MITIGATING AND MANAGING CORPORATE FRAUD IN THE ASIA PACIFIC REGION
RC: In your opinion, how is the issue of fraud perceived in the Asia-Pacific region? How does this risk compare in an international context?
Fordham: The countries in Asia-Pacific are on a journey to improved corporate governance and intolerance of unethical practices. Fraud, bribery and corruption are reported in the newspaper every day and people have begun to feel that it is all around them. This is driving a change in attitudes and this change is evidenced by the growth in demand for fraudservices.
Lai: Compared to the international context, Asia-Pacific has in the past been perceived to be a riskier place to do business than some other parts of the world and this perception has been attributed to the differing levels of transparency and governance across the Asia-Pacific region at that time. However in the last decade, we have seen a sea change in attitudes towards transparency and governance, as well as ever-increasing local regulation and enforcement.
Vignal: There has been an overall dilution of the taboo surrounding the subject of fraud, especially in countries such as Japan and Korea. In China specifically, official communication around the anti-corruption campaign and frugality rules have made it a lot easier to engage in discussions around fraud, bribery and corruption at multinational businesses that interact with government officials, even in purely commercial transactions.
Jan-Mar 2016 Issue