Expense Fraud Isn't Beneath Anyone
Expense fraud in itself is bad enough. It’s even worse when it’s done to a rural Canadian school district with limited funds. And it gets worse still when the perpetrator is a board superintendent of the school district, a person who holds the “highest position of trust.”
Expense FraudExpense Fraud Whopper: Nearly $190K Reportedly Went to …
A mistress! A UK worker who used his expense-fraud gains to shower his Argentine mistress with presents will now be showering with other inmates as he serves out his two-year jail sentence. Phillip Tamplin, 53, had been an employee of the British telecommunications company of BT Openreach since he was 16. The Telegraph reports over the last two and one-half years of his employment there, he submitted more than 100 false expense reports to the tune of nearly $190,000.
Anything Worse Than Expense Fraud? Well, Yes
Expense fraud is bad, but it’s not the only way or even the worst way companies can get scammed. The annual Association of Certified Fraud Examiners report revealed nearly 50 percent of small businesses eventually fall prey to some type of fraud. Each instance averages $114,000, and is usually pulled off by a trusted employee.
Expense Fraud, Expense ReportsExpense Fraud Costs Companies Millions
A little padding of the corporate expense account can add up to a lot of lost cash, as evidenced by a report from Oversight Systems. The report found companies lost nearly $14 million due to fraudulent expenses filed in 2014 – and that was a loss calculated over only a 90-day period. Do the math to estimate losses from expense fraud over the entire year, and annual losses climb to more than $50 million.
Expense Management, Expense Fraud, Expense ReportsExpense and Invoice Management Ethics 101
There are plenty of news items about corporate fraud involving supplier kickbacks and dishonest expense report schemes. Most of the examples are concerning because of the depravity, but some are rather funny.
Upper Management Accounts for Almost 30% of Reimbursement Fraud Cases
A 2014 study by the Association of Certified Fraud Examiners found that upper management accounts for close to 30% of reimbursement fraud cases. It doesn’t take a Harvard MBA to know that behaviors (good or bad) that are exhibited by top managers will eventually be modeled by employees. Couple poor behaviors by executives with lax expense reporting procedures and you have a recipe for systemic expense fraud in your organization. Whether you’re currently dealing with this situation or seeking preventative expense controls, you can take steps now that will help crush expense report fraud in 2015.
5% of Employees Account for Most Corporate T&E Fraud
Many companies have employees who regularly travel for business. Top execs may need to be on-site to manage multiple offices, specialists may need to attend conferences and give workshops, and sales, customer service, and technical support reps may need to visit customers to generate sales and foster business-client relationships.
Stop Your Organization from Being Hacked
According to a recent Homeland Security Department report, checking in from your home computer leaves big companies vulnerable to hackers, who scan corporate systems looking to find the remote access software that lets employees look at the system while they are not on the job site.
Travel Managers’ Concern? A More Efficient Expense Management System
Electronic invoicing and mobile payment options are among the hottest trends in business today. Although many travel managers are familiar with these payment technologies, they don't see implementing them as a priority. Their concern lies instead with optimizing their company’s expense management system, according to a recent survey by the Global Business Travel Association (GBTA). Results of this survey also showed that expense managers were much more interested in recording or imaging receipts and collecting travel data in one single database than adding mobile payment options to their travel management mix.
5 Must-Know Tips to Prevent Corporate T&E Fraud
With employee travel and entertainment (T&E) spending accounting for up to 6% of total corporate costs and continuing to increase, it's wise for companies to monitor T&E spending. Lack of careful T&E oversight can open the door to fraud, policy violations and corporate waste. Consider the below tips to keep your corporate T&E spending in check.
