Fraud and Scams – be on your guard

I hadn’t realised just how many types of scam were out there until I was discussing it with our Nat West Relationship Director Mike Harrison, take a look at these links

It is an absolutely incredible list.

So what should you do?

As a business you should have a Fraud Policy that covers:

  • allocation of responsibilities for the overall management of fraud
  • the formal procedures which staff should follow if a fraud is discovered
  • any staff training necessary for the prevention and detection of fraud
  • creation of an awareness amongst staff that response plans have been devised, to deal with and minimise the damage caused by any fraudulent attack.

Alongside such fraud policy statements staff should be given clear guidance on the acceptance of gifts and hospitality and should also be clear on how to handle conflicts of interests.

An organisation’s Fraud Awareness Policy should be a short, precise document that can be understood and acted on by the appropriate personnel within the organisation. In broad terms, and in addition to the points noted above, the plan may also cover the following:

  • a general review of robustness of existing systems, procedures and controls in preventing fraud
  • a means for regular testing of such controls
  • the identification of assets (including corporate information and plans) most at risk
  • an appraisal of the threat of fraud on those assets and how it might manifest itself
  • the means of damage limitation and recovery of funds if fraud occurs
  • an unequivocal statement that all fraud offenders will be prosecuted
  • the steps to be taken in the event a fraud occurs and who is responsible for taking action including:
    • assigning responsibility for an instant response to the occurrence
    • recovering funds
    • dealing with the media
    • preserving evidence and reporting to the police