Occupational fraud prevention & detection require a company to set up a reporting system, implement internal controls, & engage employees. In Part 1, we talked about three types of fraud, and the “fraud triangle”. In Part 2 we will discuss fraud prevention and detection to reduce losses. Preventing fraud is much easier and less costly…
Internal fraud is a universal and an “evergreen” problem across all industries and cultures. Failure of ethics and the struggles therewith are just part of human nature. A typical organization loses about 5% of its annual revenue each year due to employee fraud (2014 Report to the Nation on Occupational Fraud and Abuse, by the…
In July 2019, in Part 1, we discussed about detection of internal thefts and frauds in a company. In Part 2 here we are discussing about ways for fraud prevention. Internal fraud by employees in a workplace can be catastrophic to any company, it can be life threatening to a small business with limited resources.…
In the book “The Seven Signs of Ethical Collapse” by Marianne Jennings, JD., these seven signs are listed for spotting an organization’s ethics crisis that can bring down corporations like Enron and other businesses and nonprofits: Pressure to maintain the business numbers Culture of fear and silence A “bigger than life” CEO and awe-struck direct…
Internal fraud by employees in a workplace can be catastrophic to any company, it can be life-threatening to a small business with limited resources. In Part 1, we will discuss about employee theft and fraud detection. Next month in Part 2 we will address prevention issues. Who steals from employers? According to the shocking statistics…
Every day we get calls and receive emails from unknown sources and spammers. The following are not exhaustive lists of scams, as identity thieves are “evolving” with more sophisticated ways to breach cyber security. Here are the top 10 scams from Consumer Reports: Debt collection Fake government officials – IRS, Social Security, State Department, etc.…
Many people reported that they have received IRS impersonators’ calls, and sadly some fell victims of various scam schemes after being intimidated into paying a fabricated tax bill. Thousands of people have lost millions of dollars and their personal information to tax scams. Scammers use the regular mail, telephone, or email to set up individuals,…