ABSTRACT
For the public sector, pay and pensions has been an area where in the past there have been some spectacular frauds. There has continued to be widespread small-scale fraud around overtime and allowances. One area where frauds can be individual or are just as likely to be a conspiracy among a group of employees in the public sector is around overtime and other allowances paid through the payroll. It is perhaps inevitable that overtime and allowances frauds can occur in an organisation that is scattered around so many parts of both the UK and overseas. Away from developed western economies, payroll fraud has been a significant problem in developing countries and countries where the local or central government regime is inherently corrupt. It is also a major problem with pension fraud, usually where relatives attempt to keep a pension going despite the death of the recipient.
