Search
 
Best Practices

Shining a Light on Payments Fraud

5 steps to protect your company against both internal and external threats.

By Eric E. Wilson | Updated on January 26, 2017
While it’s something treasurers and finance executives generally don’t like to think about, “occupational fraud”—fraud intentionally perpetrated against a company by one or more of its employees—is real. A survey conducted in 2015 by the Accounts Payable Network (APN) found that 44 percent of organizations had experienced an incidence of occupational fraud within the most recent three-year period.

The profile of a typical offender is far from what you might expect. Perpetrators of occupational fraud are often model senior-level employees who have been with the company for a while and who may be committing their first offense ever. Different perpetrators obviously have different reasons for committing occupational fraud, but these crimes are often precipitated by a combination of financial pressures and a perception that the risk of getting caught is low. Offenders often rationalize their actions with excuses such as “The company won’t miss the money” or “I should be getting paid more.”

Occupational fraud and external fraud schemes, such as business email compromise (or “impostor fraud”), are both common and difficult to spot. Protecting a company against these risks requires well-designed policies and vigilance in enforcement of those policies.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

Now’s the Time to Get Ready for FedNow

Now’s the Time to Get Ready for FedNow

T&R Staff |

Part 1 of 2: What does the instant-payments landscape look like now, and how will it change when the Fed enters the market later this month?

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk

Copyright © 2024 ALM Global, LLC. All Rights Reserved.