there will be no sudden change
of situation.
The thing that drives people to turn to crime like this is the
harsh living condition of the country; lack of employment (even
for university graduates), uneven spread of wealth, hunger and
thirst, lack of electricity, poor quality shelter etc. The role of the
government is to stabilise the economy, create wealth, provide for
the poor and needy, create jobs etc. If the government was
effective and efficient at fulfilling its duties then internet fraud
wouldn‟t be a huge problem in Nigeria. Simply put, if Nigerians
are made to live in such harsh conditions, crime is one of the only
ways out. In the metropolis of Lagos which is ironically dubbed
“Centre of Excellence” by the government there is so much toil
and hardship. So as long as the economy is weak there‟s practically
no solution to this problem. If the majority of the population was
comfortable then may be internet fraud wouldn‟t be such a
problem.

2.3 Internet fraud in Lagos

It‟s a well known fact that Lagos is the centre of internet
fraud in Nigeria; most fraudulent activities carried out in Nigeria
via use of the internet have come from Lagos. Also, Lagos is home
to one of the best universities in Nigeria, UNILAG (University of
Lagos). UNILAG produces so many graduates yearly in many
different fields, it‟s slowly making a difference by providing the
gift of education to young Nigerians today; it‟s fuelling a nation by
providing a workforce. In Nigeria exists a system; upon
graduation, one must go through what is called NYSC then after
completion of this they can receive employment in their desired
field. It should be a beneficial system but one of the main reasons
why university graduates find it so hard to get employment is
because of existence of NYSC (National Youth Corps Service).
The NYSC was established so that young people who pass through
university at home and abroad may serve Nigeria before entering
6
the job market. If a youth should apply for a job without taking
NYSC then it means that by law employers aren‟t allowed to pay
such employees more than N25, 000 a month. In the words of
Bishop David Oyedepo (Overseer of Winners Church, and
Founder of Covenant University Ota, Ogun State) “NYSC is
creating human time-bombs and it should be scrapped. If a young
man or woman can graduate from university with a first class
degree and be unemployed then there‟s a serious problem.”
Because of unemployment, the youth of nowadays will turn
to internet fraud as a means of survival. To add to the problem, a
lot of youth think of ways in which to carry out scams or how
they‟re going to occupy major positions in government and steal
money. If youth in Nigeria have such an attitude towards their
futures then internet fraud is only going to get worse.
In Nigeria there just aren‟t that many employment
opportunities for those with limited or no education and those jobs
that already exist pay very little to employees. In the Untied
Kingdom for example it‟s easy for a student from even secondary
school to get a part time job with good pay. In Nigeria this is the
opposite; there aren‟t many places interested in employing part
time employees and most employers give small pay for plenty
work.
With the computerisation of public schools in Lagos State it
makes it very easy for secondary school students to take up
internet fraud and use it as a means of providing for themselves
and their families. There was a fictitious story written in
„FORTUNE Magazine‟, basically it talked about the spread of
internet fraud and it covers how it is even practised by teenagers. It
tells the story from the shoes of a 14 year-old boy that is called
Akin. It states that Akins‟s parents work for so little every month;
his mother is a cleaner and his father a bus conductor. Akin is
basically the bread winner for his immediate family and other
relatives. His „office‟ is an internet café situated within Ikeja,
Lagos. His boss is a man who others call „chairman‟, he buys
computer time and hires a team of teenagers much like Akin. They
7
extract e-mail addresses and credit card information and use this
data to carry out internet scams. Akin‟s boss is computer illiterate,
he gets 60% of the income Akin makes, reserves 20% to pay off
law enforcement officials and teachers who complain when the
boys skip school so they can „work‟, the remaining 20% is still
more than enough for him. He can buy things off the internet such
as phones, laptops, jewellery, watches, and shoes. There‟s a sign at
the door of the café that displays a warning against illegal practices
and offenders will be prosecuted. Ironically nothing is done about
these offenders and the crime shall continue.

2.4 Far Reaching Impact

Today Nigeria is a country most people like to avoid business
dealings with. So long as you are doing business with someone
from the West and you tell them you‟re Nigeria they might think
twice about the business deal in mind. On websites on the internet
people display the warning stating that they don‟t accept
transactions from Nigeria. This is how internet fraud has decimated
the face of a nation which was once made to be glorious with an
outstanding reputation. When you ask people from the Western
World where they think online scams originated most of them
would say Nigeria.
Because of the mistakes others have made others must suffer
the consequences. Around some time in 2007, popular American
television talk show host Oprah Winphery, had a show in which
the issue of online fraud was discussed. From that day it was clear
how the rest of the world sees Nigeria. The country was unfairly
disgraced in this one hour. It was a day that the nation couldn‟t
forget. Victims of 419 came on the show and talked about their
experiences.
Now we‟re amongst the most corrupt countries in the world
and our full potential won‟t be attained any time soon. This is the
cost of the ongoing time. As you have been reading this several
scam letters were fired from Nigeria. Some may be replied to along
with the cash sum requested. This will make the pockets of
8
someone shrink and someone else‟s pockets will fatten. It‟s a never
ending cycle; firm action should be taken soon because the nation
is suffering as a result.
Because of fraud, it makes it hard for the average Nigerian to
receive a visa in order to visit or study in countries such as the
U.K. or America.

2.5 How to solve the problem

In Nigeria, the EFCC (Economic and Financial Crimes
Commission) has an anti-fraud unit that is meant to deal with and
eradicate internet fraud within Nigeria. It was established by the
former government of Obasanjo in year 2003. According to an
article by Kabiru Danladi in Daily Trust he said “It became very
popular since its inception due to its dynamic and courageous
leader, Mallam Nuhu Ribadu. The mere mention of EFCC and
Ribadu sent shudders through the spines of dubious public office
holders, politicians, big time crooks and aspiring criminals.” He
also went further as to explaining how under Ribadu‟s leadership
the EFCC has become a wrecking ball towards all corruption
within Nigeria including internet fraud. In an article by Dele
Sobowale in Vanguard he talked about the EFCC having only one
big case “Perhaps the only big case that the EFCC broke on its
own concerned the former inspector general of police, IGP, Tafa
Balogun, GCON.” Basically the I.G. of police was found guilty of
corrupt charges and he only received a minimal jail sentence of
one year after which he walked free despite the fact he stole a hefty
sum of over 100 million naira.
The EFCC claim that they‟re making progress but the
populous begs to differ. Raids of internet cafés, and suspected
fraudsters residencies have been made in the past. But statistics say
that internet fraud is at an all time high. In Lagos one can go to so
many internet cafés (such as Cool Café, Ettim-Inyang Crescent,
Victoria Island) and find internet fraudsters in action. I believe that
the EFCC must take serious action in order to stop existing internet
9
fraudsters. The EFCC must make public examples of many internet
fraudsters so they can make any one thinking of carrying out this
crime have second thoughts.
From an economic view it all boils down to people not
having enough money. It‟s no secret, in order to make money one
needs a form of occupation. It is not so easy for anyone to set up a
successful business in Lagos. This is because when there are so
many problems such as lack of electricity, lack of security, and
instability within the business environment the cost of running a
business is so high. Getting a good, well paying job is very hard
these days because there‟s a lack of vacant jobs and those that are
vacant will usually become occupied by those who have been
educated overseas.
This problem lies beyond the individual alone; it is one that
must be solved by the government. As it ultimately has all the
funds in which it should invest wisely so that no one needs to turn
to a life of crime as a means of survival. The government can
create jobs and implement policies which could be used as devices
to stop this growing trend of internet fraud. The reason Nigeria as a
whole is not doing well is because we don‟t have good systems.
Look at the Japan; a nation with only 30 percent flat land and next
to no natural resources and it‟s an economic giant today. Nigeria
on the other hand is blessed with natural resources such as crude
oil, gold, acres of agriculture, and intelligence within our human
workforce. Some of the scams created are so well thought of. If we
have people with so much mental capacity, why not create
something positive for them to use their potential on?
As a geography student I have learned that the reason why a
country won‟t do well is because of the lack of planning. China
was getting overcrowded and because the government made some
simple wise decisions, China is doing well today. Nigeria‟s case is
very similar to China‟s; it is not too late to change the country.

10
2.6.1 The Internet Scammer‟s Identity
Just think to yourself about what an internet scam artist from
Nigeria would look like. The stereotypical image most have in our
mind is a young man, may be about 23 to 25, but it goes much
further than that. Women, university graduates, teenagers and big
men take part in this heinous crime. Illustrious people in society
have been nabbed for internet fraud.
In the month of November 2005, internet fraudster
Emmanuel Nwude was sentenced to 25 years in prison after a long
court case that had lasted for years. Mr. Nwude defrauded a
Brazilian bank of $242 million through an internet scam which
made use of fake bank drafts. This court case marked history in
Nigeria as it was the first high-profile court case in which the
EFCC (Economic Fraud and Financial Crimes Commission) was
involved.
Internet fraud pays well, why else would so many people
rush to it? A group of fraudsters can make up to $500,000 within
one to two months provided they catch some „big fish‟ and create
very good scams.

2.6.2 How Is Internet Fraud carried out?

A typical internet fraudster needs a few things to undertake

business:
1. Internet Connection
2. E-mail addresses
3. E-mail extractor
4. E-mail account

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Internet Connection

This should be relatively fast, as time means money. The best and
most affordable way to carry out this act is in internet cafés. Many
areas of Lagos contain shady internet cafés that cater for
scammers. Areas such as Festac are known for this. These internet
cafés have a way of doing it; they shut their doors at night time but
still leave doors open to scammers so that the scammers can work
without fear of discovery. One would imagine that the owners of
such internet cafés receive their own cut. Other scammers who
have made quite the living would graduate to purchasing their own
internet connection so they can work from home. This makes it
harder for them to be traced by officials of the law because they
can‟t get caught in action.

E-mail addresses

These are usually obtained through chain letters cleverly designed,

from internet forums where contributors leave e-mail addresses,
business cards of big businesses etc. The most popular way of
collecting e-mail addresses is from chain letters people send
through e-mail accounts. (Below) is a sample of such a chain letter:

E-mail extractor

This is a piece of software, created with the purpose of extracting

e-mail addresses from a webpage. Once the e-mails are extracted
they‟ll be sent out by the scammer.

E-mail account

The e-mail account is what the scammer will use to forward a

spam letter to the many e-mail addresses collected, sometimes up

12
to a thousand. When this is done, there‟s bound to be at least one
person who will fall for the scam. (Below) a sample of a scam e-
mail:

There are different genres of scam e-mails that can be sent. I‟m
only going to expatiate on a few.

Lottery Scam

The lottery scam works by sending fake notices to a recipient

stating that they one a lottery. The winner is usually asked to send
sensitive information to a free email account (i.e. yahoo, hotmail,
g-mail). The scammer will notify the victim that before the cash
prize is released a small fee such as insurance, registration, or
shipping is required. Once the fee has been sent, the scammer will
invent another fee. The reason why this scam works so well is
because the victim instills trust in the scam artist. Also, the victim
sees the big cash prize and blinds themselves to the small fees that
they‟re paying.

Hit Man Scam

An e-mail is sent to a victim stating that a hit man has been hired
by a close friend of the recipient to kill him/her but will call off the
hit in exchange for a large sum of money. The message will go
further with a warning not to contact the local authorities, or the hit
man will be forced to go through with the plan.

Charity Scam

A scammer will pose as a charitable organization, and request

donations so as to help less fortunate. Sometimes they link to
online news articles to strengthen their story and gain more funds.
The aim is to persuade people that they are helping a worthy cause.

13
Once the money is sent the scammer often disappears, some may
become persistent and will ask for a series of payments.

Other Scams

Apart from the scams which I mentioned above you have

scammers impersonating real people and organizations (i.e. a scam
in which wife of late General Sani Abacha says she is under house
arrest and has a huge sum of money in which she can‟t withdraw
without your help.). We also have scams with fictional characters
(i.e. an astronaut who was trapped on the moon, or a person that
ran into a deceased person without a will or any family members or
friends).

Sometimes internet fraud will go further than e-mails; the scammer

in question can approach the victim through an on-line dating
service or instant messenger and attempt to create a romantic
relationship with the victim. The scammer will then use false
display pictures of other attractive people along with a false
personality, usually a wealthy business man in a foreign country.
Later on the scammer may go further on to saying that they‟d like
to meet the person and will request some money, may be for plane
tickets or whatever excuse they can come up with. When the day
of the meeting comes the victim is waiting for someone to arrive
and the scammer disappears from the victim‟s life and looses
contact.

Here is a sample of an internet fraud e-mail that has probably been

sent to so many different e-mail accounts across the world:

14
CENTRAL BANK OF NIGERIA
OFFICE OF THE PRESIDENCY,
THE HONORABLE, GOVERNOR OF CBN.
TINUBU SQUARE, LAGOS- NIGERIA.
Date 15th october,2007.
Official Web Account: soludo11@i12.com
Our Ref: CBN/OHG/OXD1/2007
Your Ref:.................................
TELEX: CENBANK.
PAYMENT FILE: CBN/BEN/07.

Attn: Sir/Madam,

PAYMENT NOTIFICATION OF YOUR FUNDS.

Definitely, I know that this letter will be a surprising one to

You. Firstly, I will like to introduce myself formally as Prof.
Charles Soludo, the Executive Governor of the Central Bank of
Nigeria (CBN). You are been officially contacted by me today
because your
Inheritance Funds were Re-deposited into the "Federal Suspense
Account" of CBN last week, because you did not forward your
Claim
As the Right beneficiary. Well known to all, The Central Bank of
Nigeria is the mother Bank of all commercial Banks here in
Nigeria.

Really these men were unexpected by me because their visit

was impromptu.i had to ask them why they came to see me in
person
And they said that they were here to collect the Inheritance Bill
Sum of (US$20,000,000) which rightfully belongs to you, on your

15
Behalf.

At this development I asked them who authorized them to come

down
To Nigeria for the Collection of this Payment and they told me
That you asked them to come and collect this Funds on your
Behalf.
infact this was the biggest shock that this Bank have ever
Received so far because your Inheritance Funds is still in the
"Federal Suspense Account" of CBN, yet you sent these men to
come
and collect this Funds on your behalf without notifying us.

We in this Bank do not understand why you sent these men to come
and Collect your Funds on your behalf. If actually you want them
to help you Collect your Inheritance Bill Sum, at least you should
have informed me as the Executive Governor of this Bank.

They actually tendered some Vital Documents which Proved that

you
actually sent them for the Collection of this Funds. Honestly, it
really baffles me that you took such decision without my consent.
Here are the Document which they tendered to this Bank today:

1. LETTER OF ADMINISTRATION.
2. HIGH COURT INJUCTION.
3. ORDER TO RELEASE.

Actually, these Documents which they tendered to this Noble Bank

is a clear Proof that you sent them to Collect this Funds for you.
Finally, told them to come back tomorrow morning and they
promised
To come back. As the Governor of this Noble Bank, I was supposed
to
Release this Fund to them but I refused to do so because I wanted
16
to hear from you first.

Due to the Nature of my job, i will not want to make any mistake
in Releasing this Funds to anyone except you whom is the
Recognized Bonafide Beneficiary to this Funds.

Kindly clarify us on this issue before we make this Payment to

these foreigners whom came on your behalf. In receipt of this
Confidential Letter, you are required to call this Bank immediately
You receive this Confidential Letter.

OFFICIALLY SIGNED.

PROF. CHARLES SOLUDO.

GOVERNOR, CENTRAL BANK OF NIGERIA.
C-B-N

This is obviously a fraudulent document because the

governor of the Central Bank of Nigeria would never address
anybody concerning such a manner. The scammer makes the
victim to believe that he/she has US$20,000,000 which is
supposedly unaccounted for. If the victim should go on and make
contact with the fraudster then the fraudster will find a way to get
money from the victim by making lame excuses as to why the
money is taking long to get to the victim.

17
Chapter Three

Methodology

3.1 Characteristics of Study Population

In this project my target population is 30 people; it consists of 15
men and 15 women from different age group, educational
development and social class. I conducted the distribution of the
questionnaires in an office of a well known internet service
provider, called Starcomms. Some questionnaires were filled in by
some friends and family members and the remaining were
distributed within an internet cafe in Lagos.

3.2 Data Collection Instrument

Questionnaires will be used to source data from the population.
The study was carried out with the use of historical analysis,
literature review and questionnaires as well as interviewing various
people.

3.3 Procedures for Processing and Analyzing Collection of

Data
I made use of tables, charts and percentages in order to interpret
and analyse collected data.

3.4 Limitations of Methodology

Basic limitations that occurred in the production of this project
include time constraint, and limited finance to staff and students of
Bridge House College.

18
Chapter Four

4.1 Analysis and Presentation of Data

Questionnaires were made and distributed to 30 people, 15
male and 15 female; all of whom are all residents of
Lagos. The people were of different age, academic
qualification and social class. The purpose of this chapter
is to analyze the data collected from samples and answers
to the research questions stated in chapter 1.4.

Sex Number
Male 15
Female 15
Total 30

19
What is your educational stage? Number
Secondary School 13
Undergraduate 3
Postgraduate 14
TOTAL 30

Age Number
15-24 years 16
25-34 years 4
35-44 years 3
45-54 years 5
55 and above 2
Total 30

20
Are You a Resident of Lagos Number
State?
Yes 30
No 0
Total 30

21
Where do you make use of the Number
internet?
At Home/Office 18
At Internet Cafés 0
Both 8
I Don‟t use Internet 4
Total 30

22
Whose policies is it that Number
enhances internet fraud in
Nigeria?
Nigerian Government 26
Western World 4
Nigerian Citizens 0
Total 30

23
Have you received a fraudulent Number
letter in your e-mail before?
Yes 23
No 3
I Don‟t Use E-mail 4
Total 30

24
What needs to be done Number
to stop internet fraud?

Educate youth 10
Kick out corrupt 13
officials
Create better living 5
conditions
Arrest all internet 2
fraudsters
Total 30

25
Question Positive Negative Undecided Percentage
(Yes)

Are you aware of 30 0 0 100

computers?

Do you own a computer? 19 11 0 63.33

Are you aware of the 30 0 0 100

internet?
Are you aware of internet 30 0 0 100
fraud?
Do you think internet fraud 26 4 0 86.67
should be an issue of major
concern in Nigeria?

Do you think internet fraud 5 22 3 16.67

can be eradicated from
Nigeria?
Do you make use of e- 25 5 0 76.67
mail?
Do you think the EFCC is 24 1 5 80
a corrupt body?
Do you think the EFCC 2 25 3 6.67
can eradicate internet fraud
in Nigeria?
Do you think that EFCC 7 18 5 23.33
has made a significant
difference in eradication of
internet fraud?
Do you think Nigerians 15 8 7 50
can stop the spread of
internet fraud?
Do you sympathize with 6 21 3 20
victims of internet fraud?
Do you sympathize with 3 27 0 10
those who carry out
internet fraud?
Would you try internet 1 23 6 3.33
fraud?
Have you seen anyone 7 23 0 23.33
carry out internet fraud?
Do you beleive that 0 30 0 0
Internet fraud originated in
Nigeria?

26
4.2 Summary
The data collected tells us that most people are aware of internet
and the presence of internet fraud in Nigeria. It also shows that
Nigerians are concerned about the spread of internet fraud in
Nigeria. Also, most respondents believe that internet fraud can not
be eradicated from Nigeria and that the main law officiating body
(EFCC) is not properly doing its duty. Lastly, the majority of
respondents believe that the Nigerian government is at fault for the
existence of internet fraud in Nigeria.
Also, in question 15, most respondents said that when they
received their first internet fraud letter by e-mail they had a
reaction whereas they fell for the scam. This goes to show that
internet fraudsters are cunning intelligent people who have not
been given sufficient opportunities to show themselves. Another
interesting fact I found is that 23 out of 25 that use e-mail have
received a fraudulent letter in their e-mail inboxes. This just goes
to show that internet fraud is still on the rise and should be stopped
before it goes out of hand.
These statistics show that internet fraud in Nigeria is a huge
problem and the blame lies with the government, but at the same
time it is the government‟s responsibility.

27
 Chapter Five

5.1 Summary
Since the 1980‟s the Nigerian economy started to weaken and
fall, this left many Nigerians in a state of poverty and so
levels of crime and corruption, especially within government
increased. Many young university graduates were left
without jobs and started sending fraudulent letters to wealthy
business men abroad; with the increased availability of
internet in the 1990‟s, fraudulent letters were then forwarded
through use of e-mail and today internet fraud has been
committed so much by Nigerians that it has become a major
issue.

5.2 Conclusion
In conclusion, no major difference has been made to the
harsh conditions and internet fraud is at its peak. The
government is the main body to blame because it did not plan
ahead for any of today‟s problems which exist in Nigeria. To
eradicate internet fraud from the Nigerian society practical
solutions should me made starting with the government;
corruption should be made to be a thing of the past, all
corrupt leaders should be kicked out and then jobs should be
created amongst many wealth creating opportunities.

5.3 Recommendations
The following recommendations are suggested from the
findings and results of this study:

1. Corrupt officials should not have any place in government.

2. Existing leaders should create a more equal distribution of
wealth.
3. Practical solutions should be put to use so as to create jobs so
that Nigerians don‟t have to look to a life of crime as a means
of making a living.
28
4. The EFCC should kick out any corrupt law officiators and
should be more serious with their fight against internet fraud
by aprehending more criminals.
5. Internet fraudsters should put their brains to better use.
6. Youth should be educated against law breaking practices.

29
 APPENDIX

Bridge House College,

Ikoyi, Lagos

Dear Respondent,
I am a student of Bridge House College currently
undertaking a University Foundation Programme. I am conducting
research on the topic “Checking Internet Fraud in Nigeria: Case
Study Lagos”.
I would be very greatful if you could kindly fill in the
questionnaire attached to this sheet to enable me to complete my
programme. All data collected will only be used for research
purposes only.

Thank You,
The Researcher.

30
1. Sex
M F
□ □
2. Age
□ 15-24 years
□ 25-34 years
□ 35-44 years
□ 45-54 years
□ 54 and above
3. What is your educational stage?
□ Secondary School
□ Undergraduate
□ Postgraduate
4. Are you a resident of Lagos State?
Yes No
□ □
5. Are you aware of computers?
Y N Undecided
□ □ □
6. Do you own a computer?
Y N Undecided
□ □ □

31
7. Are you aware of the internet?
Y N Undecided
□ □ □
8. Where do you make use of the internet?
□ At home
□ At internet cafés
□ Both
□ I don‟t use the internet

9. Are you aware of internet fraud?

Y N Undecided
□ □ □
10. Do you think internet fraud should be an issue of major
concern in Nigeria?
Y N Undecided
□ □ □
11. Do you think internet fraud can be eradicated from
Nigeria?
Y N Undecided
□ □ □
12. Whose policies is it that enhances internet fraud in
Nigeria?
□ Government
□ Western World
□ Nigerian Citizens

32
13. Do you make use of e-mail?
Y N Undecided
□ □ □
14. Have you received a fraudulent letter in your e-mail
before?
Y N I don‟t use e-mail
□ □ □
15. What was your initial reaction?
………………………………………………………………
………………………………………………………………
………………………………………………………………

16. Do you think the EFCC is a corrupt body?

Y N Undecided
□ □ □
17. Do you think the EFCC can eradicate internet fraud in
Nigeria?
Y N Undecided
□ □ □
18. Do you think that EFCC has made a significant
difference in eradication of internet fraud?
Y N Undecided
□ □ □

19. Do you think Nigerians can stop the spread of internet

fraud?
Y N Undecided
□ □ □

33
20. What needs to be done to stop internet fraud?
□ Educate youth
□ Kick out corrupt officials
□ Create better living conditions
□ Arrest all internet fraudsters
21. Do you sympathize with victims of internet fraud?
Y N Undecided
□ □ □
22. Do you sympathize with those who carry out internet
fraud?
Y N Undecided
□ □ □
23. Would you try internet fraud?
Y N Undecided
□ □ □
24. Have you seen anyone carry out internet fraud?
Y N Undecided
□ □ □
25. Do you believe that Internet fraud originated in
Nigeria?
Y N Undecided
□ □ □

34
1. Wikipedia “Advance Fee Fraud”

(http://en.wikipedia.org/wiki/advance-fee_fraud)

2. Wikipedia “Internet Fraud”

(http://en.wikipedia.org/wiki/internet_fraud)

3. Thisday (www.thisdayonline.com)
Online Edition

4. Vanguard (www.vanguardngr.com)
Online Edition

5. Akanbi and Nkanga, (March 2 2008),

“Battle against internet fraudsters shifts to N’Assembly”
Thisday Newspaper

6. Leonard Lawal (29 May 2006),

“Online Scams Create Yahoo! Millionaires”
Fortune Magazine

7. Danladi. K, (27 December 2008)

“EFCC on revenge mission?”
Daily Trust Newspaper

8. Obe Idiapo, (17 December 2008)

“Do not be left out of global network security development process”
Vanguard Newspaper

9. Akingbade Tunde, (21 October 2007)

“Exposing ethics of 419ners in Nigeria”
Vanguard Newspaper

10. Sobowale Dele, (08 February 2009)

“Nigeria: Between rapists, 'rescuers' and apologists”
Vanguard Newspaper

11. Ezeobi and Amaefule, (15 January 2009)

“Nigeria’s oil wealth has not lifted the poor-Kofi Annan”
35
 PUNCH Newspaper

12. Oketola Dayo, (24 February 2009)

“Internet: Changing the perception of youths globally”
PUNCH Newspaper

13. Anuforo Emeka, (19 March 2009)

“EFCC returns fraud proceed to Indian Victim”
Guardian Newspaper

14. Femi Babafemi, (16 March 2009)

“UNILAG Student Convicted Over Love Scam”
EFCC Press Release

15. Femi Babafemi, (27 October 2008)

“Cybercrime: EFCC Arraigns 58 in Kaduna, Suspects remanded in Prison Custody”
EFCC Press Release

16. Olayele Bisi, (31 March 2009)

“Re-Branding: Can FG re-brand Nigeria Without IT?”
Daily Sun Newspaper

17. Emejo James, (15 April 2009)

“Online Banking under Severe Threat”
Thisday Newspaper

18. Akosile Abimbola, (04 April 2009)

“Internet Fraud Rises 11% in 2008 over 2007-study, US Biggest Perpetrator, Nigeria
3rd”
Thisday Newspaper

36