More Than $1b Lost by Organizations to Fraud
Many organisations have lost more than $1 billion over the past 4 years due to fraud, KPMG’s Fraud Barometer suggests.
As part of the 4-year anniversary of the Fraud Barometer, KPMG analysed the trends in frauds over the past 4 years as well as its regular 6-monthly analysis.
The impact of fraud post the GFC is apparent, and the increasing value of frauds in Australia in the latest survey period to December 2011 is probably related to the current economic uncertainty.
Over the last 4 years there were 546 cases of fraud, totalling more than $1 billion. Unsurprisingly, fraudsters follow the money trail to the financial services sector with major banks the most common victims of fraud, followed by insurance companies, credit unions/building societies and other lenders.
80 percent of frauds against commercial businesses recorded by the Barometer indicated are committed by rank-and-file employees or managers.
Gambling is often cited as an important motivator of fraud.
The Fraud Barometer analyses fraud before the courts with a loss over $100,000.