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<p>The Ministry of Defence (MOD) takes the risk of fraud, bribery and corruption seriously
and is fully committed to delivering a robust counter-fraud and corruption capability.
MOD is the only Department that has fully met all the functional standards set by
the Cabinet Office for Government, followed by Her Majesty's Revenue and Customs which
has met them for internal fraud only.</p><p>To better understand the value of fraud
allegations being reported to MOD, a review of values attributed to new allegations
received was undertaken. MOD has developed a Nominal Offence Value framework based
on historic values of fraud experienced. The Nominal Offence Value is used when no
valuation is available at the time of reporting. This approach has been reviewed and
approved by the Cabinet Office Prevention Panel (an independent panel of cross Government
experts).</p><p>The £88.2 million refers to 861 separately reported incidents. It
includes cases with an estimated value based upon the MOD's Nominal Offence Value
framework.</p>
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