Joy Orlek A FORENSIC audit is currently underway at Rennies Ships Agency over allegations that an employee in the organisation fraudulently released cargo without securing the freight payment and without production of the original bills of lading. This has resulted in a claim on the freight and the cost of the goods. The alleged fraud spans a period of two years and was first detected in September last year. Rennies Ships Agency chairman Piet Steyn could not quantify the amount involved, except to say that it is “substantial”. “There are two aspects to the case,” he told FTW. “One is the misrelease, overtly or covertly, of the cargo. Obviously there are insurance matters that come with it and therefore everything we believe or say has to be substantiated. “Second the shippers are looking for the payment of their goods against the original document.” With thousands of shipments and electronic systems it’s a complex process. “We have to make sure we check every record which is why we decided it was best to bring in forensic auditors who are currently going through processes and records. “At this stage the company is still quantifying the loss and establishing whether it was in fact fraud,” he said. The issue of “kickbacks” is not a new one to the industry, and several lines have been caught in the past. The forensic audit should be completed by the end of November and Steyn is keen to see the whole issue concluded by the end of the year. “If we can establish the people who were involved and that they did commit a crime it will definitely go to court. “We do not condone this type of behaviour in any way whatsoever. We operate from a position of trust, we act as agents for principals, and we move a lot of cargo. In terms of company policy, if anyone commits any form of fraud we take the necessary steps at whatever level.”
