Scribd Logo
Upload

Welcome to Scribd!

  • 51 views

    Albrecht, Albrecht, & Albrecht: Fraud Against Organizations

    Uploaded by

    FatimaIjaz
    The document discusses various types of fraud that can be committed against organizations by employees, vendors, and customers. It provides statistics on typical fraud losses and who commonly commits fraud. Various asset misappropriation schemes are defined, such as stealing cash receipts, assets on hand, and through fraudulent disbursements. Specific schemes like larceny, skimming, lapping, check tampering, cash register scams, and billing, expense, payroll, inventory, and corruption schemes are also reviewed. Key terms related to these schemes are defined.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd

    Albrecht, Albrecht, & Albrecht: Fraud Against Organizations

    Uploaded by

    FatimaIjaz
    51 views18 pages
    The document discusses various types of fraud that can be committed against organizations by employees, vendors, and customers. It provides statistics on typical fraud losses and who commonly commits fraud. Various asset misappropriation schemes are defined, such as stealing cash receipts, assets on hand, and through fraudulent disbursements. Specific schemes like larceny, skimming, lapping, check tampering, cash register scams, and billing, expense, payroll, inventory, and corruption schemes are also reviewed. Key terms related to these schemes are defined.

    Original Title

    ch15.ppt

    Copyright

    © © All Rights Reserved

    Available Formats

    PPT, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document discusses various types of fraud that can be committed against organizations by employees, vendors, and customers. It provides statistics on typical fraud losses and who commonly commits fraud. Various asset misappropriation schemes are defined, such as stealing cash receipts, assets on hand, and through fraudulent disbursements. Specific schemes like larceny, skimming, lapping, check tampering, cash register scams, and billing, expense, payroll, inventory, and corruption schemes are also reviewed. Key terms related to these schemes are defined.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    51 views18 pages

    Albrecht, Albrecht, & Albrecht: Fraud Against Organizations

    Uploaded by

    FatimaIjaz
    The document discusses various types of fraud that can be committed against organizations by employees, vendors, and customers. It provides statistics on typical fraud losses and who commonly commits fraud. Various asset misappropriation schemes are defined, such as stealing cash receipts, assets on hand, and through fraudulent disbursements. Specific schemes like larceny, skimming, lapping, check tampering, cash register scams, and billing, expense, payroll, inventory, and corruption schemes are also reviewed. Key terms related to these schemes are defined.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    You are on page 1of 18

    FRAUD EXAMINATION

    ALBRECHT, ALBRECHT, & ALBRECHT

    Fraud Against
    Organizations

    Chapter 15
    Learning Objectives
    1. Recognize the various ways in which
    employees, vendors and customers
    can steal assets.
    2. Describe the nature of thefts of cash
    through larceny, skimming, and
    fraudulent disbursements.
    3. Explain the nature of thefts of
    inventory and other assets.
    4. Understand the nature of bribery.
    Review Some Common
    Fraud Statistics
    Median Fraud Loss
    Who Perpetrates Fraud $1,000,000

    $500,000

    $-
    Employees Owners

    Median Losses by Gender


    Employees
    Management $200,000

    $100,000
    Owners
    $-
    Males Females
    Define Asset
    Misappropriations
    Asset Misappropriations
    Stealing Stealing Assets Steal Through
    1 Receipts 2 on Hand 3 Disbursements

    Employee Employee Employee Alone


    Alone Alone
    Vendor Alone
    Customer 2+ Employees
    Collusion
    Alone Together
    Collusion
    Match Definitions.

    Delaying the recording


    Larceny of payments, record
    tomorrows payments
    as todays
    Skimming Stealing cash before it
    is recorded

    Lapping Stealing cash thats


    already recorded
    Define & Describe Check
    Tampering.
    Preparing fraudulent
    checks or intercepting &
    changing checks for
    someone elses or personal
    use
    Create a false company &
    submit false invoices for
    payment
    Forging signatures, payee,
    changing amounts
    What Are Three Common
    Cash Register Scams?
    Describe How Billing
    Schemes Work. COMMENT.
    1. Set up Dummy Company
    Submit False Bills
    2. Alter or Double Pay Invoices
    3. Make Personal Purchases with
    Company Funds
    Common & Expensive
    Median Loss $250,000
    Review Expense
    Schemes.
    SUBMIT FALSE DOCUMENTATION
    FOR REIMBURSEMENT
    1. Mischaracterized Expenses
    2. Overstated Expenses
    3. Fictitious Expenses
    4. Submit Same Expenses More
    Than Once
    Review & Comment on
    Payroll Scams.
    1. Ghost Employees Largest Losses
    $275,000
    2. Falsified Hours & Most Prevalent
    Salary 55.4%

    3. Commission Schemes

    4. False Worker False Injuries


    Compensation Claims Collect
    Insurance
    Inventory & Other Asset
    Frauds Occur What 2 Ways?
    Comment on 4 Types of
    Corruption.

    9% 1.6% Bribery

    Conflict of
    Interest
    Extortion

    89.2% Illegal
    Gratuities

    .2%
    Define & Discuss Bribery.
    Offering or giving something of
    value to have an official or
    commercial act performed

    KICKBACKS Attacks Purchasing

    BID RIGGING Falsifies


    Competitive Bidding
    What is Conflict of Interest?

    Undisclosed employee
    personal interest in the
    results of a business
    decision that adversely
    affects the business
    If disclosed in the open- cant be
    conflict of interest
    Purchasing or Sales Schemes
    Define Extortion &
    Illegal Gratuities.
    Terms Match
    Economic Deceive someone to put
    Extortion scheme money into a fake
    investment
    Disbursement Fictitious entity created
    Fraud to commit fraud

    Dummy or An employee demanding


    Shell Company from a vendor in order to
    influence a decision
    Investment Paying for something or
    Scheme paying too much for
    something it shouldnt
    Terms Match
    Bribery Paying off or bribing public
    or company officials in order to
    get preferential treatment

    Corruption Stealing cash once it has been


    recorded in the records
    Another name for frauds
    committed against an
    Larceny organization
    Offering, giving, receiving, or
    soliciting anything of value to
    Misappropriations influence an official act
    Terms Match
    Bid-rigging Stealing cash by preparing
    fraudulent checks or intercepting
    Scheme
    checks made payable to others

    Employees assisting vendors in


    Check winning contracts by providing
    Tampering some kind of unfair advantage

    Embezzling a portion of the cash


    Illegal receipts of an organization
    Gratuities
    Payments made to reward
    favorable decisions payment is
    Skimming made after the deal is approved

    You might also like