Alex Plavsic, Head of Fraud Investigations at KPMG Forensic, comments on how the latest developments in the economy are affecting his clients:
“Corporate Britain is becoming more concerned about the heightened fraud risks that a downturn brings. Internally, the pressure to hit targets that have become harder to meet increases the possibility of accounts manipulation and the booking of false revenues. Personal financial pressures could also lead to a wider incidence of individual insider frauds.
Externally, organised crime rings will be kicking hard against a downturn. They know there is a price at which they can buy the services of some employees in order to gain access to customer and financial information.
"What can companies do? They need to get the balance right between control and openness. Segregate data wherever possible, so that no one has access to more information than they actually need to do their job. At the same time, ensure there are no personal fiefdoms in the business and that reporting lines are open and transparent. It is a difficult battle, but one that companies can win if they get their approach right.”
