Tech-driven system to prevent fraud
E-commerce platform Paytm Mall has engaged consulting and audit major EY to investigate a cashback fraud involving some of its employees and merchants, according to sources.
Some staff of the Alibaba-backed company allegedly worked with third-party vendors and created fake orders to siphon off cashback offers.
According to sources close to the development, the investigation has been going on for almost a fortnight and some employees have also been fired.
When contacted, Paytm Mall, in an e-mailed statement said, under the partnership,
EY will “undertake frequent audits to identify, analyse and monitor various in-built and outsourced processes.”
It will also recommend global practices that will be applied to build a tech-driven fraud prevention system.