A recent survey from KPMG has shown that inconvenience and fear of negative publicity are the top reasons why detected fraud goes unreported. So the question is; are businesses doing enough to enforce good corporate behaviour?
Reasons why detected fraud was not reported to the enforcement agencies
The statistics suggest the increase in almost all reasons why fraud is unreported means that organisations and their boards need to start thinking about how they can promote ethical behaviour.
Is it all as bad as it seems though? Since 2009, there has also been an increase in fraud risk management strategies, Borneo Post Online states, "The UK, among others, has been involved in major enforcement actions." Businesses have started to understand that basic compliance is not enough, that there needs to be strict enforcement of risk assessment, recognising changing risks and quicker responses.
Finding one solution is impossible, especially when you take into account how varied fraudulent acts can be and those committing them. How can you as the accountant, help to incentivise good ethical behaviour and compliance? A great starting place is to understand fraud within an organisation. Are you ready to help prevent financial crime within your company? A comprehensive understand will enable you to give better, quicker responses and give you more responsibility when dealing with financial crimes.
You need to sign in or register before you can add a contribution.