Sharp increase of reported economic crime in Singapore

The rise is consistent with global trend

PwC Global Economic Crime and Fraud Survey 2018: Singapore Edition

PwC’s Global Economic Crime and Fraud Survey is a bi-annual report which aims to provide insight into the economic crime landscape in Singapore. This year’s report highlights that fraudsters continue to use opportunities and control gaps created by rapidly changing business environment and technological sophistication. In parallel, growing fraud risk awareness among organisations coupled with enhanced risk monitoring techniques and controls are helping companies discover fraud faster and take action more effectively. 

  • Only 39% of Singapore-based organisations have specific policies addressing bribery and corruption risks, significantly lower compared to 50% of organisations globally.
  • Our survey showcases that the threat of bribery and corruption faced by Singapore based companies appears, to a large extent, to come from outside Singapore.
  • 25% of Singapore respondents indicated that in doing business abroad they had lost an opportunity to a competitor whom they believe paid a bribe and 21% were asked to pay a bribe. These figures are significantly lower (6% and 9% respectively) with respect to operations in Singapore.

  • 28% of Singapore respondents have a dedicated AML team compared to 16% at the global level.
  • Despite fewer Singapore based companies reporting economic crime incidents than global counterparts, the occurrence of money laundering incidents among those who reported fraud was significantly higher than the global average (20% vs. 9%).
  • 69% of Singapore based participants reported that, as a result of the inspections, they had major feedback, including enforced remediation to deal with findings, higher than 58% reported globally.

  • 87% of the most disruptive fraud incidents experienced by Singapore based organisations were initially detected by strong corporate controls or corporate culture, higher than global average of 78%.
  • The main detection methods are fraud risk management (23%), suspicious activity monitoring (21%) and internal tip-off (18%). In these areas, Singapore-based organisations performed better than their global peers.
  • Our survey shows that a higher proportion of Singapore respondents are considering or planning to implement various alternative/disruptive technologies and techniques to detect fraud in the next 12 months compared to the global average.

Contact us

Chan Kheng Tek
Forensics Leader, PwC Singapore
Tel: +65 9616 9820
Email

Richard Major
Financial Crime Unit, South East Asia Risk Consulting Leader, PwC Singapore
Tel: +65 9816 7240
Email

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