Fraud, corruption still pose a formidable risk to businesses: EY Survey

Fraud and corruption still pose a formidable risk to businesses, said the EY Global Fraud Survey 2018.

As per the survey report released on Wednesday, 40 per cent of "India respondents" indicated widespread bribery and corruption in business.

"There is increasing justification of unethical behaviour at the workplace as well as gaps in integrity - 1 in 5 respondents in India said that offering cash payments can be justified, and 1 in 6 said bribery is commonly used to win contracts," the report said.

"However, India respondents also said that some of the key advantages of demonstrating integrity is successful business performance (80 per cent) and positive customer perception (78 per cent). This shows inconsistency between organisational intent and actual performance of employees."

According to Arpinder Singh, Partner and Head -- India and Emerging Markets, Fraud Investigation and Dispute Services, EY, macroeconomic developments, market pressures, new regulations, enforcement and digital disruption have led to a shift in India's risk landscape.

"Fraud, bribery and corruption continue to escalate, turning exceedingly complex and ingrained within businesses," Singh said.

"In such trying times, management needs to boost the integrity agenda, redefine compliance programmes and adopt a technology-centric approach driven by data analytics to minimise ethical lapses, business losses and reputational damage."

--IANS

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