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In fact, research shows that invoice payment fraud rose 137.5% in 2023.
This all makes it easier for fraudulent activity to go unnoticed.
The offence will require organizations to implement or enhance existing fraud prevention procedures.
The specific details of these procedures are currently being draw up by Government.
Director of Financial Automation at Quadient.
Invoice fraud is particularly common as AP professionals often struggle to tell a fraudulent invoice from a real one.
However, if done manually by AP departments, this can take up copious amounts of time.
Another common bang out of invoice fraud is duplicate payments.
Fraudsters can exploit these vulnerabilities by submitting multiple invoices for the same transaction.
This can include reducing financial waste, enhancing budget accuracy, and improving overall financial management and accountability.
For organizations that deal with hundreds of invoices daily, invoice fraud is extremely difficult to spot manually.
Automated AP systems can cross-verify invoices against purchase orders and delivery receipts.
This removes the opportunity for fraudsters to submit multiple invoices or foremployeesto accidently pay twice.
These anomalies can include, duplicate payments, changes to payment details, or even new vendor information.
Over time, theseAI toolscontinuously learn from new data, improving their accuracy in detecting fraud.
In the current economic climate, organizations simply cant afford to be found guilty under this offence.
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