Procurement Fraud
"JW Marriott Kuala Lumpur" Malaysia,,
29 November – 1 December 2011
The procurement function is the one area in any organization that is most vulnerable to the risks of fraud, collusion, corruption and conflicts of interest. Apart from the financial implications of integrity failures which can be severe, the fallout from a reputational perspective can be disastrous.
The occurrence of procurement integrity breaches cannot be accurately predicted. Too often organizations go into crisis mode when their procurement integrity has been compromised. Organizations should expect the unexpected and have an incident response plan in place.
To mitigate procurement integrity risks, existing controls, thresholds and procedures should be assessed, tested regularly and improved upon if they are found to be lacking. Although it is not always possible to eradicate these risks, you can monitor them more closely to prevent or detect integrity failures early on. It has been shown that during an economic downtown, the integrity of the procurement process comes under increasing threat. .
Prevention is always better than cure, and managing the risk and consequences of such failures is usually embarrassing to say the least.
Subjects covered will include:
- How will procurement fraud manifest itself within your organization? This is demonstrated using real life case studies
- How to detect procurement fraud within a commercial environment
- Why is it a risk to your organization?
- How to identify red flag events
- How to mitigate this risk
- How to investigate procurement fraud. What are you looking for andwhat do you need?
- What instruments are available to assist you?
- What techniques can your company use to protect itself?
For full agenda, please email us your detailed contact information to enquiry@neo-edge.com
Paul Guile, procurement fraud expert with over 20 years experience of carrying out complex criminal and civil investigations
- Founding Managing Director, Corporate Vigilance
- advisor to the UK Government Cabinet Office on Procurement Fraud.
- Honorary Associations, Teesside University Centre for Fraud and Financial Crime
- Membership, Transparency International
Paul Guile is an experienced procurement fraud practitioner with more than 20 years of experience in carrying out criminal and civil investigations which have covered both the UK and overseas. His experience comprises both the police service (UK and overseas) and he has occupied senior management positions in private commercial organizations. He formerly led the fraud department for Metronetrail in London which later became part of London Underground.
Notable achievements in Paul’s career amongst other are:
- Led a high value 3 year procurement fraud/ bribery and corruption investigation that involved a senior manager and a complex contract structure. Managing hundreds of exhibits and resulted in multiple arrests and the execution of several search warrants nationally.
- Led a procurement fraud enquiry which disrupted a large procurement fraud network within a prominent European organisation.This led to the removal of a large number of suppliers and the prevention of significant further procurement fraud financial losses. He implemented new procurement fraud controls as a result of this enquiry.
- Led a team that removed a senior executive from post after identifying serious conflicts of interest and procurement fraud violations.
- Investigated and initiated a high value recovery following a large procurement fraud investigation. This involved cross party working in international jurisdictions with multiple law enforcement agencies.
- Senior executives / CEO
- Company policy / decision makers
- Chief Procurement Officers, Procurement staff / managers
- Contract managers
- Risk managers
- Legal/compliance executives
- Finance managers
- Project managers/ anyone involved in project scoping
- Internal auditors / compliance officers
- Buyers
- Fraud investigators and managers
- Loss prevention officers/managers
- Research and Development managers
- Public Private Finance Initiative facilitators
“They say this about every kind of fraud that affects a company? Whether it’s procurement fraud, credit fraud, social engineering, expense account fraud, or Ted from accounting stealing pencils. It seems pretty universal that no company ever wants to look like it is a victim to anything, or falls for anything.“
Every organization whether large or small has to deal in products or services as part of their business process. This requires them to carry out some form of procurement activity. This activity is often high value spend and therefore, a natural target for fraudsters. Historically, procurement fraud in consumer markets organizations has not been as proactively or successfully managed as it can be today.
Often regarded as an issue not easily identified or prevented, many organisations were more likely to regard procurement fraud as an unavoidable cost that (they hoped) had minimal impact on the bottom line. However, according to a survey of 959 Certified Fraud Examiners on Occupational Fraud & Abuse conducted by the Association of Certified Fraud Examiners (ACFE),organizations are losing nearly 7 percent of their annual revenues to fraud each year.
Fraud within the procurement life cycle is high risk as it will often become embedded in the company; therefore organizations may suffer recurring losses. Procurement fraud also requires some form of insider collaboration which puts your organization at risk. This means that the fraudsters may know your company processes and confidential inside information. Often procurement fraud gets overlooked as organizations are not sure what to look for. There is plenty of published guidance on how to prevent procurement fraud yet it continues to occur.
This course provides training using practically gained commercial procurement fraud experience and is supported by academic research.
- a.USD 3195 per delegate (NORMAL)
- b.USD 2795 per delegate (EARLY BIRD || register and pay by 30 September 2011)
Daniel Lau
Sponsorship & Exhibition Manager
Tel: +65 6557 9169
Main: +65 6557 9166
Fax: +65 6223 5186
Email: daniel.lau@neo-edge.com
Recent happenings
- South African Ministry Finds 3 Billion Rand in Tender FraudSouth Africa’s Department of Public Works will bring criminal charges against officials after finding that the ministry “improperly” awarded more than 3 billion rand ($390 million) of contracts, Minister Gwen Mahlangu-Nkabinde said. (Source – Bloomberg)
- Home Minister faces fraud claims on e-ID plan A consortium of firms have reported Home Minister Gamawan Fauzi to the Jakarta Police for allegedly abusing his authority when awarding contracts for the government’s national electronic identity card (e-ID) program.An attorney for the companies, Handika Honggowongso, said on Tuesday the ministry’s tender committee accepted an appeal letterand a bank guarantee worth Rp 50 million from the firms, without disclosing that state printing company PNRI had already been awarded the contract. (Source – The Jakarta Post)
- Workers award selves tenderPOLICE have been asked to investigate the Victorian government’s IT agency after an audit revealed public servants awarded themselves a contract that led to work worth $1.5 million.Fairfax believes the Baillieu government has called in the police, sacked six contractors and staff, and ordered an organisation-wide review of CenITex, the body charged with centralising public sector technology services. (Source – The Sydney Morning Herald)
- SLA hit by $12m fraud involving two senior staff SINGAPORE : The Singapore Land Authority (SLA) has been hit by a S$12 million fraud case involving two of its senior staff. The SLA, a statutory board under the Law Ministry, uncovered the fraud in June this year.Investigations showed that a number of irregular payments in its Technology and Infrastructure Department took place between January 2008 and March 2010, worth nearly S$12 million. (Source – channelnewsasia.com)
- Tamimi Global to Pay $13 Million to Settle U.S. Charges of KBR Kickbacks Tamimi Global Co. will pay $13 million to settle U.S. criminal and civil allegations it paid kickbacks to a KBR Inc. (KBR) employee andimproper gratuities to a U.S. Army sergeant, the U.S. Justice Department said.Tamimi Global, a Dhahran-based unit of the Saudi Arabian construction and manufacturing Tamimi Group conglomerate, gave kickbacks to get Army logistical support subcontracts from Houston-based KBR for work in Iraq and Afghanistan, according to the U.S., and improperly gave the gratuities to Sergeant Ray Chase in Kuwait, the U.S. said. (Source – Bloomberg)
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This event will be held at JW Marriott Kuala Lumpur, Malaysia, 29 November – 1 December 2011.
We recommend our delegates to book the hotel rooms early as there are only limited rooms available at Corporate Rate. Kindly contact the following for reservation.
JW Marriott Hotel Kuala Lumpur
183 Jalan Bukit Bintang
Kuala Lumpur, 55100 Malaysia
Contact : Fion Nah,
DID: +603 2719 8120
MOBILE: +6012 911 3221
FAX: +603 2715 7012
Email: fionah@ytlhotels.com.my
Website: http://www.marriott.com/hotels/travel/kuldt-jw-marriott-hotel-kuala-lumpur/
Please quote “Procurement Fraud 2011” to enjoy Corporate Rate
Please enter the following information for each delegate. All fields marked with an asterisk are required. Upon receiving your submission, we will contact you within one working day to confirm your participation.
Event Name: Procurement Fraud
Venue: JW Marriott Kuala Lumpur Malaysia
Dates: 29 November – 1 December 2011