52% of Indian Organizations Witnessed Economic Crime in Last 2 Years

Almost 52 percent of Indian companies experienced an economic crime in the last 2 years, according to a recent PwC report.  The report titled, ‘Global Economic Crime and Fraud Survey 2022: India Insights,’ revealed that 95 percent of them suffered new types of fraud as a result of the disruption caused by Covid-19.

The research also noted that preventative efforts taken by businesses reduced such incidents from 69 percent in 2020 to 52 percent in the preceding two years. Up to 60 percent of Indian businesses with global annual revenues over $1 billion reported experiencing fraud in the previous 24 months. 37 percent of businesses with global annual revenues under $100 million reported fraud during this time.

47 percent of businesses reported customer fraud involving mortgages, credit cards, claims, and checks. Second place went to cybercrime, with 45 percent of businesses reporting such events. 34 percent of Indian businesses facing financial crime reported KYC failure.

Nearly 67 percent of Indian firms that suffered fraud stated that an external attack or coordination between external and internal sources was the cause of the most disruptive incident. In PwC’s 2020 poll, the percentage was 56 percent.

67 percent of firms identified misbehaviour risk, 16 percent legal risk, 31 percent cybercrime incidents, 19 percent insider trading, and 38 percent platform risk among the new fraud types they encountered.