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When Should You Start Looking for Fraud?

When Should You Start Looking for Fraud?

Larger organizations are more likely to experience fraud by an employee’s misuse of influence in a business transaction in order to gain a direct or indirect benefit. Small organizations, however, typically fall victim to the rogue employee who directly steals the organization’s assets or misuses its resources.
Let’s Get Digital: Putting Benford’s Law to Use in Fraud Examinations

Let’s Get Digital: Putting Benford’s Law to Use in Fraud Examinations

A man by the name of Frank Benford. In the 1930s, physicist Benford developed a theory of leading digits, now known as Benford’s Law. Benford’s Law tells us that in a variety of data sets, the probability of occurrence of each digit (0 through 9) as the first digit in a number follows a certain distribution. That is, the digit 1 will occur with about a 30% frequency, followed by the digit 2 at 17.6%, through the digit 9 at 4.6%. See Figure 1.
B.Y.O.D.

B.Y.O.D.

“Bring your own device,” or “B.Y.O.D,” is a concept that an increasing number of companies are implementing. B.Y.O.D allows employees to use their personally-owned devices in the work place. These devices can range from laptops and tablets to cell phones and flash drives. While B.Y.O.D may be a good plan in theory – employees can work with devices they are comfortable using - It is important for employers to thoroughly consider the implications and potential pitfalls before implementing a B.Y.O.D policy. Consider, for example, the following key areas regarding the security of corporate information and infrastructure:
Debits, Credits, and…Edits?

Debits, Credits, and…Edits?

As accountants, we know the significance of numbers.  But in the process of balancing our debits and credits, it is easy to forget the significance of words.  Although it’s important to develop and maintain our skills in spreadsheets, calculations, and analysis, our writing skills are just as important.
Social Media in Fraud Investigations

Social Media in Fraud Investigations

There’s no denying it: social media has changed the way we interact with each other. People are tweeting live from events, “checking in” on Facebook, posting pictures to Instagram and commenting on, liking or sharing just about everything. The amount of personal information that social media users willingly put “out there” is staggering.
Accounting Malpractice Is a Growth Industry

Accounting Malpractice Is a Growth Industry

CPA’s have close relationships with their clients (especially in smaller accounting practices) and rightfully so. Who else is better to understand their client’s financial and business affairs than their trusted CPA? And the relationship generally remains close…
How to Find Electronically Stored Information

How to Find Electronically Stored Information

In our case study, gas station owner, Morris, has alleged that Green Fuel, a small gasoline distributor, overcharged him. Both parties had inadequate and unsophisticated documentation, making determining losses very difficult.
Electronically Stored Information: The Case Study

Electronically Stored Information: The Case Study

You might not think that a small business would have useful or accessible electronically stored information (ESI). Consider this example of identifying and obtaining relevant forensic evidence to determine lost profit damages with this particular small business.
Look for the anomaly to find fraud

Look for the anomaly to find fraud

Events may happen in a person's life that can lead to an act of desperation. And desperate people may take irrational actions. I am talking about bad economic times, the failure of a business, the loss of a job, divorce, a family member on ...
When Should You Start Looking for Fraud?

When Should You Start Looking for Fraud?

Larger organizations are more likely to experience fraud by an employee’s misuse of influence in a business transaction in order to gain a direct or indirect benefit. Small organizations, however, typically fall victim to the rogue employee who directly steals the organization’s assets or misuses its resources.
Let’s Get Digital: Putting Benford’s Law to Use in Fraud Examinations

Let’s Get Digital: Putting Benford’s Law to Use in Fraud Examinations

A man by the name of Frank Benford. In the 1930s, physicist Benford developed a theory of leading digits, now known as Benford’s Law. Benford’s Law tells us that in a variety of data sets, the probability of occurrence of each digit (0 through 9) as the first digit in a number follows a certain distribution. That is, the digit 1 will occur with about a 30% frequency, followed by the digit 2 at 17.6%, through the digit 9 at 4.6%. See Figure 1.
B.Y.O.D.

B.Y.O.D.

“Bring your own device,” or “B.Y.O.D,” is a concept that an increasing number of companies are implementing. B.Y.O.D allows employees to use their personally-owned devices in the work place. These devices can range from laptops and tablets to cell phones and flash drives. While B.Y.O.D may be a good plan in theory – employees can work with devices they are comfortable using - It is important for employers to thoroughly consider the implications and potential pitfalls before implementing a B.Y.O.D policy. Consider, for example, the following key areas regarding the security of corporate information and infrastructure:
Debits, Credits, and…Edits?

Debits, Credits, and…Edits?

As accountants, we know the significance of numbers.  But in the process of balancing our debits and credits, it is easy to forget the significance of words.  Although it’s important to develop and maintain our skills in spreadsheets, calculations, and analysis, our writing skills are just as important.
Social Media in Fraud Investigations

Social Media in Fraud Investigations

There’s no denying it: social media has changed the way we interact with each other. People are tweeting live from events, “checking in” on Facebook, posting pictures to Instagram and commenting on, liking or sharing just about everything. The amount of personal information that social media users willingly put “out there” is staggering.
Accounting Malpractice Is a Growth Industry

Accounting Malpractice Is a Growth Industry

CPA’s have close relationships with their clients (especially in smaller accounting practices) and rightfully so. Who else is better to understand their client’s financial and business affairs than their trusted CPA? And the relationship generally remains close…
How to Find Electronically Stored Information

How to Find Electronically Stored Information

In our case study, gas station owner, Morris, has alleged that Green Fuel, a small gasoline distributor, overcharged him. Both parties had inadequate and unsophisticated documentation, making determining losses very difficult.
Electronically Stored Information: The Case Study

Electronically Stored Information: The Case Study

You might not think that a small business would have useful or accessible electronically stored information (ESI). Consider this example of identifying and obtaining relevant forensic evidence to determine lost profit damages with this particular small business.
Look for the anomaly to find fraud

Look for the anomaly to find fraud

Events may happen in a person's life that can lead to an act of desperation. And desperate people may take irrational actions. I am talking about bad economic times, the failure of a business, the loss of a job, divorce, a family member on ...