Milk fraudster jailed

Milk fraudster jailed

Leading fraud specialists have warned that senior public finance figures must implement tighter financial controls, after a corrupt official stole hundreds of thousands of pounds by abusing a licence to print blank cheques.

Link: Milk finance man faces false accounting charge

Experts said the disappearance of £400,000 from the Milk Development Council (MDC) indicated insufficient checks and balances, and prompted calls for finance officials in the public sector to re-evaluate their control systems.

Patrick Morris, a former finance manager of the MDC, was sentenced last month to two years in jail after admitting false accounting to hide his misappropriation of funds. He had been authorised as sole signatory of cheques up to £1,000 and was able to print cheques in his office.

Alex Plavsic, head of fraud at KPMG, said: ‘Most companies believe they will be OK if they set limits on sums signed for quite low, but all it means is that people understand it’s below the eye level of the organisation.’

The Treasury said that banning sole signatories for cheques would be overly bureaucratic. But Peter Smith, head of forensic accounting services at Dickinson Dees, agreed there was cause for concern, adding: ‘Government should be ensuring it adheres to best accounting practice and implements an anti-fraud culture.’

Share

Subscribe to get your daily business insights

Resources & Whitepapers

Why Professional Services Firms Should Ditch Folders and Embrace Metadata
Professional Services

Why Professional Services Firms Should Ditch Folders and Embrace Metadata

3y

Why Professional Services Firms Should Ditch Folde...

In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...

View resource
2 Vital keys to Remaining Competitive for Professional Services Firms

2 Vital keys to Remaining Competitive for Professional Services Firms

3y

2 Vital keys to Remaining Competitive for Professi...

In recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...

View resource
Turn Accounts Payable into a value-engine
Accounting Firms

Turn Accounts Payable into a value-engine

3y

Turn Accounts Payable into a value-engine

In a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...

View resource
Digital Links: A guide to MTD in 2021
Making Tax Digital

Digital Links: A guide to MTD in 2021

3y

Digital Links: A guide to MTD in 2021

The first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...

View resource