ABSTRACT
An appraisal of the internal control system in commercial banks in Nigeria have attracted the researcher to investigate those strengths and weakness, of these study.
After everything the researcher concluded that the internal control system in commercial bank is sound in principle and effective in operation.
CHAPTER ONE
1.0 INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Trade in Nigeria before  the arrival of the Arras and Portuguese, trade before the early 18thcentury was strictly by barter. But in 1870 when those trade arrived, a mixed barter money economy was introduced during this period, commercial and economic activities among African’s were barters where as such activities between Africans and Arras Portuguese were commodity money or the other, such commodity  mouse used include items like coral breads, cowries, brass and copper, rods, bottles cases of gins, livestock and even Slaves who by then, served more as beast of burden.
The Portuguese, who where said to be the first Europeans to visit the west African coast eventually popularized the use cowries as monetary instrument in their trading activities in the Ancient kingdom of Benin. The Portuguese there after monopolized trading activities in the west African coast, including Nigeria, African coast.
Just a few years after the arrival of those British traders, they conquered the Portuguese traders and took over the monopoly of   all commercial and economic activities in four different nations on the West African coast namely gold coast (now Ghana) Gambia, Sierraleon, and Nigeria. It was not long when it was discovered that those British traders did not only come to trade, but in the actual sense to rule. This how ever lead to the colonial(Administration striation. With the subsequent setting up of a British colonial Administration in those countries, the use of currency a namely but British Sylva coins was greatly encourage. This however was the first step in the c. of monetising those economics, which in actual sense facilited exchange greatly discourage barter.
The early period of colonial administration back dates Nigeria in banking idea. The British traders day banking in Nigeria Principally for the proper execution and transmission of funds to effectively serve the British colonial government and their corporation.
1.2 STATEMENT OF THE PROBLEM
The basis objective of most business include serval and growth: Fulfillment of social responsibility and the making of satisfactory profit sound and effective system of central are established in order to carry on the business of the enterprises efficiently and orderly and assets in sina guenon (important) to the achievement of the above objective. A sound system of internal control also helps in checking the accurate and   reliability of records, free flow of management information and adherence to management polices in order to reduce practicable wastage, pilferage losses and theft.
1.3 objective of the study
The aim of the study is to examine the internal control system as established and operated in the banking industry of Nigeria in pursuance of this objective we shell:
1. Examine the internal control system of commercial banking in Nigeria as regard loan and advance investment and deposit.
2. Ascertain the extent of compliance with laid down policies.
3. Critically examine why there is persistent increase in the banks bead doubtful debts.
4.     Make recommendations in the night of the finding from the above objective.
