Accountants play a critical role in identifying and responding to financial abuse

• CPA Australia has new resources to raise awareness of financial abuse.
• Accountants are uniquely positioned to identify and assist victims.
• CPA Australia and Each call for a national support service.

CPA Australia has released a suite of resources to raise awareness of financial abuse and the important role accountants play in identifying warning signs and supporting victim-survivors.

Belinda Zohrab, CPA Australia’s Regulations and Standards Lead, says financial abuse, including business-related financial abuse, is a form of family and domestic violence involving a pattern of behaviours used to control, exploit or sabotage a person’s finances. 

“Financial abuse can impose devastating financial and emotional burdens on victim-survivors, with around an estimated 16 per cent of women and 7.8 per cent of men experiencing it since the age of 15 according to the Australian Bureau of Statistics,” Ms Zohrab said. 

“This type of abuse often strips victims of independence and security and its impacts can be severe and long-lasting. This includes poverty, bankruptcy, homelessness and significant harm to physical and mental wellbeing. 

“Accountants are in a unique position as trusted advisers to notice when something may not be right. With the right awareness and guidance, they can play an important role in identifying potential financial abuse and supporting affected clients.” 

However, Ms Zohrab acknowledges accountants are not social workers and that any response must be practical, proportionate and designed to avoid inadvertently putting victim-survivors at greater risk. Any response requires dedicated specialists to fully address the complexity and wide-ranging nature of these cases. 

“Victim-survivors often face barriers when seeking help, including lack of awareness of their rights and the complexity of financial and legal systems,” she said. 

“A clear referral path that includes financial, legal and emotional support is essential.”  

CPA Australia worked with Each, Australia’s leading specialist in resolving business-related financial abuse, people with lived experience and public practice accountants to develop guidance that helps members identify signs of financial abuse and respond in ways that prioritise victim-survivors’ safety and wellbeing. 
 
Each welcomes CPA Australia's leadership in recognising that accountants have a vital role to play in identifying and responding to business-related financial abuse.  

Julie Dal Pra, Advisor, Business Related Financial Abuse at Each, said accountants are well positioned to identify and assist when clients are experiencing financial abuse. 

“Accountants are well placed to sense when something is wrong long before anyone else does. They may have a hunch that something isn’t quite right but knowing how to respond and when to refer to other services is vital,” said Ms Dal Pra. 

“Practical tools such as the ones made available by CPA Australia are essential to support accountants in spotting the signs and knowing how to respond and refer, so that we can collectively prevent the abuse from occurring and ensure people get the specialist help they need.” 

Recognising the signs

“Financial abuse can take many forms and is often difficult to detect. It may occur in personal, family or business contexts and can involve coercion, manipulation or misuse of financial systems,” Ms Zohrab said. 

Common indicators accountants may observe include: 

• Limited or no access by a client to their own financial information or accounts, 
• Unexplained debts or liabilities, including those incurred without informed consent, 
• Pressure to sign financial documents or act as a director or guarantor, 
• Sudden or unusual changes in financial arrangements or control, 
• Complex business structures being used to obscure ownership or restrict access to assets. 

“While these signs do not always indicate abuse, they may signal vulnerability and warrant closer attention.” 

Amelia, who must use a pseudonym for legal reasons, is a victim-survivor of financial abuse and says CPAs play a critical role in supporting clients experiencing economic and financial abuse. 

 

Media contact

Adrienne Biscontin
External Affairs Lead
[email protected]
0429 009 691