header-logo header-logo

23 June 2023 / Rakesh Kapila
Issue: 8030 / Categories: Features , Profession , Expert Witness , Fraud , Employment
printer mail-detail

The cost of employee fraud

127484
Employee fraud is on the rise: Rakesh Kapila considers some examples & highlights the forensic accountancy techniques which may be deployed when investigating it
  • Examples of employee fraud and its cost to employers.
  • How employers can minimise risk of fraud.
  • Forensic accountancy techniques.

Employee fraud represents an important component of white-collar crime, and is likely to continue to be significant in the current economic climate. Data obtained by RSM UK from the City of London Police suggests that there was an increase of around 10% in the number of reported corporate employee fraud cases in the UK during 2022 in comparison to 2021.

This article provides examples of various types of employee fraud, how each category of fraud impacts on the finances of employers, key ways in which employers can minimise the risk of fraud, and the techniques deployed by forensic accountants in investigating such fraud.

Types of fraud

Misappropriation of assets

The misappropriation of assets can include the theft of cash, stock or equipment, with employers consequentially sustaining a reduction in their assets and

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Gateley Legal—Jack Kelly

Gateley Legal—Jack Kelly

Gateley Legal expands Midlands residential development team

Gibson Dunn—Richard Surtees

Gibson Dunn—Richard Surtees

Gibson Dunn adds employee benefits and executive compensation practice in London with partner Richard Surtees

Laytons ETL—Alec Cameron

Laytons ETL—Alec Cameron

Laytons ETL appoints new partner and head of intellectual property disputes

NEWS
A series of recent decisions has clarified important principles across property law, from perpetuities to lease renewals and public rights over land
Employers cannot rely on wellbeing services alone to defend workplace stress claims after a High Court decision awarding almost £1m to an overworked employee
Andy Burnham's brand of 'Manchesterism' could offer fresh thinking on legal aid and access to justice if it reaches Westminster, according to Roger Smith, NLJ columnist and former director of JUSTICE
The constitutional fallout from a change of prime minister, rather than the politics, is under scrutiny as questions arise over the limits of executive authority in a leadership transition
The legal profession is undergoing a fundamental shift from selling services to creating technology-enabled products, according to Professor Luke Mason, Head of School of Law at Regent's University London
back-to-top-scroll