I am not sure what planet KPMG are on. The FT report this morning that:
The total value of large frauds reported by UK corporates fell to £824m in 2012, its lowest level since 2004, but that may represent a temporary lull because groups continue to be hit hard by malfeasance committed by insiders, an annual survey by KMPG has found.
Hang on a minute. Have they heard of PPI, LIBOR rigging, HSBC's money laundering, and more. Or has all that been sanctified out?
This appears to be a wilful exercise in turning a blind eye to the fraud the Big 4 audited to me, but I'm sure they'd disagree.
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I’m assuming it’s only frauds AGAINST (big) businesses that are being counted, not frauds perpetuated by big businesses.
[Same league as only bankers who lose their banks money face prosecution, but bankers who lose their clients money…]
Then it is also utterly misleading
LIBOR was a fraud against big business too
I suspect that PPI wouldn’t be considered ‘fraud’.. certainly, nobody was (to my knowledge) charged with any criminal offence. You may think that someone should have been.. (and, in many instances, I would agree) but fraud is a legal term, so if PPI wasn’t covered by that law then it doesn’t count.
Further, both PPI and Libor related to things that went on several years ago. So perhaps they’d never hit 2012 number anyway. And whilst Libor was exposed in 2012.. the PPI misselling has been known about for years.
As for HSBC and the money laundering.. they were fined for not following the rules.. failing to do the appropriate paperwork is not ‘fraud’, and whatever fraudulent activity was therefore enabled is unquantified (and, probably, unquantifiable) so couldn’t be reported to/by anyone.
Excuses…excuses