Former Minister of Finance, Kemi Adeosun, has revealed how the Federal Government used technology to eliminate large-scale payroll fraud, uncovering 45,000 “ghost workers” through the integration of the Bank Verification Number (BVN) system.
Speaking at the Citadel School of Government Dialogue series in Lagos, Adeosun explained that prior to the intervention, the federal payroll was the government’s largest expenditure, plagued by inefficiencies that earlier biometric measures failed to address.
She noted that previous attempts to clean up the payroll system often stalled due to resistance from paramilitary organisations, including the Police and the Army, which declined to cooperate with centralised biometric systems.
To overcome this challenge, her team leveraged the existing BVN database instead of introducing new biometric processes.
“The payroll was our biggest cost,” Adeosun said. “Previous biometric efforts had stalled because paramilitary groups refused to cooperate. We bypassed this by using BVN data. We ran the federal payroll against the BVN database, and the result was staggering: we found 45,000 ‘ghost workers.’”
Clarifying the nature of the fraud, she explained that the term “ghost worker” often concealed simpler systemic issues and individual misconduct rather than complex criminal networks.
“In many cases, it wasn’t a ‘ghost,’ but one person’s BVN linked to multiple salaries,” she said. “Sometimes it was inefficiency—people who had died or transferred but were still being paid.”
To sustain the reform, Adeosun introduced a layer of human accountability by requiring Permanent Secretaries to personally sign off on payrolls, thereby creating a clear chain of responsibility and reducing opportunities for fraud.
She used the experience to highlight the importance of data-driven policymaking.
“If you just shout, you’re just a ‘clanging cymbal.’ If you come armed with data and graphs, you can take on anybody. Data is hard to argue with,” she noted.
The event also featured Tunde Bakare and Mike Adebamowo, and focused on the need for leaders to adopt modern tools to address longstanding governance challenges.
Adeosun urged current and future leaders to embrace technology, including artificial intelligence and data tools, while maintaining the discipline required to implement reforms effectively.
“If you can’t explain your policy, you shouldn’t be doing it,” she added, noting that while technology provides the tools, strong leadership is required to drive meaningful change.
The dialogue concluded with a consensus that while uncovering 45,000 ghost workers marked a significant achievement, such reforms must be backed by legislation to ensure their sustainability.
Bakare commended Adeosun’s resilience, stating that her ability to return to public life with her integrity intact was commendable.
“If Adeosun had not won her case, the stigma would have followed her. It is highly commendable that she served as minister without any allegations of stolen funds or properties traced to her,” he said.
The event underscored that while tools like BVN and AI can support reform, lasting impact depends on strong leadership and institutional backing.
