If there was ever any doubt that Expense Management issues are still capable of making headline news (over 4 years after the MP’s Expenses Scandal in the UK), then a report in last Fridays Financial Times makes sobering reading.
The Financial Times is reporting that former employees of Tradition (the interdealer broker) are being investigated by City of London police for allegedly submitting fraudulent expenses.
While the details make rather unsavoury reading, 2 broad areas of expense management breach have been alleged:
While the full facts are yet to emerge (and its important to remember that this is only an investigation), we are reminded once again of the importance of organisations having robust Expense Management Software in place and clear policies and procedures relating to acceptable expenditure by their employees.
In addition to the procedural, financial and governance issues resulting from inappropriate expense claims, the 2010 UK Bribery Act places significant obligations on Company Directors to ensure that any expenditure (be it sanctioned or not) is compliant with the requirements of the Act.