ABSTRACT

The over-riding aim of this research work is to examine money laundering and national development: issues and prospects, a case study of EFCC, ICPC and Fraud Unit of Nigeria Police. The problem of money laundering in Nigeria has persisted even with the establishment of statutory institution to check and control its menace. Unfortunately, these institution has not served better. Nigeria had expected that the institutions will do achieve government objectives with the failure of those institutions. To effectively carry out this research, the research design used was survey method. Data was collected in form of questionnaire from respondents who are staff of EFCC, ICPC and Fraud Unit of Nigeria Police. (120) one hundred and twenty questionnaire were administered, (107) one hundred and seven copies were returned and (100) hundred copies are used. After critical analysis of the data collected, findings revealed that money laundering and national development: issues and prospects cannot be over emphasized in reducing the rate of money laundering in the Nigerian economy. The study identified some forms of money laundering include includes bank methods, smurfing (also known as structuring), currency exchanges, and double-invoicing were extensively discussed. The roles of financial institutions in anti-money laundering are to verify a customer's identity which often termed as "Know Your Customer" through his/her passports and if necessary, monitor transactions for suspicious activity. The effect of money laundering on economic development reduces productivity in the economy's real sector by diverting resources and encouraging crime and corruption, which slow economic growth and distort external economic sector. The benefits of an effective Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) are to control of financial crimes, enhanced stability of financial institutions and encouraging national development. To achieve the study, the researcher identified some challenges which militated against effective anti-money laundering control in Nigeria. These includes the lack of effective control by the institution, judicial ineffectiveness, lack of appropriate punishment to culprits and inconclusive report that negates prosecution.

Keywords: Concealment, Economy, National Development, Money Laundering and Policy.

TABLE OF CONTENTS

Title     Page

Declaration I

Certification II

Dedication III

Acknowledgement IV

Abstract V

Table of Content VI

CHAPTER ONE

Background to the Study 1

Statement of the Research Problem 3

1.3 Research Questions 4

1.4 Research Hypothesis 4

1.5 Objectives of the Study 4

1.6 Significance of the Study 5

1.7 Scope and Limitations of the Study 5

1.8 Definition of Terms 5

CHAPTER TWO

LITERATURE REVIEW AND THEORETICAL FRAMEWORK

2.1 Preamble 7

2.2 Review of Related Literature 7

2.3 Theoretical Framework of the Study 8

2.3.1 Theory X and Theory Y 8

2.4.1 Forms of money laundering 10

2.4.2 Issues Involved in Money Laundering and National Development 12

2.4.3 Historical Background of money laundering 12

2.4.4 Challenges of Militating Against the Control of Money Laundering 13

2.4.5 The roles of financial institution in anti-money policies 13

2.4.6 The implications of money laundering in Nigeria economy 14

2.4.7 The benefits of effective AML and CFT framework 16

2.3.6 International Response against money laundering 18

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Preamble 22

3.2 Research Design 22

Sources of Data Collections 22

Population of the Study 22

Sampling Size 23

Sampling Techniques 23

Data Collection Instrument 24

3.8 Administration of Data Collection Instrument 24

3.9 Validation and Reliability of Instruments 24

3.10 Method of Data Analysis 25

3.11 Limitation of the Study 26

CHAPTER FOUR

DATA ANALYSIS PRESENTATION

4.1 Preamble 27

Analysis of Respondents’ Characteristics and Classifications 27

Analysis of Individual Research Statement 29

Test of Hypothesis 37

Discussion of the Findings 46

CHAPTER FIVE

SUMMARY, CONCLUSION AND RECOMMENDATIONS

5.1 Summary of the Findings 45

5.2 Conclusion 46

5.3 Recommendations 46

5.4 Suggestion for Further Study 47

References 58

Appendix