Recovery and debt management processes
These are processes that identify and recover debts owed by staff, customers and third parties.
Why this countermeasure matters
A lack of recovery and debt management processes may lead to:
- not being able to identify or recover debts
- individuals being less deterred from committing fraud
- increasing levels of fraud over time
- repeated or endemic non-compliance or criminals reoffending
- improper debts being raised.
How you might apply this countermeasure
Some ways to implement this countermeasure include:
- procedures to immediately retrieve incorrect or fraudulent payments with the help of the Reserve Bank of Australia or financial institutions
- recording and recovering debts arising from non-compliance
- recording and recovering staff overpayments
- obtaining refunds from suppliers if contract obligations are not met
- working with the multi-agency Criminal Assets Confiscation Taskforce
- recovering the proceeds of fraud under the Proceeds of Crime Act 2002
- requiring vendors to provide a rebate if contract obligations are not delivered or fraud occurs
- including clawback (recovery) clauses in contracts and agreements
- using the Criminal Assets Confiscation Taskforce.
How to check if your countermeasures are effective
To measure the effectiveness of this type of countermeasure:
- confirm legislation/policy exists to support the recovery of stolen funds or fraudulent payments
- confirm processes/systems are in place to support the recovery of stolen funds or fraudulent payments
- review debt recovery processes to see if they conform to national guidelines and frameworks
- review data on debt recovery
- confirm statistics on debt recovery are reported on
- determine the timeframes for recovering stolen funds or fraudulent payments
- consider if delays would reduce the ability to recover all the money.
This type of countermeasure is supported by: