i-law

Fraud Intelligence

Nine in ten whistleblower lines take anonymous reports but under half of organisations train on non-retaliation, survey finds

An effective whistleblower hotline programme requires trust, with the option to report anonymously at any time, through various channels, preferably to an independent external third party, according to a study by the Association of Certified Fraud Examiners (ACFE) and the Institute of Internal Auditors (IIA).
Online Published Date:  23 May 2023

Warning: smartphone face recognition can be tricked with photo

The UK consumer associationWhich?is warning that facial recognition security checks on smartphones from Honor, Motorola, Nokia, Oppo, Samsung, Vivo and Xiaomi can be spoofed with a simple 2D photo.
Online Published Date:  24 May 2023

EU currents - OLAF targets fraud in Covid-19 recovery funds

European Union (EU) anti-fraud agency OLAF has told Belgium-based news wires it is probing fraud and graft in the EU's €724 billion Recovery and Resilience Facility (RRF), designed to help member states' economies recover from Covid-19.
Online Published Date:  01 June 2023

SFO "on track" to implement all Altman recommendations

The UK Serious Fraud Office (SFO) says that it is "on track" to implement in full all Brian Altman KC's July 2022 recommendations for improvement after its failure to disclose key evidence led to the collapse of the high-profile trial against two Serco executives in April 2021.
Online Published Date:  01 June 2023

Failure to prevent fraud - what are the implications of the new offence?

The new UK failure to prevent fraud offence was introduced into the Economic Crime and Corporate Transparency Bill during its progress through the House of Lords. Susannah Cogman, Elizabeth Head, Eamon McCarthy-Keen and Clara Browne of Herbert Smith Freehills analyse the latest developments, key elements of the new offence (as currently drafted), areas of ongoing debate, and give some practical illustrations of the implications for companies that are planning steps they may need to take in response.
Online Published Date:  06 June 2023

World's biggest firms failing on anti-graft disclosure

The world's 600 largest companies are failing to provide full disclosure of anti-bribery and corruption information in their sustainability reporting, according to research by the International Federation of Accountants (IFAC) and Transparency International UK, supported bythe World Economic Forum's Partnering against Corruption Initiative.
Online Published Date:  10 June 2023

Funding cuts blamed for huge delays in England & Wales fraud cases

The Criminal Bar Association, representing barristers in England and Wales, has blamed chronic underfunding of the criminal justice system for delays in trying fraud cases in courtsin England and Wales, after analysing the UK government's own data.
Online Published Date:  21 June 2023

UK moves to lower bar in company prosecutions for economic crime

The UK Government is reforming the "identification doctrine", which should make it easier to hold companies liable for economic crimes committed by their senior management.
Online Published Date:  21 June 2023

UK regulator brings in new rules for APP fraud reimbursement

The UK Payment Systems Regulator has spelt out new mandatory reimbursement requirements for British banks and payment companies when customers are victims of an authorised push payment (APP) fraud.
Online Published Date:  22 June 2023

EU judge advises limit on national judicial review of EPPO work

The European Court of Justice (ECJ) has signalled that national judicial reviews of cross-border investigations by the European Public Prosecutor's Office (EPPO) should be limited to procedural questions.
Online Published Date:  29 June 2023

Fraud losses from U.S. Covid schemes hit US$36 billion

Fraud losses from the US government's Covid-19 relief programmes hit US$36 billion, or 3% of the US$1.2 trillion funds disbursed, according to a 27 June report from the federal Small Business Administration's (SBA's) Office of Inspector General.
Online Published Date:  06 July 2023

Ex senior policeman to head UK SFO

Nick Ephgrave, a former assistant commissioner of the Metropolitan Police, is to lead the Serious Fraud Office from September.
Online Published Date:  06 July 2023

Prison risk for fraud in England & Wales falls 95% in a decade

The incarceration rate for fraud in England and Wales has fallen 95% in a decade, with fewer than one in 3,000 offences ending up with a criminal conviction and prison term, according to analysis by the opposition Labour Party.
Online Published Date:  12 July 2023

Another twist of the ratchet - the ChatGPT challenge

The advent of large language model (LLM) artificial intelligence systems such as ChatGPT could be a major boon for anti-fraud professionals - but as with any innovative technology, the bad actors will immediately exploit it for illegal gain. Keith Nuthall explores the benefits and risks.
Online Published Date:  14 July 2023

Sharper, louder - insider calls

Time was when whistleblowing laws were a novelty. No longer - they are increasingly commonplace in developed economy jurisdictions and offer a widening range of protections.Sara Lewis reports from Brussels; Poorna Rodrigo is in Leicester, UK; Keith Nuthall, in Ottawa; and Kathryn Wortley, in Tokyo.
Online Published Date:  14 July 2023

How does the proposed EU Anti-Corruption Directive compare to the US and UK gold standard?

The European Commission has stepped up its efforts against financial crime with a draft directive to harmonise criminal laws on an expanded set of corruption offences across the bloc. Anneka Randhawa and Darryl Lew of White & Case compare the proposals with the existing United States and United Kingdom regimes.
Online Published Date:  18 July 2023

When is 'green' a red flag? Identifying eco-fraud and supply chain risks

Risks that businesses and individuals face from eco-fraud are complex and materially different to those arising from conventional frauds. Dan Hyde of Peters & Peters discusses the breadth of exposure as well as approaches to combating a range of threats.
Online Published Date:  18 July 2023

New report explores handling of fraud risks from B2B relationships

A new benchmarking study finds that most professionals involved in screening and onboarding business customers and vendors are not confident their processes are effective, writes Esther Martin.
Online Published Date:  18 July 2023

Ropey relics and specious speculation - fraud through the ages

As long as humankind have walked the earth, so have cunning opportunists. Keith Oliver and Caroline Timoney of Peters & Peters lead a whistlestop tour through the nefarious history of fraud - and it is striking that many notorious scams of the past have their counterparts today.
Online Published Date:  18 July 2023

EU currents - Qatargate fallout pushes anti-graft reforms at European Parliament

The Qatargate scandal continues to encourage the European Parliament and other European Union (EU) institutions to tighten protections against graft and inappropriate influence, especially from non-EU governments. Its key suspect, Greek MEP Eva Kaili, has been under house arrest since May and has (as of July) yet to revisit the parliament, where she remains a full member.
Online Published Date:  27 July 2023

More than equal - female financial criminals

White collar crime has long been viewed as a male pursuit, with women only occasional, usually bit part players, but thorough interrogation of the US federal convictions for embezzlement finds that notion to be wrong in fact. Keith Nuthallexamines a bias in need of correction.
Online Published Date:  17 September 2023

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