There are many similarities between Fraud and Corruption. However differences are noted and in order to identify these differences the definitions are essential:
- Fraud:
Wrongful or criminal deception intended to result in financial or personal gain. A person or thing intended to deceive others, typically by unjustifiably claiming or being credited with accomplishments or qualities.
This may include:
- Deliberate falsification, concealment, destruction;
- Use of falsified documentation or intended for use for normal business purpose; and
- Improper use of information or position for personal financial benefit.
- Corruption:
Dishonest or fraudulent conduct by those in power, typically involving bribery;
The process by which a word or expression is changed from its original state to one regarded as erroneous or debased.
This can take many forms but includes:
- Conflicts of interest;
- Taking or offering bribes;
- Dishonestly using influence;
- Blackmail;
- Fraud;
- Theft;
- Embezzlement;
- Tax Evasion;
- Forgery; and
- Nepotism and Favouritism.
Thus meaning corruption tends to be a fraudulent act committed by officials in power.