Forensic Diaries: A Forensic & Integrity Services Blog

Promoting anti-fraud awareness during Fraud Week 2019

November 20, 2019

International Fraud Awareness Week is observed every year to raise awareness and educate stakeholders on the repercussions of fraud. This year, “Fraud Week” is from 17-23 November 2019, and EY Forensic & Integrity Services along with the Association of Certified Fraud Examiners (ACFE) Mumbai Chapter are supporting the global cause. Held under the aegis of … More Promoting anti-fraud awareness during Fraud Week 2019

The transition to a technology-led approach for enhanced integrity

October 10, 2019

“Finding a needle in a haystack” seems to be apt to describe the role of a forensic investigator or compliance professional. Over time, fraud, bribery and corruption risks have turned sophisticated, perpetrators have become smarter, and data in the form of bits and bytes has become central to unearthing critical evidence, transforming the “haystack” into … More The transition to a technology-led approach for enhanced integrity

Compliance in an era of sanctions and monitorships

October 4, 2019

A sharp rise in money laundering activities, bank frauds and terrorist financing has led to an unprecedented number of sanctions levied over the past few months. Given the current regulatory environment, sanctions compliance has emerged as probably the only recourse in the struggle against financial crime. The rapid expansion of sanctions has led organizations, beyond … More Compliance in an era of sanctions and monitorships

Securing Intellectual Property Rights in the Indian film industry

August 14, 2019

The vibrancy and resilience of the Indian media and entertainment industry cannot be understated. Driven by creative content, digital proliferation and rising customer spends, the industry has received international recognition; and the film industry has been a true catalyst. According to an EY report, the Indian media and entertainment industry reached INR 1.5 trillion in … More Securing Intellectual Property Rights in the Indian film industry

Raising the security bar around ‘content’

July 19, 2019

Rapid digitization, increased connectivity, new content delivery platforms and the consumption of on-demand video content have unlocked exponential value in the media and entertainment (M&E) industry. However, it has also become vulnerable to various risks including digital fraud, cyber breaches, phishing, spoofing, information leaks (including unreleased media content and original programming), data privacy, illegal streaming, piracy … More Raising the security bar around ‘content’

Counter-attacking corporate corruption

June 12, 2019

India’s business ecosystem has evolved to be irrepressible, led by progressive reforms, robust domestic demand, and sanguine economic performance. According to the latest World Bank’s Doing Business 2019 survey, we have moved ahead to 77 in ranking among 190 countries; India is also expected to continue being “the fastest growing emerging market economy.”

Is Brexit brewing the perfect storm for fraud?

June 3, 2019

Like a perfect storm, the likelihood of fraud occurring exponentially increases in the presence of a certain set of circumstances. Geopolitical changes, such as Brexit for example, has caused much discussion, angst and uncertainty – thus creating the perfect storm for fraud. Rain, thunder and lightning are not needed but the clouds impeding the horizon … More Is Brexit brewing the perfect storm for fraud?

Inching toward GDPR’s one year mark: analysis and way forward

May 20, 2019

Data privacy and protection have seen immense interest and awareness in the last couple of years. Today, the personal data of consumers, cross border data flows, online transactions and real-time data exchange are just some areas under close scrutiny. Governments across nations have already taken steps and are trying their best to bring in regulations … More Inching toward GDPR’s one year mark: analysis and way forward

Focus on compliance and governance in the Indian IT-ITeS sector

May 2, 2019

Traditionally not deemed as a ‘regulated’ industry, the Information Technology (IT-ITeS) is now among the key ones impacted by the changing and enhanced regulatory environment. Today, the sector is grappling with laws around stricter immigration, data localization and anti-corruption, as well as data governance and privacy. In addition to ensuring compliance with new and improved … More Focus on compliance and governance in the Indian IT-ITeS sector

How to outwit cyber criminals in a rapidly changing world

April 24, 2019

The world has come a long way since the first computer viruses – Creeper, Wabbit and Elk Cloner – were unleashed on the ARPANET (forming the technical base of today’s internet) close to half a century ago. Initially self-replicating and somewhat harmless programs, these viruses and worms gradually turned complex, vicious and persistent. The internet … More How to outwit cyber criminals in a rapidly changing world

Leveraging technology to build agile third-party risk management strategies

March 20, 2019

In this day and age, many companies are building ecosystems that offer opportunities to create agile strategies, flexible operating models and minimize costs for improved competitiveness. These partnerships however, may expose the company to a host of new risks, particularly related to third parties. Many global regulators have taken note of this, putting a special … More Leveraging technology to build agile third-party risk management strategies

Emerging markets conundrum – Does growth equal risk?

March 13, 2019

Emerging market countries have seen unbridled development over the last couple of years. They’ve transformed into economic powerhouses to accelerate global growth. High investor returns, rapid industrialization, multiple international trade agreements and pacts, substantial labor pools, job opportunities and untapped resources in these markets have made them frontrunners in generating business opportunities.

Independent directors: driving integrity

March 6, 2019

Corporate scandals in Singapore over the last two years put the spotlight on integrity. Incidences of fraud and corruption have serious financial and reputational consequences. Not surprisingly, boards now see anti-fraud and corruption as corporate priorities. More importantly, beyond compliance, companies must demonstrate that they are putting integrity firmly on the boardroom agenda.

Corruption Perceptions Index 2018: Corruption leads to a global crisis of democracy

February 22, 2019

This year’s Corruption Perception Index* (CPI) analyses perceived corruption levels in relation to crisis in democracy around the world and how both are intertwined. Corruption continues to be a significant obstacle to the economic growth of countries though they may have different levels of democracy – be it autocratic nations or full democracies.

Internal auditor: Watchdog or bloodhound?

February 15, 2019

In a recent incident of fraud unearthed at a multinational banking and financial services company in India, the internal auditor was arrested on charges of conspiring with other co-accused in deliberately failing to point out certain discrepancies. The National Company Law Tribunal added names of the internal auditors (present and former) as parties to the … More Internal auditor: Watchdog or bloodhound?

Unveiling fraud reporting trends in listed companies

January 25, 2019

Global and Indian organizations have been under intense regulatory scrutiny on account of potential lapses in compliance or corporate governance, and an influx of fraud, bribery and corruption cases. Enforcement action has stepped with regulators such the US Department of Justice (DOJ) and Securities and Exchange Commission (SEC), UK’s Serious Fraud Office and Financial Services … More Unveiling fraud reporting trends in listed companies

Combating fraud risks in a competitive environment

December 27, 2018

India has witnessed a positive growth trajectory, becoming one of the fastest growing emerging economies in the world. The World Bank’s Ease of Doing Business Report 2018 also shows that the ranking is up by 30 places (100 from 130) and made it to the top 100 nations list. Additionally, the government and the regulatory … More Combating fraud risks in a competitive environment

Embed ethics into business: Int’l Anti-Corruption Day 2018

December 13, 2018

Understanding risk vectors: an emerging markets perspective

November 29, 2018

Emerging markets have experienced significant change and burgeoning development over the last five years, becoming economic powerhouses and stimulating global growth. However, changing regulations and increased enforcement are altering the risk landscape. Organizations must face these challenges head-on: while emerging markets offer immense promise and abundant opportunities, the ever-present risks of fraud, bribery and corruption … More Understanding risk vectors: an emerging markets perspective

Upholding the “principle of natural justice” in corporate India

November 22, 2018

India’s legal ecosystem has evolved steadily over the last many decades, bringing forth social, economic, criminal and commercial matters that demanded fair hearing, deliberation and result. The concept of “natural justice” or rule against bias can be deemed as one of the foundational elements of the global justice systems. The Indian constitution does not have … More Upholding the “principle of natural justice” in corporate India

Rethink your ethics strategy: Int’l Fraud Awareness Week 2018

November 13, 2018

Today, most emerging markets are battling volatility as a result of trade wars, inflation, fluctuations in currency and oil prices, fears around the stock market and geopolitical instability. Economic development continues to see an uptick but a sense of caution still prevails. The current risk scenario is almost a test of resilience for many global … More Rethink your ethics strategy: Int’l Fraud Awareness Week 2018

Evolving compliance programs and the ISO 37001 advantage

October 16, 2018

Corporate compliance has evolved considerably over the last few decades. Global regulations such as the Foreign Corrupt Practices Act and UK Bribery Act continue to lead the way, along with guidance and enhanced cross border co-operation from the US Department of Justice, the Securities and Exchange Commission and Organisation for Economic Co-operation and Development (OECD). … More Evolving compliance programs and the ISO 37001 advantage

The evolution of fraud: then and now

September 26, 2018

The global risk landscape has undergone a sea change over the last few decades. For businesses, the risks emanating from fraud can not only threaten the very existence of the organization but continue to increase in quantum and complexity. There has also been a considerable shift in the type of fraud perpetrated, from larceny and … More The evolution of fraud: then and now

Fostering a strong anti-graft regime through Prevention of Corruption (Amendment) Act

September 18, 2018

India has seen significant progress over the past few years with regulatory reforms and increased enforcement. Recent legislation include the Insolvency and Bankruptcy Code which seeks to resolve insolvencies in a strict time-bound manner, the Data (Privacy and Protection) Bill to bring strong data protection laws in India and the Fugitive Economic Offenders Act to … More Fostering a strong anti-graft regime through Prevention of Corruption (Amendment) Act

Click fraud: a bane of contention in the digital ad ecosystem

September 6, 2018

An influx of emerging technologies such as analytics, automation and artificial intelligence (including chatbots) has altered advertisers’ strategy. Digital mediums have surpassed traditional ones, forming a significant chunk of advertising budgets. As per an EY report, Reimaging India’s M&E sector, advertisers in India have shifted spends to digital, that contributes to 17% to the total … More Click fraud: a bane of contention in the digital ad ecosystem

Transforming anti-bribery frameworks with ISO 37001 standard

August 14, 2018

Most multinational corporations tend to encounter bribery and corruption risks particularly when doing business in emerging markets. However, evolving legal systems and new or amendments to regulations are being rolled out to foster greater transparency. For instance, India recently passed amendments to the Prevention of Corruption Act and the Fugitive Economic Offenders Act 2018, Vietnam’s … More Transforming anti-bribery frameworks with ISO 37001 standard

Overcoming customer due diligence challenges in financial institutions

August 1, 2018

Financial institutions across the globe are under increased regulatory scrutiny to comply with anti-money laundering and counter terrorist financing policies and procedures. In the past decade, they have witnessed significant enforcement actions and penalties for non-compliance with respect to money laundering and terrorist financing. Hence, regulations are being introduced and/or amended across regions to fight … More Overcoming customer due diligence challenges in financial institutions

In pursuit of an ethical tomorrow: EY Forensic & Integrity Services

July 25, 2018

Businesses today are operating in an era of dynamic models, digital innovation, rising regulations and enforcement. Today, the integrity of an organization has become an important driver and successful organizations should depend on their reputation for keeping promises, respecting laws and behaving ethically to maintain stakeholder trust.

Limiting the hazard of travel and expense fraud

July 17, 2018

Travel and expense fraud probably remains one of the oldest, overlooked and most pervasive types of white-collar crime. Unclear guidelines or low awareness of this fraud can impact corporates adversely, and result in billions of dollars of revenue loss each year.

Maintaining the sanctity of data in search and seizure operations

July 10, 2018

The collection, preservation and analysis of information is existential to catch fraudsters and cyber criminals. In addition to paper files, digital data present in an individual’s company computer, laptop, mobile or any other handheld device can uncover a complex matrix of fraud using digital and computer forensics. This information can subsequently be presented before the … More Maintaining the sanctity of data in search and seizure operations

Enhancing compliance still a challenge for businesses in India and Germany

June 29, 2018

Over the years, Germany and India have emerged as strong trade partners due to mutual co-operation over foreign policy matters, investments, and common values on democracy and free trade. Cross border collaboration has deepened over time and in May 2017, Germany and India signed 18 MoUs in key areas such as defence manufacturing, trade, intelligence … More Enhancing compliance still a challenge for businesses in India and Germany

Is the video game industry getting played by piracy?

June 20, 2018

The world has come a long way from the archaic arcades to today’s virtual reality video games with 3D simulators. Power packed roadshows such as CES (Las Vegas) and E3 (Los Angeles) are constantly highlighting innovations in the global video gaming industry, with new launches and technologies for multiple platforms. The value of the global … More Is the video game industry getting played by piracy?

Bolstering cross border enforcement through the US DOJ’s policy to address “piling on”

June 12, 2018

The last few years has seen a conspicuous rise in fraud and corruption cases across the globe. Governments and regulators alike have indicated that the commitment to combat growing corporate misconduct should be improved which would augur well for businesses worldwide. This further led to the introduction of numerous regulations, establishing enforcement agencies and actively … More Bolstering cross border enforcement through the US DOJ’s policy to address “piling on”

Data privacy in the age of digital transformation

May 10, 2018

We live in a world of wide-ranging surveillance. Historically, surveillance has been expensive and difficult to comprehend. However today with technology, surveillance has advanced in leaps and bounds with its tentacles surrounding every aspect of the current virtual world, wherein everything is either collected, saved, analysed or searched over the internet. While technology has streamlined … More Data privacy in the age of digital transformation

Occupational fraud continues to escalate – ACFE Report 2018

May 3, 2018

Fraud poses a tremendous risk and threat to organizations of all types and sizes, acting as a roadblock in their journey toward rapid growth. Among the various kinds of fraud that corporates face today, occupational fraud is likely the largest and most prevalent. To understand how occupational fraud is committed, detected, who commits it and … More Occupational fraud continues to escalate – ACFE Report 2018

Fraud, bribery and corruption continues to be a global threat: EY Global Fraud Survey

April 26, 2018

Increased enforcement action, changing regulations and adoption of new technologies has transformed the risk landscape, leading to increased vulnerabilities. EY’s 15th Global Fraud Survey 2018, Integrity in the spotlight – The future of compliance stated that despite rising global enforcement, fraud and corruption continue to be one of the greatest threats to businesses worldwide. While … More Fraud, bribery and corruption continues to be a global threat: EY Global Fraud Survey

Understanding competition law compliance in corporate India

April 18, 2018

A fair competition benefits everyone, including businesses, consumers and the economy as a whole. The Competition Act, 2002, protects the process of competition in an increasingly innovative and globalized economy. It aims to safeguard the interests of the consumers and ascertain freedom of trade carried on by other players in the market. This is done … More Understanding competition law compliance in corporate India

Gauging the role of Forensic Data Analytics in an era of digital transformation

March 27, 2018

The global landscape has been continuously evolving, coupled with rising geopolitical concerns, market volatility and cyber-attacks. There has also been a significant rise in enforcement, highlighted by the Foreign Corrupt Practices Act unit receiving 30 voluntary disclosures when the pilot program was in effect during the 18 months, vis-a-vis 18 cases in the previous period. … More Gauging the role of Forensic Data Analytics in an era of digital transformation

Monitoring fraud and compliance risks are key to transform the Indian auto industry

March 20, 2018

The auto industry is undergoing rapid changes, operating in an increasingly complex and dynamic global landscape. There is a heightened focus on sustainability and innovation, resulting in auto companies forging strategic partnerships with stakeholders (employees, investors, vendors, sub-contractors and peer groups) based on mutual goals.

Corruption is still a significant obstacle for growth

March 8, 2018

The annual Corruption Perceptions Index (CPI) by Transparency International (TI) ranks countries and territories by their perceived levels of corruption and scores them on a scale of 0 to 100, where 0 means highly corrupt and 100 denotes being very clean. 2017 marked its 25th anniversary, and this year’s index analyzed perceived corruption levels with … More Corruption is still a significant obstacle for growth

Addressing financial crime concerns in India’s life insurance sector

March 1, 2018

There has been an increased awareness among consumers around life insurance products in India. That said, the sector continues to rely heavily on a “push-sale” methodology, thus leading to increased financial crime vulnerabilities.

IT-ITeS sector – Evolving through fraud risks and governance challenges

February 21, 2018

The Indian information technology and technology enabled services (IT-ITeS) industry continues to benefit significantly with an uptick in private equity investments. According to a report by Venture Intelligence, private equity investments in the sector rose in 2017, accounting for 46% of the investment value and growing by 140% to $11.4 billion. Today, the IT-ITeS sector … More IT-ITeS sector – Evolving through fraud risks and governance challenges

Assessing the implication of voluntary disclosures under the FCPA Corporate Enforcement Policy

February 15, 2018

Globally, enforcement has seen an upward trend in recent times, particularly in fraud, bribery and corruption related cases. Developed markets with strict regulations and enforcement are leading the way here, endorsing cross border collaboration and the benefits of voluntary disclosures to deter penalties. Driven by the US Foreign Corrupt Practices Act (FCPA), many companies have … More Assessing the implication of voluntary disclosures under the FCPA Corporate Enforcement Policy

Advanced Forensic Data Analytics instrumental to address data protection, privacy risks

February 6, 2018

Digital transformation has been a key enabler for accelerated business growth in India Inc. However, it has also augmented risks related to data protection, data privacy and cybercrime. EY’s Global Forensic Data Analytics Survey 2018 titled ‘How can you disrupt risk in an era of digital transformation?’ has underlined that organizations should harness the power … More Advanced Forensic Data Analytics instrumental to address data protection, privacy risks

Deriving value from cyber insurance to mitigate business interruption

January 24, 2018

The recent cyber-attacks inflicted by ransomware “WannaCry” and “Petya” impacted companies worldwide and across a broad range of sectors, emphasizing the growing and ever-present cyber threat that businesses are facing.

Demystifying the implications of France’s SAPIN II for emerging markets

January 19, 2018

In a multi-jurisdictional and cross border environment, it is imperative for nations across the globe to strengthen their stance on anti-corruption by improved regulations to mitigate risks. In line with this, France enacted the amended SAPIN II law to combat bribery and corruption in mid-2017. The Act aims at boosting France’s competitiveness in matters related … More Demystifying the implications of France’s SAPIN II for emerging markets

The impact of protectionism

January 10, 2018

Over the years, globalization has liberalized trade significantly, leading to a positive effect on the world economy. While protectionism is not a new trend, it is somewhat surprising to note that most countries do not truly practice free trade – there are always restrictions to some extent in the movement of goods and services in … More The impact of protectionism

Financial goals and ethical conduct: not a trade-off

December 22, 2017

For as long as there has been business, there has been fraud. However, the level of sophistication and magnitude of fraud perpetration has evolved considerably over the last decade even as petty corruption continues to occur in less conspicuous manners. Of the many forms that fraud can take, insider and third-party threats such as management … More Financial goals and ethical conduct: not a trade-off