E-invoice fraud is on the rise, should we return to paper?

E-invoice fraud is on the rise, should we return to paper?

This story was originally published by Elesha Bentley from Cloud Trade. You can read the full story here

Recently the BBC reported a sharp rise in cases of fraud involving bogus electronic invoices. Sent by fraudsters posing as company suppliers, these invoices often appear as normal text or spreadsheet files making them difficult to identify.

The original report from Financial Fraud Action UK exposed the growing trend, warning that when opened the invoices contain malicious software which can log financial information and be used to steal funds. At the end of last year there were a number of reports highlighting losses suffered by companies, with one Norfolk based company being cheated out of £350K.

Stories like this can make companies uneasy about transferring yet another business process over to the digital space. Especially when it appears several con-artists are seated in front of laptops, tools at the ready to fleece your accounts for every penny.

So is this is a sign that companies should return to paper? Should from now one everyone reject all emails containing the word ‘payment’? Or should we pay more attention to reality?

Read the full story here

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1 Comment

  1. I would say regulation is needed for invoice registry in UK. In Turkey, the Revenue Administration ensures central data flow with added receiver/sender financial seals evidential in court in xml format. On the financing side, 1) we (eFinans) deliver safekeeping and authenticity for financial institutions with our direct access to the RA system. Being a bank subsidiary ensures flying colors through all security procedure of FIs and further zero problems when clean interbank credit risk lines are concerned. Legally loan extension is reserved to banks in Turkey. 2) a central invoice regisrty system has been implemented by the credit records bureau which communicates with the Revenue Administration central system to check for authenticity and payment approval. This will later be supported by electronic pledge regulation.
    I suppose state intervention is not bad after all.