Enhancing Efforts to Combat Fraud: Addressing Challenges and Proposing Reforms

Abstract

Fraud has become increasingly prominent among organized criminals worldwide, largely due to countries' disproportionate focus on combating money laundering and terrorism financing. This singular focus has resulted in the neglect of effectively addressing other financial crimes, such as fraud, insider trading/dealing, market abuse, bribery and corruption, as well as tax avoidance and evasion, all of which have significant socio-economic impacts on economies. The primary aim of this paper is to demonstrate that fraud is not an insurmountable challenge but can be effectively addressed through the implementation of robust criminalization, regulatory frameworks, and reporting obligations and standards. This argument is supported through doctrinal research methods and comparative inquiry. Key findings of the paper include the observation that selected jurisdictions, including Nigeria, the UK, and the USA, have adopted a multitude of legislations and regulatory agencies, which, paradoxically, hinder effective combat against fraud within these jurisdictions. Additionally, proposals for reform are suggested, such as the implementation of reporting obligations in Nigeria and the enactment of a unified statute and establishment of a single regulatory regime by the selected jurisdictions to effectively combat fraud.