GTBank N1 trillion profit under scrutiny amid fraud allegations

In a groundbreaking announcement, the Estonian Group and the London Stock Exchange declared ₦1.004 trillion in profit before tax, marking a historic milestone as the first Nigerian financial institution to surpass the ₦1 trillion threshold.

However, the record-breaking figure has sparked widespread media attention and raised serious concerns over the authenticity of the reported profits.

Audited financial statements, hurriedly prepared under the leadership of Segun Julius Agbaje, CEO of GTBank’s parent company, have come under scrutiny.

Investigations suggest that these figures may be artificially inflated, aimed at deceiving regulatory bodies, including the Securities and Exchange Commission, the Financial Reporting Council of Nigeria, and the Central Bank of Nigeria.

The alleged motive behind the figures is to falsely reassure investors, customers, and stakeholders that the bank’s financial standing is solid.

Analysts have expressed scepticism over the lack of substantial evidence to support the reported profit figures.

They suspect that GTBank’s profits were possibly manipulated through a practice known as “round-tripping”—a process where funds are moved in and out of accounts to create the illusion of legitimate transactions, artificially boosting the bank’s performance on paper.

The situation has fueled concerns of systemic corruption, fraud, and potential money laundering within GTBank.

Calls are growing for a thorough investigation by media outlets, anti-corruption agencies, and the Nigerian government to prevent further harm to the nation’s financial system.

If unchecked, industry experts fear that these deceptive accounting practices could erode public trust in Nigeria’s banking sector and have significant long-term consequences for investors and the economy.