The study also queried respondents on their vulnerability to money laundering. Only 14 percent of survey participants stated they had been impacted by this illegal activity. However, almost half the firms admitted they accept forms of payment that make them vulnerable to money laundering. Vulnerability to money laundering was highest in the financial services sector. Fifty-nine percent of respondents from this sector believe their company is affected by international money laundering, while 56 percent accept forms of payment that make them vulnerable to money laundering.
Companies are, however, taking measures to prevent fraud among employees.
The survey reveals 98 percent of respondents state it is important to screen new employees, while 88 percent actually have pre-employment screening procedures already in place. However, only 50 percent of respondents say they ran background checks on new suppliers and contractors. Other survey findings support the fact that companies should have procedures in place to prevent fraud. However, he said that many companies have not taken a hard enough look at their security arrangements and are thus vulnerable. The KPMG survey polled chief executives of Canada's top 1,000 public and private companies as ranked by the Financial Post newspaper.