A Report On Occupational Fraud Essay - 1433 Words

B Detection The 2014 ACFE Report on Occupational Fraud expressed that the longer frauds were able to go undetected, the more costly they became. One-quarter of the frauds in the study were detected in the first six months of their occurrence; and for those cases, the median loss was limited to $50,000. This is a more acceptable figure, considering that, the general median loss caused by frauds in the study was $145,000. Hence, we can see that early detection can prove to be less financially detrimental to an organisation. Of all the aspects of the fraud triangle theory – financial need, opportunity and rationalisation - opportunity to commit fraud is the only one that can practically be influenced by an organisation. The threat of likely detection is one of the most powerful factors in fraud prevention because it all but eliminates the fraudster’s perceived opportunity. Red Flags of fraudulent activities. In spite of increasing awareness on the cost of fraud and burgeoning commitment to fraud reporting services, organisations are still ignoring early warnings or indicators of fraud. Fraud is almost always accompanied by red flags that indicate irregularities exist within the business, investment or even human behaviour. The Red Flag System is a disciplined, structured process for discerning, discovering, and documenting allegations of fraud, theft, embezzlement, and corruption so that they can be addressed in an efficient and timely manner as early as possible inShow MoreRelatedThe Aadit Report and Internal Control Evaluation Essay1087 Words   |  5 Pages Re: Internal Accountant’s Report to Management ------------------------------------------------- This report contains the supporting information to perform a full financial status review of our company, before the upcoming government contract bid. This report will cover the possible impacts that occupational fraud and abuse will have on the company, U.S. Governmental oversight of accounting fraud and abuse, and potential corruption schemesRead MoreFraud Is A Global Problem1003 Words   |  5 PagesFraud is deliberate deception to secure unfair or unlawful gain. Fraud is both a civil wrong (i.e., a fraud victim may sue the fraud perpetrator to avoid the fraud and/or recover monetary compensation) and a criminal wrong (i.e., a fraud perpetrator may be prosecuted and imprisoned by governmental authorities). Fraud is not prejudice; culture, ethnicity, and religion, are not factors in determining who will commit fraud. Finding fraud can be difficult. We re constantly reminded at every clientRead MoreOccupational Fraud : A Glance At Asset Misappropriation And Other Types Of Organisational Fraud Essay1074 Words   |  5 Pages II. OCCUPATIONAL FRAUD – A glance at Asset Misappropriation and other types of organisational fraud Now that we have tolerably defined ‘fraud’, we can move on to explain ‘Occupational Fraud’ which is an internal fraud i.e. generally committed by employees/members associated with an organisation, and more closely related to corporate governance. Occupational Fraud is defined as: â€Å"The use of one’s occupation for personal enrichment through the deliberate misuse or misapplication of the employingRead Moreoccupational fraud and abuse on the company959 Words   |  4 PagesThe effect of occupational fraud and abuse on the company Occupational fraud and abuse is defined as â€Å"The use of one’s occupation for personal enrichment through the deliberate misuse or misapplication of the employing organization’s resources or assets† (2012 Report To Nations On Occupation Fraud And Abuse, 2012). Occupational fraud entails deceiving employing organization to obtain resources or assets for personal gain and abuse involves misapplication of the resources provided by the employerRead MoreEssay about Internal Accountants Report to Management1274 Words   |  6 PagesRunning head: INTERNAL ACCOUNTANTS REPORT TO MANAGEMENT Internal Accountant’s Report to Management ACCT 556 Introduction As the internal accountant of the European Newspaper Company, I have to perform various financial operations, and I am considered the expert in this field. As we all are faced with preparation for the upcoming government contract bid, we need to have a better understanding of how our company runs the business and issues that we can face if weRead MoreClassification of Fraud Cases1382 Words   |  6 PagesIntroduction Frauds include an array of irregularities or errors and illegal acts characterized by deliberate deception against truth, justice, and equity. Frauds are word that has many definitions. Fraud is defined in Webster’s New World Dictionary as â€Å"international deception to cause a person to give up property or some lawful right† (International Journal of Business and Social Science, 2011) Besides, fraud is defined in Black’s Law Dictionary as â€Å"a knowing misrepresentation of the truthRead MoreInternal Accountants Report to Management1033 Words   |  5 PagesInternal Accountant’s Report to Management Diana Liminovic ACC/556 Forensic Accounting Kimberly Warren Introduction Since our company is preparing for an upcoming government contract bid, management has decided that a full Financial Status Review (FSR) prior to the release of the bid is essential. This report is to provide supporting information prior to the bid in order to evaluate if any irregularities with regard to fraud and/or abuse of the company have taken place and if so, to whatRead MoreAcc 556 Week One Memo1179 Words   |  5 PagesInternal Accountant’s Report to Management Jacqueline Tate-Tafoya ACC/556 June 18, 2012 Laurie McBroom MEMORANDUM TO: Management, JTT Accounting Firm FROM: Jacqueline Tate-Tafoya, CPA DATE: June 18, 2012 SUBJECT: Internal Accountant’s Report Per management’s request this document has been prepared to assist in determining if a full financial status review of the recent job bid is necessary. Fully understanding and preparing for possible issues is vitalRead MoreWeek1 Assignment Essay893 Words   |  4 Pagesï » ¿Visit the websites for the Institute of Internal Auditor and the Association of Certified Fraud Examiners: http://www.theiia.org http://www.acfe.com In particular, read the code of ethics for both organizations at: http://www.theiia.org/guidance/additional-resources/ippf-processes/ http://www.acfe.com/about/cfe-rules.asp?copy=ethics 1. How do the codes complement each other? 2. Provide three other notable points of information from each site that either you learned for the first time or have foundRead MoreFinancial Analysis: Internal Accountant’s Report to Management1101 Words   |  5 PagesInternal Accountant’s Report to Management As the company prepares to embark on this exciting opportunity there are a few things that need to be review, therefore in preparation for our upcoming government contract bid it is important to perform a full financial status review before placing the bid. This report will discuss the effects of occupational fraud and abuse, U.S. Government oversight and how it affects the company, potential corruption schemes, and recommendations of types of accounting