Whistleblower's disclosures are vital in identifying incidences of fraud and protecting businesses from any potential financial and reputational repercussions. However, finance professionals are becoming increasingly reluctant to blow the whistle.
More than half (52%) of people working in the finance sector have spotted or suspected internal fraud in their workplaces, according to a survey of 1,500 finance professionals by fraud detection software company Medius. But of those who noticed illicit behaviour, 83% failed to blow the whistle.
Fear of retaliation and consequences for potentially false claims were cited as the main reasons for keeping quiet. Respondents reported seeing whistleblowers left out of important decisions (66%), moved to a different team (28%), subjected to name-calling (27%) and given the cold shoulder (26%), due to their reports. Meanwhile, 48% feel that the UK legal system does not adequately protect whistleblowers.