FRAUDULENT PRACTICE AND ITS EFFECTS ON THE PERFORMANCE OF NIGERIAN BANKS (A CASE STUDY OF STOCK EXCHANGE ONITSHA)
CHAPTER ONE
1.1 BACKGROUND OF THE STUDY
From time immemorial, the insurgence of terrorism has attracted the attention of local and international communities and has posed a global threat to the economy of terrorist- classified countries and security of non- combatant innocent citizens of the country. The carnage left in its wake over a hundred dead bodies charred remains of vehicles dotted the streets and many public buildings went up in smoke. Sudden killings of futuristic persons who might be agents of change to the world at large and wanton destruction of properties and business organization that provides for the welfare of man are all tracable to the recent terror attacks in most nations.
Most recent technological observations have came out with findings that people now easily incite others and negatively orientate them to subscribe in their grievance, from organizations and in their bid to achieve social solidarity with other members of their organization, unleash mayhem on their targeted subjects, hence, the birth and acts of terrorism. Terrorism comes from the French word” terrorisine” and originally referred specially to state terrorism as practiced by the French government during the reign of terror (Schmid, 1988). The history of terrorism goes far back in time to Sicari, Zealots a Jewish extremist group, active in ludace province at the beginning of the 1st century AD. Some prominent collaborators with Roman rule were killed after the rebellions of Zealotry in the 1st century AD (Josephus, 6 AD). Judas of Galilee formed a small and more extreme off short of the Zealots, named the sicarii, directing their terrors against Jewish collaborators including temple priest, Sadducees, Herodias and other wealthy cities (Hoffinan, 1998).
In 1795, Edmund Burke denounced the Jacobins for letting “ thousands of those hell- hounds called terrorists loose on the people of France. In January 1858, Italian patriot felice orsini threw three bounds in an attempt to assassinate French Emperor Napoleon III eight by standers were killed and 142 injured (Schmid, 1988). The incident played a crucial roles as an inspiration for the development of the early Russian terrorist groups, when Russian sergey Nechayeu in 1869 for the people’s retribution and described himself as a “terrorist”
Terrorism is the systematic use of terror, especially as a means of coercion. It is a violent act intended to create fear (terror) and is perpetrated for a religious, political or ideological goal and deliberately target or disregard the safety of non combatant civilians (Geoffrey, 2001) terrorism has been practiced by a broad array of political organization for furthering their objectives. It has been practiced by right-wing and left –wing political parties, nationalistic groups, religious groups, revolutionaries, and ruling governments. An abiding characteristic is the indiscriminate use of violence against non-combatants for the purpose of gaining publicity for a groups cause, or individual (Alexander, 2003).
The perpetrators of acts of terrorism can be individuals, groups, or states. However, the most common image of terrorism is that it is carried out by small and secretive cells, highly motivated to serve a particular cause and many of the most deadly operations in recent times, such as the September 11 attacks, the London underground bombing, and the 2002 bali bombing were plained and carried out by a close claque, composed of small social networks (Rodin, 2006).
Attacks from collaborators are used to intimidate people from co-operating with the state in order to undermine state control. High profile symbolic targets are used to incite counter- terrorism by the state to polarize the population, this strategy was used by AEQAEDA in its attack on the USA in September, 2001, to struggles which are otherwise unreported, such as the Palestiman airplane hijacking in 1970, and the south Moluccas hostage crises in the Netherlands in 1975 ( Sageman, 2004)
1.2 STATEMENT OF THE PROBLEM
Records has shown, that recent devastating terrorist activities have left the country in consistent geometrical losses, fall in gross domestic products, blacklisting of Nigeria as a terrorist country by the united state of America, Kano, Kaduna and Jos, which serves as the Northern commercial empire are all gone (look, 2011). Vanguard newspaper of Tuesday may 22, 2012, reported the former president of Nigeria, Olusegun Obasanjo saying “Bambing are driving away investors from Nigeria”. The entertainment industry is now recording a drop in investment as foreign artistes are dedining to come down to Nigeria to perform.
It is also on record that terrorist activities in Nigeria sparked deadly clashes with Nigerian security forces, which led to the death of an estimated 700 people.
During the fight with security forces, Boko Haram fights repeatedly used fuel –laden motorcycles and bows with poisoned arrows to attack a police station, and in the bid, the group’s founder mohammed Yusuf was killed (Johnson, 2011).
In 2009, an estimated 1,000 people were killed as Nigeria government forces fought Boko Haram in Borne yobe, kano and Bauchi states in July and August, 2009 (olugloode 2011). The December 31, 2010 bomb attacks on the outskirts of Abuja Nigeria, killed four people including a pregnant woman and 26 were injured all of the dead were civilians, as were most of the injured (olugbode, 2011).
Boko Haram killed 450 people in 2011 as reported by the police. The January 20, 2012 attacks in the northern cities of Kano left at least 185 police and residents dead, resulting in the highest death toll in a single day since Boko Haram began its violent campaign in July, 2009, more than 935 people have been killed in some 164 suspected attacks by the group during this period (Brock, 2011), since the organization in an Islamic Jihadist sect that seeks to abolish the secular system of government, establish sharia law in the country, submits that western education is sacrilege and then all their propositions cannot be justifiably linked to the unjust unleashing of terror and killings of innocent non- combatant citizens, destruction of cars, bombing of both government and residential buildings. The researcher posit that they should embrace the doctrine of dialogue offered by the federal government and amicably state their demands and be attended to, as that the horrible holocaust caused by this group can be brought to a final end, it happened with the amnesty granted to the Niger delta militants.
1.3 OBJECTIVE OF THE STUDY
the subsequent terrorist bombings, sewage killings and wanton destruction of properties in Nigeria by Boko-haram have intensified concerns about the terrorist threats and renewed also to better understand the root or causes of terrorist, with divergent views on whether terrorism is caused by rising population increased poverty, rapid urbanization, declining traditional authority, globalization failure of government at all levels, lack of education, with different perspective reflecting philosophical, religious, political and other different as they can affect out understanding on both the threat of and response to terrorism.
The specific objective of this study are to:
X-ray, highlight and analyze the impacts and effects of these terrorism activities in Nigeria.
To investigate the futuristic consequences of the effect of these terrorism activities in Nigeria.
To evaluate the domestic and global implications of the groups activities.
To checkmate the image of Nigeria in the rankings of international community as regards terrorism.
To checkmate the potency of our national security and intelligence agencies.
To checkmate the state of foreign- direct investment in Nigeria
This work also calls the attention of both domestic and global communities to the negative effects of terrorist activities in various sectors of the economy.
1.4 RESEARCH QUESTIONS
The following research question guided this study:
What are the traceable sources of the current Boko Haram insurgence in Nigeria?
What are the motivational traceable causes of the current Boko haram insurgence in Nigeria?
Are terrorists in Nigeria exploiting the tools of modern globalization in carrying out terrorist activities?
Do the terrorism activities by Boko Haram have any effect on Nigeria?
Are these effects positively or negatively affecting Nigeria
What are the possible effects of these terrorism activities in Nigeria?
Are there futuristic consequences of these on Nigeria?
Are there possible links between Boko Haram and other terrorist groups?
Does Boko Haram get its training and logistics support from other terrorist groups?
Do Boko Haram terrorism activities deteriorate Nigeria and cause loss of cordial relationship with international community?
1.5 SIGNIFICANCE OF THE STUDY
This work, effects of terrorism activities in Nigeria using Boko Haram as a case study, aims at using the to government, international communities and development partners to review their conceptualization on terrorism.
The study is aimed at shifting the government’s focus from the root causes of terrorism activities, which have served as distraction to the ever preventing effects incited on the economy of Nigeria.
The study from this study can be used to predict the futuristic position of all terrorist countries in terms of unemployment levels, change in Gross Domestic Product (GDP), inflation levels, rate of foreign Direct Investment (FDI), the performance of stock market, changes in the value of the local currency, level of governmental debt and changes in government defense spending health of particular sector of the economy, dispute among publics and politicians and serious unrest.
In proffering intervention methods, this work aims at making government take a bold decision and strategize and undercover operation, by taking the terrorist network unawares and wiping them out completely as in the case of president Barrack Obama, using the seal Navy to wipe out Osama Bin leden, the most wanted terrorist in the world.
As organization is greater than its government, this work proffers a solution on how a counter terrorist unit can be set up and effectively managed by the government.
Also, the findings from this work will aid the government in declaring war against all terrorist activities in the country by joining forces with developed countries that are experts in combating terrorism, by so doing, it will redeem her image and remove her name among the blacklisted terrorist countries.
1.6 SCOPE OF THE STUDY
This work involves the use of interview, questionnaires police reports, representative cases to analyze the effects of terrorism activities in Nigeria in terms of national security of life and property, image of Nigeria before international community, foreign direct investment intelligence gathering environmental hazards, immigration, cross-border security equivalent.
This work also involves the use of the analyzed effect of these terrorist activities to analyze both present and futuristic consequences, if the menace of terrorism is not curbed.
1.7 LIMITATION OF THE STUDY
The research was limited by logistics problems inviting coverage of a wide geographical area of the geographical zones.
The researcher also encountered some challenges in mobility in terms of administering the questionnaire and collection of data until the sample size had been met.
Despite those logistics and mobility challenges, the overall research quality was not compromised.
1.8 DEFINITION OF TERMS
AD: used in the Christian calendar to show a particular number of years since the year when Christ was believed to have born (from latin Anno Domin)
Al-SHABAAB: harakat ash-shabab al-mujah youth, an islamist militant organization based in southern Somalia.
Al- QAEDA: a global militant islamist organization terrorist network led by Osama bin laden.
AMNESTY: a period of time during which people can admit to a crime or give up weapons without being punished.
ANARCHISM: the political belief that laws and governments are necessary.
BOKO HARAM: is a jihadist terrorist organization based in the north-East of Nigeria. An islamist which strongly opposes manmade law.
BOMBING: an occasion when a bomb is dropped or left somewhere in order to explode.
BOMB: a weapon designed to explode at a particular time or when it is dropped or thrown.
COERCION: the actions of making somebody do same thing that they do not want to do, using force or threatening to use force.
CONCEPTUALIZATION: to form an idea of something in your mind.
COUNTER- TERRORISM: action taken to prevent the activities of political groups who use violence to try to achieve their aims.
DOCTRINE OF DIALOGUE: statement of government policy used for a formal discussion between two groups or countries, especially when they are trying to solve a problem and a disagreement.
EXTREMIST GROUP: a group whose opinions, especially about religion or politics are extreme and who may do things that are violet, illegal for what they believe.
INSURGENCY: an attempt to take control of a country by force.
JIHAD: a holy war fought by muslims to defend Islam.
MILITANT: using or willing to use or strong pressure to achieve your aims, especially to achieve social or political change.
NON-COMBATANT: people who does not usually fight in a war.
PERPETRATORS: a person or group who commits a crime or does something that is wrong or evil.
SECT: a small group of people who belongs to a particular religion but who have some beliefs or practices which separates them from the rest of the group.
SYNDICALISM: any non-authoritarian organization/structure that gives the greatest freedom of work.
FRAUDULENT PRACTICE AND ITS EFFECTS ON THE PERFORMANCE OF NIGERIAN BANKS (A CASE STUDY OF STOCK EXCHANGE ONITSHA)