Almost three in 10 (28%) regulated firms in the financial services, legal and property sectors believe that analysing hard copies of documents is the most reliable method for identifying fraud, new research has found.

The findings from anti-money laundering specialist, SmartSearch, also found that 28% of respondents were not aware of digital verification methods.

The research, based on a survey of 500 regulated UK business, follows a recent spike in fraudulent documents as criminals attempt to obscure their identity. SmartSearch’s findings also showed that almost half (48%) of respondents had reported a rise in financial crime attempts in the past 12 months.

“Criminals are laundering millions of pounds in the UK, and they are using the most sophisticated methods possible to attempt to deceive,” said SmartSearch CEO, John Dobson. “Therefore, it’s imperative that regulated businesses use all the technology available to them to fight against the growing wave of fraud.

“It takes an expert to even know the signs to look for in a fraudulent document, and those that are involved in money laundering are using state-of-the-art technology to create incredibly realistic forgeries. Unfortunately, those we surveyed that believe they can spot a fake, are sadly mistaken.

“It is encouraging that the majority polled stated they would struggle to spot a forged document, however the gaps need to be plugged. Switching to electronic verification is the smart thing to do. When it comes to preventing money laundering, it is the only real defence.”

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