Bank staff lifestyle audits vital to fraud prevention – John Awuah
The CEO of the Ghana Association of Bankers, John Awuah, has opened up about the importance of lifestyle audits as a key preventive measure in Ghana’s banking industry.
Banks, he stated in an interview are increasingly vigilant about monitoring staff’s lifestyle changes to detect any signs of fraud or illicit income sources.
Drawing on a personal experience, John Awuah recounted, “I remember 22 years ago, working with Standard Chartered Bank, I bought a car, and HR contacted me, asking how I could afford it without a staff loan.
“They needed assurance that my income could support such a purchase.”
He believes such inquiries serve as a deterrent, signalling to employees that financial transparency is essential to maintaining integrity.
Mr Awuah explained that lifestyle audits are not intrusive but act as a safeguard.
“When HR attends your wedding or other significant events, they’re there to see if the scale aligns with your financial capacity,” he noted, underscoring that these audits help identify any mismatch between an employee’s lifestyle and their income.
“It’s not an intrusive review, but a check to ensure transparency and accountability,” he clarified.
The banker’s lifestyle audit, John Awuah argues, is fundamental in minimizing fraud risks.
“Even when people are successful in fraud, it’s harder for them to spend that money without raising suspicions,” he added.
These measures, in his view, ensure that staff remain within their financial boundaries, promoting a culture of accountability.
However, John Awuah also identified the need for banks to educate employees on personal financial management.
“Salary is not magic. If your salary doubles today, in two years, your expenses may catch up,” he cautioned.
For Mr Awuah, maintaining financial discipline is key, emphasizing that banking staff should live within their means and prepare for unforeseen events.
He ended the interview with a call to action, noting that personal financial management can prevent lifestyle pressures that may lead staff to commit fraud.
“You are not living for today alone; you are living for tomorrow and beyond,” he advised, stressing the importance of sustainable spending habits that align with ethical standards in the banking industry.