A Lagos-based customer of Guaranty Trust Bank (GTBank), Onifade Isaac, has raised questions over the effectiveness of the banking industry’s fraud-recovery system after ₦4.6 million allegedly transferred from his account without authorisation was reportedly withdrawn by the recipient despite a “Do Not Debit” instruction.
Isaac, a warehouse manager residing in Alimosho, Lagos, said the money was transferred from his GTBank savings account on August 22, 2026, through the bank’s mobile application to a Pocket App account bearing the name Zahara’u Iliyasu.
According to him, he only discovered the transaction hours later when he attempted to withdraw money and was informed that his account balance was insufficient.
He said he immediately contacted GTBank’s customer service and reported the transaction, following which he was informed that both his account and the recipient’s account would be blocked.
Isaac said the bank also indicated that a “Do Not Debit” instruction had been placed on the recipient account to prevent the disputed funds from being withdrawn.
However, the customer said the intervention did not result in the recovery of the money.
“After some days, I was told that the funds had been utilised by the recipient,” Isaac said.
The development has placed the spotlight on what happens after banks flag suspicious transactions, particularly where money has moved from a traditional bank account to an account operated through a fintech or payment platform.
Documents made available by Isaac reportedly include an affidavit filed at the Chief Magistrate Court of Lagos State, Yaba Magisterial District, on August 26, 2026, as well as a Nigeria Police Force crime diary extract dated August 27.
In the affidavit, Isaac alleged that the transaction was carried out without his authorisation and sought an immediate reversal and full restitution of the ₦4.6 million.
A bank statement covering August 1 to August 24 also reportedly records a single outward transfer of ₦4.6 million on August 22, described as “Outward Transfer to Pckapp – Zahara’u Iliyasu.”
An email from GTBank’s E-Fraud, Analytics and e-Channel Security Group to Isaac on the day of the incident also stated that his account had been blocked to prevent unauthorised access and that the debit had been escalated to the receiving bank.
The unresolved issue, however, is how the alleged recipient was still able to access the funds after the receiving account had reportedly been identified and a “Do Not Debit” instruction issued.
The case therefore raises broader questions about the speed and effectiveness of interbank fraud intervention in Nigeria, especially when disputed funds move between commercial banks and fintech platforms.
It also puts renewed attention on whether fraud alerts and account restrictions are being implemented in real time across different financial institutions, and whether existing mechanisms are sufficient to prevent suspected proceeds of unauthorised transactions from being quickly withdrawn or transferred again.
Isaac’s case also raises questions about the responsibilities of banks, receiving institutions and payment-system operators when a customer reports an unauthorised transfer shortly after it occurs.
GTBank has yet to publicly respond to the specific allegations. Efforts to obtain a response from the bank’s management through the Chief Communications Officer of GTCO Plc, Oyinade Adegite, were unsuccessful as of the time of reporting.
For Isaac, the immediate concern remains the recovery of the ₦4.6 million, which he said represented virtually the entire balance in his account.
The case underscores a growing concern among bank customers: when an unauthorised transfer is reported and the receiving account is supposedly placed under restriction, how quickly can the financial system actually stop the money from disappearing?
