Serious Fraud Office boss Adam Feeley has warned that a new report showing a surge in the value of fraud convictions is only scratching the surface of the true cost of financial crime in New Zealand. The latest KPMG fraud barometer showed that the value of fraud convictions in New Zealand in 2010 was more than $172 million, more than the value for 2008 and 2009 combined….
Mr Feeley said the KPMG study prompted discussion about financial fraud, but did not give a true indication of the true level of fraud being committed. “I think we are, and it’s a terrible cliche, really only beginning to cratch the surface of financial crime in New Zealand.”
Stephen Bell, head of forensics at KPMG, said … it was difficult to assess the true extent of fraud in New Zealand, although a 2010 KPMG survey showed companies believed only one third of frauds were being detected, and with lower level fraud excluded from the survey, it was possible the problem could be worth more than $1 billion a year.
Full story: BusinessDay.co.nz Hamish Rutherford, 28 March 2011 http://www.stuff.co.nz/business/money/4815448/Surge-in-fraud-points-to-huge-cost
Note: The Society (SPCS) as part of its Constitution, seeks “To focus attention on the harmful nature and consequences of …. fraud, dishonesty in business and other forms of moral corruption.” Section 2(d)