Fraud? The boss probably did it.

Most cases of fraud come from the top.

Analysis of the levels of fraud among UK businesses show that although the value of fraud cases dropped significantly in the first half of 2012, most cases are still committed by management

According to figures from KPMG, fraud figures fell from £1.1bn in the first half of 2011 to just £374m in the same period this year. However, most cases tend to come from within organisations, with 55 per cent of the total perpetrated by finance directors, chief executives and other senior managers. Only 6 per cent of cases came from employees.

The large drop in the levels of fraud was attributed to fewer “super fraud” cases.

Hitesh Patel, UK forensic partner at KPMG, said, "The extent and impact of fraud perpetrated from within businesses has historically been masked by a handful of exceptionally large cases coming to court, but the fall in such "super" cases now shines a spotlight on the chronic and pernicious threat to businesses in these austere times."

One case highlighted by the research involved a former head of counter-fraud operations at a bank, who committed procurement fraud worth £2.4m for personal benefit.

"The value lost through management fraud shows graphically that businesses need to ensure controls are more than simply trust where senior members of staff are concerned; an effective anti-fraud regime applies to all, not just to more junior staff."

This article first appeared in Economia

Photograph: Getty Images

Helen Roxburgh is the online editor of Economia

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Labour MP Sarah Champion resigns over grooming gang piece in The Sun

The shadow equalities minister is standing down after her controversial article sparked accusations of racism.

Sarah Champion has resigned as shadow equalities minister over her incendiary article about grooming gangs in The Sun.

The Labour MP for Rotherham caused controversy by writing a piece about the Newcastle paedophile ring, which the tabloid headlined: "British Pakistanis ARE raping white girls... and we need to face up to it".

This sparked accusations of racism, including from figures in her own party. Naz Shah, the Labour MP for Bradford West, wrote in the Independent“Such an incendiary headline and article is not only irresponsible but is also setting a very dangerous precedent and must be challenged.”

Champion initially tried to distance herself from how the article was framed, claiming that the opening paragraphs were edited and "stripped of nuance". The paper, however, said her team approved the piece and were "thrilled" with it.

In her resignation statement, Champion apologised for causing offence: “I apologise for the offence caused by the extremely poor choice of words in the Sun article on Friday. I am concerned that my continued position in the shadow cabinet would distract from the crucial issues around child protection which I have campaigned on my entire political career.”

“It is therefore with regret that I tender my resignation as shadow secretary of state for women and equalities.”

In a comment decrying The Sun's general Islamophobia-inciting coverage, the Labour leader Jeremy Corbyn warned against "attempts to brand communities or ethnic or religious groups, wittingly or unwittingly".

Anoosh Chakelian is senior writer at the New Statesman.