How the African Union almost fell victim to a $6million scam
In a recent official statement, the African Union (AU) addressed a disturbing incident involving an attempted fraudulent withdrawal of funds from their accounts held at the Commercial Bank of Ethiopia (CBE).
Advertisement
The AU praised the swift response and vigilance of the CBE staff and their own finance department, which successfully thwarted the fraudulent attempt. This action prevented the unauthorized withdrawal of funds, preserving the integrity of the AU's financial controls and management.
The incident occurred on April 15, 2024, when a series of Payment Transfer Orders were submitted to the CBE branch located within the African Union Headquarters in Addis Ababa.
These orders, totaling over $6 million, were submitted by an individual not associated with the African Union. They purported to allocate significant funds to various recipients under the guise of construction and water drilling projects.
Upon careful scrutiny, the AU's Finance Directorate determined that the submitted documents were clear forgeries. This discovery prompted immediate action to prevent any potential financial loss.
The relevant security authorities of the Federal Democratic Republic of Ethiopia were promptly notified, leading to efforts to identify and apprehend the individuals involved according to investigative procedures.
The AU highlighted the seriousness with which it views this incident, acknowledging the insights gained into potential vulnerabilities. As a result, a comprehensive review of security measures is underway, with plans to collaborate closely with the Commercial Bank of Ethiopia to enhance protocols and prevent future fraudulent attempts against the AU's finances.
The AU reiterated its commitment to maintaining the highest standards of financial governance and ethics, both internally and in partnership with financial service providers. They expressed gratitude to the leadership of the Commercial Bank of Ethiopia and the Government of the Federal Democratic Republic of Ethiopia for their swift intervention and support during this challenging situation.
The Directorate of Information and Communication at the African Union Commission released the statement, highlighting the organization's dedication to safeguarding its financial integrity while supporting the continent's development and integration efforts.
Read the entire statement below;
Official Statement on the Attempted Fraud on African Union Bank Accounts
April 30, 2024
The African Union (AU) wishes to address the recent reports of an attempted fraudulent attempt to unlawfully withdraw funds from our accounts held at the Commercial Bank of Ethiopia (CBE).
First and foremost, we commend the vigilance and swift action of the CBE staff and our finance department who successfully thwarted the fraudulent attempt resulting in no funds being withdrawn, averting a potential loss and ensuring that the integrity of our financial controls and management remain intact.
This incident which took place on 15 April 2024, wherein a series of Payment Transfer Orders were submitted to the Commercial Bank of Ethiopia, at their Branch located within the African Union Headquarters, in Addis Ababa. The Payment Transfer Orders were submitted by an individual who is not an employee of the African Union. These orders designated substantial funds to various recipients under the premise of construction and water drilling works, amounting to over US Dollars 6 million.
A meticulous inspection of the documents by the Finance Directorate of the African Union Commission, identified them as clear forgeries, prompting swift action to mitigate any potential financial loss for the African Union. In addition, the relevant security authorities of the Federal Democratic Republic of Ethiopia were informed, and prompt action was taken to ensure the person(s) involved were identified and held in line with their investigative procedures.
The AU is treating this matter with utmost seriousness. While it is disconcerting that such an attempt was made, the insights into potential vulnerabilities provided has led to a review of the security measures in place and we are working closely with the Commercial Bank of Ethiopia to reinforce safeguards and implement enhanced protocols to ensure that fraudulent attempts to compromise the finances of the AU are prevented.
We remain committed to upholding the highest standards of financial governance and ethics internally and with all our financial services providers as we continue to support the development and integration of our continent.
The African Union Commission wishes to express its sincere gratitude to the leadership of the Commercial Bank of Ethiopia and the Government of the Federal Democratic Republic of Ethiopia for their timely intervention and support in this matter.
Directorate of Information and Communication | African Union Commission, E-mail: [email protected]