Australia

Details

  • Service: Advisory, Risk Consulting, Forensic, Internal Audit, Risk & Control Services, Topics, Fighting Fraud
  • Industry: Financial Services, Insurance
  • Type: Benchmarking study
  • Date: 30/08/2011

Fraud Barometer

KPMG Fraud Barometer
The Fraud Barometer is a bi-annual publication which monitors and examines the incidence of large frauds before the criminal courts in Australia.

Fraud Barometer: June 2011 readings 

KPMG Forensic’s fifth Fraud Barometer shows there has been a rise in investor and insurance fraud. Our six-monthly analysis of reported frauds over $100,000 before Australian criminal courts to June 2011 shows that financial institutions continued to be targeted.
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An important finding for organisations is that management continue to do more damage by fraud than lower level employees. Management stole on average $3.4 million per fraud, while employees stole on average $1.5 million.

 

This remains consistent with the long term ratio throughout the history of the Barometer that losses from fraud by management are approximately three times greater in value than those by non-management.

 

Other key findings

  • The number of serious fraud cases fell (67 to 50 from the previous half)
  • However the average value of fraud increased from $1.73 million to $1.82 million
  • Fraud by management is the biggest threat with an average fraud of $3.4 million
  • A worrying incidence of investor fraud is up from $22 million to $32 million, and
  • Two thirds of frauds against financial institutions involved insurance fraud and there were five case of large insurance fraud – the highest number in 3 years.

 

 

Fighting fraud

Fighting Fraud
Research and insight into the economic loss of fraud, who is committing fraud, how it is done and most importantly how to fight and prevent it.

Forensic

KPMG’s forensic accounting services help prevent and detect fraud, misconduct, breaches of rules and regulations, and prevent and resolve disputes.