A LEADING fraud solicitor has said the nature of fraud has changed considerably in the last six months of the year.

Fraud and criminal solicitor Martin Cunningham, who is the serious fraud supervisor for the Legal Services Commission, says fraud is rising but the value of each crime is falling.

Mr Cunningham has issued a warning to businesses to be watchful but says there is one constant in fraud cases. Most crimes are committed by staff in the finance department.

For the first six months of the year the total value of serious fraud cases fell to £71 million from £158 million; however, the number of cases increased from 63 to 69.

Mr Cunningham said: "For most business the size of fraud is irrelevant, it's the fact that it has happened in the first place that's critical.

"This is why these figures and new developing trends are so important.

Businesses should not just look at the headline grabbing fact that the total value of committed serious fraud has reduced instead they should focus on the fact that the chances of being hit by white-collar fraud have increased."

One victim of fraud in Swindon was haulage boss John Keeping, who lost £164,000 when his secretary Margaret Cross pocketed the money. She was jailed for two years but the Stratton company eventually went bust with the loss of 27 jobs.

Many cases of fraud are not reported to police because of a fear of adverse publicity, or recovery is attempted through civil courts so police are not involved.

Wiltshire Police's head of fraud Det Insp Paul Ginger said: "Our experience is that attempts at consumer fraud are going up, but commercial fraud is staying roughly the same.

"We have been vigorous with the use of the press to raise awareness and have done a lot of talks to outside bodies.

"It can be difficult for small companies to see the need for anti-fraud measures, but they can be easily worth their while in the long run."

Det Insp Ginger agreed that most commercial fraud is perpetrated by an insider, and added: "Getting a consultant in to assess your company is relatively cheap for what it could save. And the police are always on hand for advice."

Wiltshire Police can be reached on 01380 735735.