In 2025, white-collar fraud will be a big issue for businesses in just about every sector. What do the stats tell us?
- Males account for 75% of cases.
- 84% of those who committed fraud had displayed at least one behavioural red flag.
- 52% had a university degree.
- Most perpetrators (85%) had not been previously disciplined for fraud.
- About 41% of white-collar criminals were aged 25-39 (2023 stats).
- 26% of cases were because of collusion between internal and external parties.
- Of those committed by external parties, 31% were committed by hackers; 29% by customers, and 28% by crime groups.
- The median loss is higher dependant on the time worked at an organisation, with the highest losses occurring after a tenure of ten years.
- Over half of fraud cases occur in operations, accounting, sales, customer service, and executive-senior management.
- About 39% of fraud offenders were living beyond their means, and 27% were experiencing financial difficulties when caught.
In many cases, greater vigilance, smart technology, and updated processes and measures can avoid the devastating reputational and financial loss of fraud occurring. With fraud expected to grow in 2025 as employees grapple with the rising cost of living, a need for instant gratification and sheer greed and opportunism, a pressing need for a review of processes becomes apparent.
Mubesko Africa is a consulting practice which offers financial accounting and management support, asset accounting and forensic examination services.
Nico de Kock
MD Mubesko Africa
nico@mubesko.co.za
mubesko.co.za
https://mubesko.co.za/services?tab=forensic-examination