Against a background of two high profile Bermudian fraud cases involving more than $3 million, a forensic accounting investigator has given public service workers on the Island an insight into the extent of workplace fraud and how it can be detected.

The area of fraud was highlighted at a conference involving members of the Bermuda Public Services Union only a few weeks after former management consultant Harrison Isaac Jr. admitted stealing $1.9 million from the Government by misusing access to a New York bank account and sending money to a number of companies he had set up with an alleged accomplice.

Main conference presenter KMPG senior manager Lee Griffin gave an insight into the different areas of fraud that occur at work and also the reasons behind the deceptions and what can be done to detect such behaviour.

How widespread fraud is on the Island is unclear, as it is in other countries, but it appears to be rising globally with close to $500 million being involved in such cases brought to UK courts in the first six months of 2005 compared to around $150 million over the same period in 2004.

The Isaac case was heading for a trial this month until the 35-year-old Hamilton Parish man dramatically changed his plea to guilty a few days before a jury trial was due to start.

Isaac had abused his position of trust within the Accountant General?s office to redirect Government money for his own benefit.

And next month a trial is due to start in the case of Terrence Smith, a former Bermuda Housing Corporation property officer accused of attempting to defraud the Government quango of nearly $1.4 million in connection with charges alleging false purchase orders.

Against such a topical background the motive for fraud, opportunities to commit fraud and the rational behind it, were three focuses during the two-hour conference to BPSU members.

Mr. Griffin explained: ?We looked at what it is that makes people commit fraud and why they commit fraud, the profile of that person and tips and tricks for spotting fraud.

?An example of one type of fraud is a case in the UK where a forklift truck driver at a DIY store took a lawn mower down from a warehouse rack and replaced the empty box. He knew never to touch that particular box in order to cover up his theft.

?Then there is cash theft. A favourite trick is for an employee to invent a company and go into their employer?s computer system and put the name of the made-up company into the accounting system and then make up invoices and send them in and sign them off as being real when they arrive.?

The ill-gotten gains from fraud are often used to pay for drugs, drink, a mistress or other expenses, explained Mr. Griffin, who added that simple greed was a further and common motive, while there are others who don?t even need the money but engage in fraud simply for the intellectual challenge.

When it comes to spotting fraudsters there are often tell-tale give-aways, such as the person who does not take time off from work in case their scheme is exposed, or are always first in and last to leave at work for the same reason.

?It a bit like plate-spinning, the person has to keep the deception going to avoid being found out,? said Mr. Griffin.

A dramatic change in a person?s wealth and lifestyle can be another clue.

?The classic is someone who is living much better than the salary they are on would allow. Perhaps they turn up to work in a flash car or buy a very big house. However, there might be honest reasons for this, such as inheritance or a lottery win,? explained Mr. Griffin.

The conference heard that there are many different types of fraud. It could be the simple act of borrowing tools from a workplace without authority and not returning them.

Thelma Hart, BPSU training and research officer, said: ?We were looking at the fact that there are different types of people; those who never break the law, those that sit on the edge and some people for whom crime seems to be the main focus.

?The conference was basically to discover why does fraud happen and how do you stop it?

?Some companies look at the motive ? which could be alcohol or gambling ? and try to spot the people most likely to commit fraud and how to do something about it.?

She added: ?People who are high on the risk spectrum for committing crime have these motives, and have holes in their lives.?