Ajayi, Michael Adebayo2021-03-022021-03-022011http://hdl.handle.net/123456789/4385Fraud and Forgery have been identified as major causes of bank distress and eventual failure in the Nigerian banking sector. Using the data from Nigerian Deposit Insurance Corporation (NOIC), the estimated multiple regression result shows that there exist a causal relationship among the total amounts, number of cases, number of fraudulent staff, and fraud and forgery activities in Nigerian banking sector. Hence, sound corporate governance characterized by effective operational practices comparable to international standards should be adopted by supervisory agencies of the financial system in Nigeria to prevent adverse effect of fraud on the economy.enFraudNigerian BankingIndustryNDICArticle