INTHEBLACK August 2025 - Magazine - Page 24
F E AT U R E
Fraud detection:
Who’s watching?
As fraud gets smarter and more costly, responsibility for fraud detection is
being reinforced — starting with the boards and executives, and extending
to auditors and beyond. When it comes down to it, organisational culture
might be the strongest defence.
Words Marina Williams
WHEN LONG-RUNNING FRAUD IS FINALLY
uncovered, the same questions resurface: Who should
have stopped it? Were red flags missed? Was the board
asleep at the wheel? Did auditors overlook something?
The reality is that fraud detection and fraud
prevention are multilayered responsibilities, and those
tasked with monitoring (internal parties) and
investigating (external parties) say no single group
carries the blame.
“Detecting fraud is inherently challenging due
to its intentional concealment,”
24 INTHEBLACK August 2025
says Jeffrey Luckins FCPA, partner, audit and
assurance at William Buck. “Fraudulent people often
exploit weak internal controls, override processes
or collude with others, making discovery difficult.”
According to a Global Economic Crime Survey 2024
from PwC, 47 per cent of organisations worldwide
experienced fraud in the past two years, with
cybercrime, corruption and procurement fraud topping
the list.
Fraud typically involves an activity that has not been
authorised. When opportunity, pressure or incentive,
