Current Company Fraud Trends

Using the latest statistics that are available the National Fraud Authority estimated that fraud cost SMEs £9.2 billion in 2013. One in four of the businesses surveyed by the National Fraud Authority indicated that they had been victims of fraud which is a staggering figure when you think about it. The most common types of fraud were:

  • Payment and Banking Fraud (69%)Company Fraud
  • Accounting Fraud (26%)
  • Procurement Fraud (21%)

86% of businesses indicated that they had suffered fraud from external sources and 56% had suffered from internal fraud involving their own employees.

40% of businesses had actually suffered both external and internal fraud and more than a third reported that the fraud had been cyber-enabled.

Some of the main learning’s that came out of this survey is that businesses must:

  • Know their business inside and out.
  • Know their customers and suppliers.
  • Identify where they are at most risk.
  • Develop a fraud strategy
  • Be mindful of everything they do online.
  • Understand their finances
  • Secure and protect their property

The different types of fraud that a company can experience include:

  • Ecommerce fraud
  • Online Fraud
  • Long and short firm fraud
  • Mandate fraud
  • Company Impersonations
  • Cheque fraud
  • Procurement fraud
  • Company hijack
  • Insolvency-related fraud
  • Business directory fraud
  • Office supply fraud
  • PABX hacking fraud
  • Cryptolocker fraud – Ransomware.

It really is quite a list.

As well as being financially damaging, the loss of reputation caused by fraud can be equally, if not more damaging. At Insight Investigations we help organisations identify where fraud might be happening and we carry out thorough investigations to get to the bottom of fraud issues. We can also advise you on measures to take so that you can avoid fraudulent practice in the future. Please get in touch if we can help you.