New Zealand Law Society - PwC survey looks at NZ economic crime

PwC survey looks at NZ economic crime

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A survey by international accounting firm PwC of 85 New Zealand companies has found that 40% had experienced economic crime in the past 24 months.

The New Zealand section of the PwC Global Economic Crime Survey 2016 says this year's results show that the rate of reported economic crime has remained largely unchanged this century.

The companies participating in the New Zealand survey said asset misappropriation was the most common type of economic crime.

Cybercrime and procurement fraud were equal second-highest types of economic crime in New Zealand.

PwC says most New Zealand companies are still not adequately prepared for these or even understand the risks. It says only 45% of the responding organisations had a cyber-incident response plan.

The most common method of fraud detection is through a tip-off, including a formal whistleblower service, with 42% of responses.

Almost half (44%) of the incidents of serious economic crimes were perpetuated by internal parties.

Respondents were asked to provide information on the fraudsters. They stated that 44% of fraudsters in the surveyed companies were employees acting against their own organisation. Almost two-thirds (64%) were male, and 36% were aged 31 to 40, with a further 36% aged 41 to 50.