An auto dealership with a high volume of business established specific cash controls to assure that no car was delivered to a buyer until the dealership had received or accounted for all payments due from the sale. Despite the required checks and balances, a fraud investigation found that a senior salesman was able to misappropriate… Read more »
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Posts Tagged: fraud investigation
Fraud Tales: Fraud Investigation Uncover Inventory Control Weaknesses
The anti-fraud controls in place at a shipping supplies company were extensive and outwardly thorough. Incoming shipments were closely checked against the shipping manifest and outgoing shipments against the sales requisition that then became the invoice. The warehouse had an alarm to prevent break-ins. And the company conducted a detailed physical inventory at year-end to… Read more »
Fraud Tales: Fraud Investigation Reveals Fraud Scheme in Supplies Shipping
The Director of Operations at a large national financial services firm was very good at his job. Asked to cut costs, the Director recommended the company centralize its purchase of office supplies, a move he said would save the company more than $50,000 a year. Sure enough, during the first three years of the program,… Read more »
Fraud Tales: Fraud Investigation Finds Stolen Cash in Business
Cognizant of the rampant escalation of fraud in the business world, the owner of a mid-sized retail establishment took great care in establishing fraud deterrence measures to protect the company. With more than 80 percent of the company’s sales paid in cash, multiple checks and balances were put into place to make sure each day’s… Read more »
Fraud Deterrence on Foreign Soil
Your company has decided to open a factory overseas, or to begin selling their products in a foreign country. Do you understand the laws that will affect how your company operates outside the boundaries of the United States? Which payments to foreign government officials are allowed and which are considered fraudulent? A forensic accounting expert… Read more »
Fraud Tales: Fraud Investigation Reveals Loopholes in Checkbook Controls
Harry Johnson was a savvy businessman who was well aware of the perils of not having the proper fraud deterrence measures in place. He took great care to see that his successful small business was adequately protected by anti-fraud controls that he created himself. Then how did Harry end up losing more than $200,000 from… Read more »
Forensic Accounting Experts Bring Peace of Mind in Trust and Estate Disputes
If you have children or grew up with brothers and sisters of your own, you probably know all about sibling rivalry and family squabbling. The conflicts tend to be fairly mundane. Who got the biggest piece of cake? Whose turn is it to take out the garbage? Who borrowed a favorite sweater without permission? And… Read more »
Secure Passwords Key to Fraud Deterrence
We hear about it all too often — another data breach at another major bank or retailer. It’s gotten so bad that Americans say they are more worried about identity theft than terrorism. There’s not much you can do to thwart hackers trying to steal data from your bank or favorite store. But you can… Read more »
Fraud Investigation Uncovers Casper, The Unfriendly Ghost Employee
Casper Richardson was the perfect employee. He was never sick, opted out of company medical insurance, often worked overtime, received glowing reviews from his supervisor, and always cashed his paycheck on payday. Casper’s one fault? He didn’t actually exist. Casper was a ghost employee that a subsequent fraud investigation revealed had cost the company a… Read more »
Pay for Fraud Deterrence Now — or Fraud Losses Later
Remember the old auto oil filter company commercial with the tag line “Pay me now or pay me later?” The advertising message being sent was that the small upfront cost to replace your car’s oil filter now could prevent more costly repairs in the future. The same can be said about fraud deterrence programs —… Read more »
Fraud Deterrence Can Ferret Out Phony Vendors
One of the most frequent schemes deceptive employees use to steal money in the workplace is the creation of phony vendors who are paid for services never rendered or goods never delivered. There are, however, fraud deterrence steps organizations can take to help ferret out these fictional vendors. “It really is a popular tactic among… Read more »
Keeping an Eye on Fraud Deterrence
Getting away with fraud is no easy feat. Perpetrators must go to great lengths to hide their illicit activities. And yet they manage to pull it off all too often. So is there a fraud deterrence measure you can adopt to thwart them without spending a small fortune? There most definitely is. Simply let them… Read more »
Prosecution: The Ultimate Step in Fraud Deterrence
So you’ve been the victim of fraud. You knew something was amiss. You hired a Certified Fraud Examiner. A thorough fraud investigation uncovered the fraud and identified the perpetrator. You fired the fraudster — or punished them internally — and implemented stronger anti-fraud controls as part of your overall fraud deterrence program. So it’s over,… Read more »
