By Emmanuel Kola, NNN-KBC
Nairobi : Corruption, bribery and asset misappropriation are the most prevalent types of fraud perpetrated in corporate, private and public institutions in Kenya, the PriceWaterCoopers fourth biennial Economic Crime Survey 2007 has revealed.
The report indicates that 68 per cent of businesses in Kenya have experienced economic crimes in the past two years, with each company losing an average 19 million shillings (one USD = about 64 shillings) during the same period.
The audit company’s Investigations and Forensic Services officials, Jack Ward and Martin Whitehead, presented the findings of the report here Tuesday. According to the report, most Kenyans underestimate the prevalence of economic crimes.
It says most of these crimes are committed by middle-aged senior managers who are rarely dismissed or prosecuted for their criminal offences.
Presenting further findings, Whitehead proposed that corporate institutions should strive to implement ethical guidelines and risk compliance programs to control the vices.
He said most employees were motivated to commit economic crimes amid career disappointments, out of pure greed, to maintain their lifestyles or amid prospects of being fired.
Seventy-six organizations from the financial services, insurance, industrial manufacturing, transportation, public services, utilities and mining participated in the survey.