Rising fuel costs drive fraud says report

A new report warns that firms may be at a greater risk of fraud as a result of rising fuel prices.

Although pump prices have levelled off in recent months, crude oil costs are spiralling and increased demand is likely to put pressure on fuel markets later in the year.

According to fleet software solutions company cfc, this will lead to an increase in fraudulent activity. A typical example of such fraud is when company drivers, working under a pay-and-reclaim system, are sometimes tempted to claim excess fuel expenses from their employers.

These systems are open to abuse because of the volume of paperwork they accrue whilst other common scams included drivers filling up their partners’ cars on the company bill and siphoning off fuel for private use.

The report advises fleets to implement simple fuel saving and monitoring measures to combat the threats.

cfc business leader, Andy Leech, said managers should pre-empt price increases and potential fraud implications.

He explained that basic savings can be made by using fuel-efficient vehicles, directing drivers to use cheaper outlets and by watching mileage.

Mr Leech also highlighted the effective use of fuel cards and relevant software systems in reducing fraud.