A recent survey shows that Australia is turning into a hotbed for economic crime. Researchers have found that 1-in-10 Australian organisations reported losses of over $1 million. There are reports of increased in local economic crimes in the country.
PricewaterhouseCooper’s (PWC) 2016’s Global Economic Crime Survey showed that money laundering incidents have increased drastically this year in comparison to the last two years. PCW found that 52 percent companies had experienced economic crime in the last two years. On the contrary, the global average is 36 percent.
There are 26 percent money laundering cases in the country in contrast to the global average of 11%. The rest of Asia Pacific only has 9 percent money laundering cases reported, as stated by Business Insider Australia.
Australia was warned for its deteriorating position on the International corruption index as during the last four years it had toppled down to 13th position from the sixth position.
According to ABC, in last 2 years, there is also an increase in cyber crimes in the country. Sixty-five percent of Australian organisations have experienced cybercrime during the past 24 months’ period.
Malcolm Shackell, PWC’s partner and forensic services leader, commented, “The types of economic crime most commonly experienced remains consistent with previous years, but we are dealing with an increasingly complex economic crime environment driven by cyber threats.”
Malcolm Shackell observed, “I think it’s fair to say we’re a legitimate economic crime hotspot — it’s not a good picture. The high rate of economic crime exposed in part reflects our serious approach to reporting but given we are lagging on early detection mechanisms, it reflects our reliance on doing what we have always done.”
The increase in cyber crime is mostly because less than half of the Australian organisations don’t have a fully operational response plan to cyber-crime cases. Consequently, a cyber crime might be going on undetected, the survey findings showed.
Besides, the survey indicates that eighty percent of the respondents have identified a surge in their perception of cyber-crime. Moreover, six in 10 respondents expected to experience cyber-crime in the coming two years.