Fraud at Workplace at a Record High in 2009
KPMG Forensic’s Fraud Barometer has reported that since 1987 highest number of fraud cases have been recorded in the year gone by i.e.2009. Both general fraud and employee fraud cases have been recorded in large numbers during this period amounting in total to a startling £1.3bn.
Of this immense figure, a significant proportion can be attributed to fraud by managers and employees which accounted for a total of 123 cases. When figures for 2008 and 2009 are compared, it is seen that fraud by managers rose from £129m in 2008 to £335m in 2009 and in case of fraud by employees this rose from £100m in 2008 to £232m in 2009.
In 2009, a large number of cases were recorded involving the accounting and book-keeping departments with thirty three cases worth £44m being booked by authorities. Another relevant fact to be noted by employers is that many of the employees who committed fraud had a long term association and were trusted by their employers. There were also instances when people having prior record of committing fraud had resorted to such offences once again.
As an example of this, the report cites the case of an accountant working in a property management company at
One of the partners of KPMG Forensic, Hitesh Patel has warned the employers to guard against possible fraud by both employers and managers. As a precautionary measure he suggests a thorough background check of candidates during the recruitment process before employing them. The Certificate in HR Practice (CHRP) is designed for those within organisations who are involved in human resources management, training and development. The course provides a firm foundation in all the areas of personnel and will help you to gain a broad grasp of employment law so you can set your own organisation’s policies and procedures in context.
