/ 18 September 2006

Standard Bank rewards vigilance in detecting fraud

The vigilance of staff has helped combat almost R1-billion in fraud at the Standard Bank since 1999, one of its directors said on Monday.

Roy Ross was speaking at the company’s headquarters in Johannesburg, and congratulating the winner of R1-million in the bank’s Fraud Miles programme.

The winner, who works for the bank’s home loans department in Cape Town, was one of the 27 finalists who competed for this year’s R1-million grand prize. She was responsible for identifying a syndicate that attempted to defraud the bank of more than R23-million.

”I managed to identify discrepancies on a bank statement and payslips. I investigated further and identified them as fraudulent,” said the prize winner, Jennifer Hare.

Hare would like to buy a house, but has to first speak to her financial adviser.

”Fraud to us is a constant burning issue. Thankfully we have people like Jennifer who are vigilant,” said Ross.

”… Our staff is our first line of defence and our most important assets in dealing with fraud. It is imperative that they know and understand what constitutes fraud and deal with it,” said Ross.

Every year a Standard Bank staff member is rewarded with R1-million for their vigilance. In 2005 and 2006 bank staff reported 586 incidents valued at R168-million through the Fraud Miles campaign. The most common incidents of fraud are cheque fraud, credit card fraud and identity theft.

Standard Bank will be extending its Fraud Miles competition to its 17 African operation this year.

”Fraud mile has been an invaluable tool for us in assisting to detect, expose and prosecute unethical business practices,” said Roos.

The programme was launched in 1999 to incentivise staff to report fraud. The staff can earn miles for every incident of fraud they report. One mile is equal to R1, with staff qualifying for the R1-million draw once they have accumulated 100 fraud miles.

The number of miles earned depends on the value and type of fraud that is reported on.

The finalists appear in a game show, where they are given a key to open a box. If the key opens the box they are the winner of the game and walk away with the R1-million. — Sapa