There have been many instances of assets being transferred to subsidiaries, fake transactions to inflate sales and bullying of independent directors, said Securities and Exchange Board of India (Sebi) whole time member S K Mohanty while adding that the regulator is constantly updating itself in terms of technology and surveillance.
Although there are multiple priorities for independent directors, there is a need for them to push senior management to understand the latest developments in the technologies/tools that can help organisations enhance their anti-fraud controls framework.
The survey showed that cybercrimes (23.90%) and financial statement fraud (20.96%) are likely to be amongst the increasingly common frauds to be experienced in the near future.