The Global Economic Crime Survey, a study provided by PricewaterhouseCoopers, has provided information regarding the current trends and hotspots of economic crime. Unfortunately, South Africa suffers one of the highest rates of economic crime in the world.
Currently, the rate of economic crime in the country doubles that of the international average, even when compared to other states in Africa. This, PricewaterhouseCoopers suggests is a ‘pandemic’, and at least a third of all upper-management in a number of corporate businesses have experienced economic crime in one form or another.
While, internationally, asset misappropriation is the most common form of economic crime, other forms of crime such as cybercrime as well as bribery are also common. Many would think that corruption is the most common economic crime in South Africa, but this is not the case. HR crime is at its worst in South Africa. More than a quarter of employees’ matric certificates cannot be confirmed, while 1 in 15 employees have a falsified tertiary degree or certification. HR crimes are usually noticed when hiring new staff, but the studies suggest that a shocking number of employees in South Africa do not have the correct qualifications.
Those in the field of risk management and auditing suggest that businesses should be proactive with regards to the crimes that plague South African companies. There are many services available on the market that can help businesses prevent fraud and even HR crimes like that of forged qualifications.
Those of our clients that require our services with regards to commercial law must ensure that they have employed measures that help them prevent economic crimes within their businesses. It is important that they understand the scope and damage that economic crime inflicts on the South African economy and that they protect themselves accordingly.
If you require the services of a professional commercial law attorney, then make sure you contact Joselowitz & Andrews Attorneys as soon as possible.
Take a look at our commercial law page to see the commercial law services that we offer.