Corporate Fraud and Bribery Briefings

Ernst & Young has organized Corporate Fraud & Bribery Update briefings in Abu Dhabi and Dubai, attended by senior corporate officers. The briefings aimed to provide attendees with an update about new advances and issues related to corporate fraud and bribery, as well as the UK Bribery Act.

Exploring issues and trends in relation to corporate fraud in the region, Michael Adlem, Partner, Fraud Investigation & Dispute Services, Ernst & Young MENA said: “Recent activity involving the USA Foreign and Corrupt Practices Act and enforcement has led to multimillion-dollar fines on firms that are often not even based in the United States. This is helping battle graft in countries where bribery is deeply entrenched and sheds light on how some corporations pursue growth in emerging markets. The focus of investigators has shifted to proactively following corruption threads and investigations overseas and not waiting for companies to report misconduct. This has serious implications for global businesses and regional governments.”

Darren Mullins, Director, Forensic Technology & Discovery Services, Ernst & Young MENA, outlined new data analytic services used to help detect and prevent fraud.

Ernst & Young also announced the launch of a new Fraud Survey at the briefing. The study will be undertaken by Professor Martin Gill of the University of Leicester, UK, a criminologist and Director at Perpetuity Research and Consultancy International which specializes in security management, risk management, crime prevention and financial crime risk management. The survey will focus on corporate fraud across the Middle East & North Africa region and the findings will be released at the end of this year.

Professor Gill, also delivered the keynote presentations on “Understanding fraud from the fraudster’s perspective.” He shared two pieces of research that have involved interviews with fraudsters in prison in the United Kingdom. The first was designed to look at the motivations of those who have stolen at least GBP 50,000 from their employer. The findings suggested that attempts to prevent are all too easily compromised by fraudsters. The second involved a study of fraudsters in prison supplemented by three focus group discussions with fraud managers from major public and private sector companies. The report quoted fraudsters in their own words as they reflected on their offences from a prison cell.

“Ernst & Young is committed to provide the tools and techniques required to prevent fraud and investigate bribery and work with organisations to enhance local industry understanding of these issues and their implications,” concluded Adlem.