EFFECT OF INTERNAL AUDIT FUNCTION ON FRAUD PREVENTION AND DETECTION IN NIGERIA BANKING ORGANIZATION (A STUDY OF FIRST BANK PLC, PRESIDENTIAL ROAD, ENUGU)

This study examined the effect of internal audit function on fraud prevention and detection in banking organization. Specifically, this study ascertained the effect of internal audit on fraud prevention, fraud detection and Fraud remediation in banking organization. The population size of this study was sixty (60) also considered as the sample size due to size of the population. As such, a survey research design approach was adopted and data collected using five point likert-scale questionnaire which was administered on sample of 60 staff and management of first bank plc, presidential road, Enugu. Three hypotheses were formulated and were tested using Karl Pearson’s product moment correlation coefficient. Findings unveil that internal audit has affected significantly to fraud prevention in banking organization. The findings further revealed that internal audit has influenced significantly to fraud detection in banking organization. Finally, the result established also that there is positive relationship between internal audits and Fraud remediation in banking organization. Consequent upon the findings, this study recommends among others; that management should always adopt the services of the internal auditors in the banks so as to ensure no financial leakages and accountability in the Nigerian Banks. Again, that management should put in their best resources to ensure that experts in the field of auditing are employed to avoid biased result