Tyrone Reid, Enterprise Reporter

More fraud is being committed in private sector organisations than in the public sector, statistics from the Fraud Squad show. However, Auditor General Adrian Strachan, who is mandated by the Consti-tution to audit the financial affairs of public entities, believes that too many cases of fraud occur within the public sector.

"We are overwhelmed with cases coming from the private sector. We are really overwhelmed. I wish I could find a stronger word (to describe it)," admits Superintendent Fitz Bailey, head of the Fraud Squad.

The senior officer recalls five recent cases, in which a total of $76 million was fleeced.

gradual increase

On the other hand, Strachan tells The Sunday Gleaner that while the number of fraud cases tends to fluctuate, there has been an increase in the number of cases over the years.

"I believe there is a fairly constant increase of fraud. When I just came into the system, the incidences of fraud were far and few in between. Now, it is much more prevalent."

Strachan suggested that the 'sticky fingers' usually went to work when they are given raw cash to handle on a regular basis.

high incidences

"In recent years, where we have come across a fairly high incidence is in the Regional Health Authorities, where again, they handle a fair amount of cash, and (also) in the school system."

While Strachan could not provide statistics on the number of fraud cases uncovered by his staff, several cases of suspected fraud are cited in his report for the year ended March 2006.

He, however, points out that while the number of fraud cases in the public sector needs to be reduced, the current trend is not frightening.

"Given the size of the public sector and the amount of resources that it handles, I wouldn't categorise it as alarming; but it is a matter of concern," he says.

tyronereid@gleanerjm.com

Private, public sector fraud cases

April 2001-March 2002

Private 189

Public 18

April 2002-March 2003

Private 129

Public 11

April 2003-March 2004

Private 129

Public 24

April 2004-March 2005

Private 110

Public 17

April 2005-March 2006

Private 148

Public 40

April 2006-March 2007

Private 120

Public 45

April 2007-September 2007

Private 130

Public 16