Kalpathy G. Lakshmi Vipin, a seasoned legal and compliance professional, spoke about different mechanisms companies use to route money and engage in financial crime.
Financial crimes by business entities and individuals are done in multiple ways. Regular auditors may not always be able to catch the crime due to the absence of depth in investigation or because of a conflict of interest, said Vipin. Forensic auditors are consulted to scrutinize the records with access to communication between employees as well.

Vipin also spoke on how financial crimes are committed in the stock market. Circular trading in stock markets is one such crime where the same shares are bought and sold by a single individual or broker by collaborating with other brokers, said Vipin who is currently the Global Head, Ethics and Business Integrity, at Redington Ltd.

Corporates also engage in crime using CSR mechanisms where contracts are given by the foundation of the company to vendors. She said that these vendors then supply the material at a higher cost which the company will later get back. This happens by supplying goods or providing services at a lower cost for the commercial entity of the organization, i.e. the entity that generates revenue by selling goods or services.

Financial crimes also happen in other ways where a company responsible for work raises a false invoice for work not done. Cyber crimes have increased recently due to increased availability of personal data with different institutions and companies while there is an absence of stronger laws protecting individuals.