Corporate fraud tops £1.2bn
UK companies' fraud costs jump 14 per cent
285 cases of publicly reported fraud cost UK companies £1.19bn last year, an
increase of 14 per cent year on year, according to BDO Stoy Hayward’s annual
FraudTrack report.
Nearly two-thirds of affected companies were in the banking and insurance
sectors, the Financial Times reported. Experts worry that more
companies will be defrauded in coming months as the economy continues to
deteriorate.
Previous downturns have coincided with an increase in reported cases of
fraud. The number of reported cases is only the tip of the iceberg. Many
corporate victims prefer to discreetly deal with alleged theft or kickbacks
involving employees and directors.