Recruiting Software Industry Conference 2017, London, 13-14 April, 2018.
The Software Industry Association (SIA) has come under fire after it was revealed that its software recruitment and hiring agency, Erp, was allegedly involved in a fraud case.
Erp is the latest company to fall victim to a fraud investigation after a court ordered it to pay more than £1m in compensation to clients who were misled by the software company.
According to the SIA, Erps fraudulent activities resulted in the suspension of thousands of jobs and the loss of thousands more in future employment opportunities.
A court ruling ordered the company to pay compensation of £1.5m to nearly 400 clients.
A spokesperson for the Sia said: “Erp was investigated by the Financial Conduct Authority and the National Fraud Intelligence Bureau (NFIB) after complaints that it had been conducting a fraudulent recruitment process, as a matter of policy, and was engaged in illegal activities.”
The company was fined by the FSA for these unlawful activities, and the company was then ordered to pay the fine, as well as other penalties.
“Following this fine, Erpa had to be placed on a compliance programme to ensure that its recruitment practices were adhered to, and it is now conducting an internal investigation into the fraudulent activities it has been engaged in.”
As a result, Erpc has taken steps to identify and remove all of the individuals involved from Erpc and has made all necessary measures to mitigate the risks associated with its recruitment processes.
“Erp has also implemented a number of safeguards, including a new recruitment process which is designed to reduce the risk of fraud, and is designed specifically to prevent the recruitment of individuals who do not meet Erpc’s recruitment qualifications.”
The company has also announced that it will offer an enhanced recruitment process to all candidates in the coming weeks.
“We will provide a training course to all Erpc employees on how to spot fraudulent recruitment activities, including when and how to flag them, and how the recruitment process works.”
And we will be offering a further training course for all Erp employees who have been identified as being involved in fraudulent recruitment processes,” the spokesperson added.
The company’s chief executive officer, Alan Grewal, said: “Our team of over 500 people has put a tremendous amount of thought into ensuring that we meet the needs of our clients, and we are committed to doing whatever it takes to ensure they have a smooth, secure, and secure recruitment process.”
Our company is committed to working with our clients to ensure all our candidates receive the best possible services.”
Erp’s UK chief executive, Ian Johnson, said the company would “work with the police to ensure we provide the best service to all of our candidates, and that Erpc will fully co-operate with the investigation.”
The SIA is currently appealing the decision.
“This is a huge blow to the whole industry, which is already struggling with recruitment issues,” said John Davenport, chair of the Sian Law Group, an industry body.
“There are hundreds of thousands people in the recruitment sector who are being misled and their jobs are being lost.”
The Independent has contacted Erp for comment.