“Scams and corporate scams are on the rise”

Scams and corporate scams are on the rise. 51% of companies have had to deal with it within the last 2 years. 66% indicate that there is an increase in fraud. Much media attention is paid to the emergence of cybercrime, but the vast majority of forms of fraud and deception take place in the traditional way. With number 1: own employees who embezzle money or products or make false statements.

This emerges from a survey conducted by Allianz Trade Benelux among Dutch and Belgian companies. To combat rising fraud more effectively with companies, the credit insurance company has recently been linked to the renewed platform Fraude.nl in collaboration with fraud and security expert Hoffmann and the law firm Lexence.

Own employees
Most fraud is committed by our own employees (internal fraud). Examples of common scams and scams from own employees:

  • steal products, ‘borrow’ money from the cash register or give discounts to friends and family;
  • sell or provide confidential business information to a competitor;
  • dealing with non-existent suppliers and creating false invoices for them;
  • transfer money to your own bank account without permission;
  • submit incorrect expense or time statements.

External fraud
In case of fraud and fraud from the outside (external fraud), invoice fraud is a frontrunner. More than half (53%) of companies have had to deal with this within the last 3 years. In case of invoice fraud, companies receive fake invoices that are apparently sent on behalf of well-known customers or organizations. Ghost invoices can hardly be distinguished from real invoices. Often, only the bank account number (and name) is different. Ghost invoices often involve relatively small amounts. The scammer hopes that the ghost invoice will be treated ‘blindly’ in the daily bustle of the administration department.

Research design
200 Dutch and Belgian companies participated in this research. 62% of respondents have general or financial responsibility (CEOs and CFOs). The participating companies represent a wide range of sectors, such as construction and installation (21%), agri / food (21%), metal (17%), chemicals (5%), transport & logistics (5%) and business services. (2%). 46% of the respondents work for an organization with a turnover of between 10 and 50 million euros.

buyer fraud
What also often happens in external fraud is so-called ‘buyer fraud’ (also called fake buyer fraud). 41% of the companies that participated in the survey report this type of fraud, after invoice fraud, as the most common type of external fraud. Buyer scams can have different faces. For example, goods are ordered on behalf of a regular customer in the company, but a different delivery address is specified. Buyer fraud is also when the buyer claims that he has not received an order while the item is in fact delivered. A separate category of external fraud is so-called purchase or advertising fraud, where ads are sold that are not or hardly ‘delivered’.

When asked whether they have actually fallen victim to some form of fraud, just over half answer yes (51%). In 48% of the cases, damages of up to 50,000 euros were involved. 10% had a loss of between 200,000 and 500,000 euros. And 1% even more than 5 million.

With this website, the 3 parties want to offer companies and entrepreneurs an informative platform for fraud issues. But also a place where they can go if they need (immediate) help. Each challenge is unique, no two situations are alike. Sometimes a case requires the addition of a digital detective or a financial investigator. Another situation may require glasses by a psychologist or lawyer. And to prevent problems in the future, it may be interesting to take preventive measures or insure against fraud risks.

For more information:
Trade Alliance

Leave a Comment