Fraud risk

assessment for
Saudi payments
Technical proposal
2 March 2021 | Riyadh
 Fraud risk
assessment for
Saudi payments
Technical proposal
2 March 2021
Riyadh

2021 KPMG Confidential and Proprietary

 Table of content
1. KPMG profile 03

2. Executive summary 05

3. Approach, methodology and timeline 07

4. Team structure 09

5. Team CVs 11

6. Selected KPMG credentials 13

2021 KPMG Confidential and Proprietary 3

 KPMG profile

2021 KPMG Confidential and Proprietary

Who we are KPMG in Saudi Arabia
KPMG in Saudi Arabia was established through its member
KPMG is a globally recognized business brand. It is an
firm KPMG Al Fozan & Partners and has operated in the
international network of member firms providing Audit,
Kingdom since 1992.
Tax, and Advisory services to local, national, and
multinational organizations. KPMG operates through a national leadership with dedicated
regional teams, which enables our network of professional
KPMG International is made up of more than 207,050 talent, our technologies and our products and solutions to
people in member firms in 154 countries. Our people quickly come together to meet clients’ needs. KPMG has made
come from different backgrounds, but shares a common a significant investment in Saudi Arabia over the last five years
set of values and follow the same code of conduct. Our with a number of professional staff being seconded to the local
collective history spans three centuries. firm from across the global network.

KPMG was formed in 1987 with the merger of Peat The firm has grown to be one of the largest professional service
Marwick International and Klynveld Main Goerdeler. providers in the Kingdom. During the last few years, it has
achieved record growth, reaching our current workforce of

Global revenue: 28.96bn 1123 people across the Kingdom, based in three offices in
Riyadh, Jeddah and Al Khobar.

The firm is part of the Middle East and South Asia (MESA)
network, led by our chairman Abdullah Al Fozan.

2021 KPMG Confidential and Proprietary 5

 Executive
summary

2021 KPMG Confidential and Proprietary

 KPMG, the right choice for you

One line of sight

We have done Global team with Committed to
We know SAMA from strategy to
it before local insight knowledge transfer
execution

• As a leading provider of • We have worked with • As a global professional • We strongly believe in • A core principle
services to Financial Saudi payments parent services firm with a working with our clients underpinning every
Services institutions in the organization, SAMA for significant presence in to implement our project we do with you is
Kingdom and globally, we many years and have Saudi Arabia, we are recommendations and that we aim to build Saudi
have conducted several gained a deep able to bring the best of achieve the results set Payment team’s
Fraud Risk Assessments understanding of the our global firm and out at the start of their capabilities and skills on
and have developed our regulatory landscape, its deliver with a deep project. As a full-service Fraud Risk Assessments
methodology based on organization and culture, understanding of local advisory firm, with such that your team can
local and global expertise and how to deliver challenges. Saudi services ranging from successfully take over
successful projects Payments will see the strategy through to once KPMG demobilizes,
• We can bring our global
with SAMA best people that KPMG operations, technology and changes and
leading implementation
has to offer, globally and and HR, we have the improvements are
insights from various
locally, to deliver projects breadth and depth to sustainable and long term
completed projects
successfully support you on these
globally, regionally
journeys from start
and locally
to finish

2021 KPMG Confidential and Proprietary 7

 Approach,
methodology
and timeline

2021 KPMG Confidential and Proprietary

Stream 1: Initiate Stream 2: Diagnose Stream 3: Design

To kick off the project, and announce project objectives To conduct a gap assessment of Saudi Payments To conduct a Fraud Risk Assessment; plan
& plan to the concerned stakeholders, along with their Fraud Risk Management Program and conduct a knowledge transfer.
anticipated involvement or role in the project. review of a previous in-house Fraud Risk assessment.

Key Activities: Key Activities: Key Activities:

• Mobilize KPMG engagement team • Understand and review the current state of • Identify the 3 core payment systems or business
• Develop the project charter which will include: Saudi Payments existing FRMP documentation units, locations, or processes to assess
project scope, deliverables list and description, covering strategy, governance, policies and • Hold discussion with process owners to obtain
deliverables acceptance and signoff process, procedures end to end understanding of their key activities
timeline, reporting process, project organization • Conduct review of the in-house conducted and processes
and communication methods Corporate Fraud Risk Assessment • Fragment the key processes into stages over
• Identify and request key documentation each activity life cycle to help in identifying and
asses the fraud risks at each stage
• Review relevant documents such as policies and
procedure manuals, delegation of authorities,
and disclosure of conflict of interest mechanism
and relevant contract clauses

Deliverable(s): Deliverable(s): Deliverable(s):

• Project Charter • Gap assessment of FRMP and recommendations • Risk Register
• Project Schedule • Review of prior in-house risk assessment • Risk and controls matrix

Timeline: 1 Week Timeline: 4 Weeks Timeline: 4 Weeks

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 Team structure

2021 KPMG Confidential and Proprietary

Team structure and CVs
The right blend of skilled experts to meet Saudi Payments needs

Fuad Chapra Firass Hathout Mohannad El-Rass Sarah Addas

Lead Client Senior Head Engagement Lead Engagement Lead Engagement Manager

• Established presence in KSA with over 800 professionals • Broad experience from projects in various sectors in KSA
and globally
• Dedicated Jeddah based deal advisory team
• Experienced leadership team with significant Saudi and
• Access to local business intelligence (market data, industry
global market experience
players, etc.)

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 Team CVs

2021 KPMG Confidential and Proprietary

Omer Tauqir
Head of Forensics Levant Region Background
Omer has post qualification experience of over 17 years (mainly in the UK),
including significant experience of leading counter fraud, fraud risk and
investigative engagements. He brings over 20 years of experience consulting
with government and private sector clients mainly in the UK.
Omer Tauqir
Senior Director Professional and Industry Experience
KPMG Saudi Arabia Specific to your requirements, Omer brings an ideal blend of expertise that
combines experience of similar engagements such as:
• Number of high profile investigations for financial services regulators in both
Functions and Specialization UK and KSA
• Regulatory Compliance • G4S, Serco and Tesco investigation following high profile public failures
• Investigation over financial performance reporting and internal governance, risk
• AML & CFT management, internal control etc.
• Financial Crime • Effective use of data analytics, including IDEA and Tableau in the context of
design and execution of reviews of high volume and complex data to
Education, Licenses and Certifications identify trends etc.
• UCL, University of London (MSc) Experience of leading international engagements, including investigations in
• Fellow member of ACCA high risk locations such as GCC, Nigeria, Bangladesh, Pakistan etc.
• Affiliate member of IIA

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 Selected KPMG
credentials

2021 KPMG Confidential and Proprietary

Brokerage house of a leading investment bank in the Kingdom
Client’s challenge
• Our client is a subsidiary of a leading investment bank in Saudi Arabia
providing wide range of products and services in brokerage, securities
and investment banking business. The client required our assistance to
develop internal audit function
• The client wanted to assess whether the processes were working
Brokerage House of a leading properly, and they had a good control over day-to-day operating activities
Investment Bank in Saudi Arabia KPMG’s approach
• KPMG proposed for the establishment of internal audit function and
KPMG Advisory supported the company in outsourcing of it thereafter
development of internal audit function, high
• We developed a risk based internal audit plan and assisted the client in
level risk assessment, development of risk
developing risk register to identify weaknesses and opportunities for
based internal audit plan and execution of improvements
internal audit.
• We performed the execution of internal audit based on a risk based
internal audit plan
Client’s benefits
• Risk register highlighted the areas of concern to client’s management
AUDIT ● TAX ● ADVISORY
• The client achieved the compliance with the regulatory requirement

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KPMG contacts
For further information on this proposal or the services offered
by KPMG Advisory Service, please contact us:

Omer Tauqir Tola Johnson

Head of Forensics Director, Forensics
Email: otauqir@kpmg.com Email: Tolajohnson@kpmg.com
Mobile: + 966 54 119 7537 Mobile: + 966 59 218 4107

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Engagement Contract
This proposal is an offer by KPMG to provide the proposed services and is in all respects subject to negotiation, agreement and signing of a specific engagement contract with KPMG and completion of our acceptance procedures.

© 2021 KPMG Al Fozan & Partners Certified Public Accountants, a registered company in the Kingdom of Saudi Arabia, and a non-partner member firm of the KPMG network of independent firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved
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