| dc.description.abstract | The purpose of the study was to find out the effect of fraud management and performance of Centenary Bank Soroti Branch. The specific objectives of the study were to examine the effect of fraud detection and reduction, to examine the effect of fraud control and monitoring on the performance and to establish the relationship between fraud management and performance of Centenary bank, Soroti Branch. The study adopted both qualitative and quantitative approach with a case study research design. Since the researcher wanted to obtain an in-depth data about the effect of fraud management and performance of Centenary Bank, case study design was found to be appropriate. The study population included the management and staff from two departments of Centenary Bank Soroti which include Credit and General banking operations departments because the two departments are closely linked in their operations. Both purposive and random sampling techniques were used in the study. In data collection, both primary and secondary data collection methods were used. The instruments of data collection included Self Administered Questionnaires (SAQ) and interview guide. Two types of analyses were conducted and these included quantitative and qualitative analyses by use of Statistical Package for Social Scientists (SPSS). Research findings revealed that in order for the bank performance to improve, the bank must have clear reporting guidelines, have fraud detection technologies and the bank staff must be able to report red flags of fraud. The Adjusted R2 was 0.259, implying that the independent variable contributes 25.9% to Centenary bank performance. The findings also revealed that in order for the bank performance to improve, bank must adhere to BOU compliance requirements, bank’s “zero tolerance to fraud” policy and put a system in place to help ensure that suspicious transactions are accurately recorded and reported. The findings show a positive and significant relationship between fraud management and performance of Centenary Bank represented by a correlation coefficient of 0.206. A coefficient of determination R2 computed was 0.541, this means that the independent variable fraud management accounts for 54.1% of the variations in the dependent variable performance and the other changes could be as a result of other variables. From table 4.34, it is observed that on average, the relationship between fraud management and performance in Centenary bank is high given the average mean of 2.40478. In conclusion, the study found that banks are not utilizing the three methodologies (detective, corrective, preventive) in the same manner. Senior management emphasizes on corrective control instead of building the set up of preventive control. The threat of fraud in Centenary bank can be contained by taking the right steps. The study encourages internal audit to view technology as a necessary part of their toolkit that can help detect and prevent fraud, focus on its corporate governance which is based on a set of ethical principles that guide the bank. Banks should strive to remunerate their workers adequately to enable them to meet their basic needs, ensuring that they pay competitive salaries. | en_US |
