BusinessCompany News‘Fraud victims should pay’

'Fraud victims should pay'

More than one in three FDs believe companies should 'go private' for the investigation of fraud under their own roofs, according to the latest Accountancy Age/Reed Accountancy Personnel Big Question survey.

Link: UK fraud soars in first half of year

Of the FDs polled, 37% say companies’ responsibilities should extend to picking up the bill when fraud is investigated, and pay for protection against further crime.

Several believe fraud goes unreported because of the stigma created by its detection Ñ others were unhappy at the prospect of a victim of crime having to pay for its investigation.

Of those in favour of ‘victim pays’, one said: ‘People expect businesses to be run properly. The cost to rectify reputations and prevent future occurrences must outweigh any short-term expense.’ Another pointed out: ‘Companies should have systems and procedures to control fraud. If they don’t they should be liable.’

Of the 50% in the ‘shouldnåt pay’ camp, one explained: ‘Fraud is a criminal offence and should be dealt with by the police. All companies pay council tax, part of which funds the police. Why should we pay again?’

One respondent remained neutral with a remarkably complacent comment: ‘Never experienced fraud nor likely to – so a little indifferent.’

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