Charities get help on protecting against fraud
The Charity Commission has published a set of resources and advice to help trustees and staff protect their organisations against fraud after finding over £3.5million has been stolen thus far during the pandemic. The resources include updating and promoting counter-fraud policies; strengthening financial controls and encouraging those involved with charities to challenge “unusual activity and behaviour”.
The Commission has revealed it received 645 reports of fraud and cybercrime between March and September this year, emphasising that the “true scale” of fraud would likely be far higher due to under-reported incidents. A major concern has been the emergence of fake charities, set up to attract donations.
The Commission believes the sector’s tendency “to place goodwill and trust in individuals” make charities particularly susceptible, with shorter sign-off procedures, introduced during lockdown, making them increasingly vulnerable.