Press Release

SIRCA Report Puts Identity Fraud at $1 Billion

Read Minister's Release

November 12, 2003 - The Minister for Justice and Customs, Senator Chris Ellison, has today launched a Securities Industry Research Centre (SIRCA) report entitled “Identity Fraud in Australia: An Evaluation of its Nature, Cost and Extent”.

The public report, commissioned by the AUSTRAC Steering Committee on Proof of Identity, develops a credible point-in-time estimate of the costs of identity fraud to Australia and will be used to facilitate evidence-based policy formulation.

“Identity fraud presents a growing threat throughout the world as false and stolen identities are used in an expanding range of criminal and terrorist activity,” Senator Ellison said. “Identity fraud impacts not just on individual victims, but on the way in which government and industry can provide products and services. This has ramifications for the entire Australian community.”

SIRCA’s research, which is the first of its kind in Australia, estimates the cost of identity fraud to Australia in 2001-02 to be $1.1 billion, with an estimation error of $130 million. It also identifies patterns in identity fraud behaviour and develops an explanatory model on the efficiency of current prevention and detection strategies.

“This research investigates and informs the control and management of identity fraud, a problem of growing concern for both the private and public sectors in Australia”, said Dr Suresh Cuganesan, SIRCA Director of Research. “Using a series of cross-sectional interviews and focus groups, industry-wide surveys and in-depth qualitative fieldwork, this research applies a multi-disciplinary approach to a multi-dimensional problem”.

On the strength of this study, the Steering Committee have partnered with SIRCA on a three-year multi-disciplinary research program, supported by the Australian Research Council and leading academics from SIRCA’s university members.

“This report is a comprehensive academic study which provides the Australian community with a point in time estimate of the cost of identity fraud, and a conceptual framework of identity fraud for use in policy debates and further research”, Liz Atkins, Chair of the AUSTRAC Steering Committee said.

SIRCA was selected because of its independence, expertise, and ability to commit to a long-term research partnership. SIRCA was chosen from a field of applicants from internationally recognised research and consultancy service providers.

Copies of this report can be obtained through Standards Australia.

About SIRCA
SIRCA is a unique financial services research organisation established by twenty-five collaborating Universities to foster research excellence and independence in partnership with industry and government.

Press Contacts
Communications Officer, SIRCA Limited
(612) 9231 5888, media@sirca.org.au

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