Thursday , July 29 2021

One of five companies victims of fraud last year in Belgium, according to a study

(Belgium) One out of every five companies in Belgium faced cases of fraud in the last year. The affected companies lose an average of 150,000 euros and in 2% of the cases, the loss amounts to over one million euros, according to the study by the BDO consultant on Tuesday.

Both large and small businesses suffer from fraud. Almost 23% of them did not face in the last five years, according to BDO, which interviewed 245 active companies in 33 different sectors. One in three cases is a false invoice that, due to its simplicity, remains the most common form of fraud, due to the misappropriation of goods and cybercrime. Fifteen percent of the companies surveyed indicate that they have paid at least one in the last five years. And only in 2017, 7% were victims. The economic losses during the fraud vary between 100,000 and more than 1,000,000 of euros. In 70% of cases detected, however, the amount lost is less than the first sum. If it is fraudulent for the CEO, who sees that the bully intends to be the company's chief to give orders for payment, the losses can reach 350,000 euros. Finally, in 2% of the cases, the damages exceed one million euros, according to the study, that does not take into account the indirect costs (interruption of the activities, reputation of the company, etc.). Finally, only a business of four – and especially the big ones – has the necessary budget to fight fraud. In two out of three interviewees, the annual amount is less than 50,000 euros. (Belgian)

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