This update was first published in the May 2012 UK edition of Accounting and Business magazine
The Charity Commission is calling for charities to better protect themselves against fraud and financial crime.
This is in response to the National Fraud Authority’s report (see link on left). The Annual Fraud Indicator shows that charities estimate that they lose 1.7% of their annual income to fraud, most commonly payment fraud, fraud by employees or volunteers and cyber fraud.
The commission has published its new strategy for dealing with fraud, financial crime and financial abuse.
It states that the ‘aim of the strategy is to prevent problems from occurring in the first place by alerting charities to the risks of fraud and financial crime and by providing online guidance to help them to manage these risks’.
The commission also has a toolkit to help charities manage the risk of fraud.
Glenn Collins, head of technical advisory, ACCA UK