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Some Criminal Justice Implications of a Survey of Fraud Against Large Companies

NCJ Number
115096
Journal
Home Office Research and Planning Unit Research Bulletin Issue: 21 Dated: (1986) Pages: 14-17
Author(s)
M Levi
Date Published
1986
Length
4 pages
Annotation
The author describes his studies of fraud in large companies, examining the nature of fraud and the reasons it often goes unreported, how companies believe fraud offenses should be handled, and preventive measures.
Abstract
The paper discusses the seriousness of commerical fraud, noting that commerical frauds recorded in London increased from 36 million pounds in 1970 to 867 pounds in 1984. Contrary to popular opinion, surveys show that the general public regards many frauds against companies and comsumers very seriously. Moreover, senior executives treat fraud seriously, but in a discriminating manner. Three-quarters of frauds reported in the surveys were committed by insiders. There was no relationship between the seriousness of a fraud and the likelihood of reporting. An overview of criminal justice policies covers police personnel allocated to fraud investigation and their training, attitudes of corporate executives toward police investigations, prosecution of fraud, and sentences for convicted offenders. Recommended preventive measures include hiring reliable staff and implementing systems that monitor lifestyles and attitudes of all employees. 11 references.