Global profiles of the fraudster

Business environment today is complex, and so is the fraud landscape. Fraudsters have become more digital and sophisticated, putting organisations under pressure to strengthen their detection capabilities beyond conventional controls. Typically, a fraudster is not someone outside your gates, it is, rather, someone within your trust circle. According to KPMG in India’s Global Profiles of the Fraudster, a typical fraudster is a male and has served his/her organisation for more than six years. So, the question that remains at the forefront is-who is the enemy within and what are his/her methods?

To understand and uncover the profile of the fraudster, KPMG in India conducted a wide-ranging global survey, revealing insights from 669 real-world cases. The survey throws light on the nature of frauds and fraudsters, system vulnerabilities and cyber frauds. Both India and global editions of the report suggest that weak controls are the prime reason for frauds.

Through this survey, we intend to assist organisations to prevent, detect and respond to fraud, making it more difficult to commit. This will enable our clients to understand the complex field of fraud and how it is likely to change in the future.

Global profile of the fraudster and the India version provides glimpses of who does frauds and how do they happen. It is critical for all organisations and regulators to understand the motivations of fraudsters, the reasons leading to frauds, and how the same can be identified.

Suveer Khanna

Partner and Head, Forensic Services

KPMG in India

Key highlights of the report include:

Who are the fraudsters?

The report profiles fraudsters based on demographics, tenure, role within the organisation, and behavioural red flags. It reveals that most fraudsters are long-serving employees in positions of trust, often with access to critical systems and data.
What methods do they use?

Fraudsters commonly exploit gaps in internal controls, override processes, and collaborate with external parties. The report details various fraud schemes, including asset misappropriation, falsified documentation, bribery and corruption and many more.
How can organisations protect themselves?

The report offers actionable recommendations for strengthening internal controls, enhancing employee awareness, leveraging data analytics, and fostering a culture of integrity. It also highlights the importance of continuous monitoring and timely response mechanisms.

Through this survey, KPMG in India aims to support organisations, governments, and society at large in combating fraud. We hope this will foster discussions around nature of fraudsters, and will help organisations, government and society, at large, to combat frauds.

This report is a must-read for business leaders, compliance professionals, risk managers, and anyone involved in corporate governance.

Download your copy today and take the first step toward building a fraud-resilient organisation.