Financial Crimes on the Rise in Ireland: Cybercrime Reigns Supreme

A recent survey has revealed that financial crimes are on the rise in Ireland, with cybercrimes such as hacking, phishing, and online scams emerging as the most prevalent forms of crime.

Survey Highlights

The study, conducted by the Dublin-based Compliance Institute, polled 230 compliance professionals working primarily in Irish financial services firms to determine what they perceive as the “number one threat” in financial crimes. The results showed that:

• Over a third (34%) of respondents identified cybercrime as the most common form of crime in the financial world.
• Traditional pursuits such as tax evasion (21%), fraud (21%), money laundering (19%), bribery and corruption (4%), and insider trading (1%) trailed behind.

Cybercrime on the Rise

According to Michael Kavanagh, CEO of the Compliance Institute, cybercrime is advancing at a pace that organizations and legislators cannot keep up. “Cybercrime is more new-age and is developing and advancing at a pace so fast that organisations and legislators cannot keep up,” he said.

Government Response

The Irish Government has launched a cybersecurity strategy aimed at creating a national anti-ransomware organization and offering cash subsidies to small businesses to fight cybercrime. However, Kavanagh expressed concerns over the unclear timelines for these initiatives. “There’s no doubt that the move would be laudable and welcomed with open arms by many businesses that continue to be plagued by ransomware attacks,” he said.

Real-World Impact

The impact of cybercrime was starkly illustrated in 2021 when the HSE suffered a major cyberattack, forcing hospitals and other healthcare services to shut down their IT systems. The attack had catastrophic consequences for patients, causing significant disruption to healthcare services across the country.

Unique Challenges

Ireland’s unique position as Europe’s largest data-hosting cluster warrants an elevated cybercrime and data protection system, according to Kavanagh. “Regulators in Ireland and around the world are constantly updating and issuing new guidance to firms in response to emerging cybersecurity issues,” he said.

Conclusion

The Compliance Institute has warned that regulators must strike a balance between regulating and supervising financial institutions without stifling innovation, while businesses and organizations must prepare themselves to respond effectively to cybercrime. Meanwhile, the general public needs to be aware of what measures they can take to protect themselves from these types of attacks.

Key Takeaways

• Cybercrime is the most prevalent form of financial crime in Ireland.
• The pace of cybercrime development is outpacing organizations and legislators’ ability to keep up.
• The Irish Government’s cybersecurity strategy aims to create a national anti-ransomware organization and offer cash subsidies to small businesses.
• Regulators must balance regulation with innovation, while businesses and individuals must take measures to protect themselves from cybercrime.