A WHITE COLLAR FRAUD STUDY OF MAJOR EMBEZZLEMENT CASES

This 21 page study is an excellent resource for any audit shop as they ponder how to address the issue of fraud at their clients’ or employer’s operations. In my opinion, you need to document how you are going to address the specific risks that this report does such a good job of describing.

Among the specific findings and statistics that jumped out at me:

  1. Nearly three-quarters of the incidents (72.3%) were committed by employees who held
    finance/ bookkeeping & accounting positions. Step away from the safe. Leave the fraud to the financial professionals.
  2. Nearly 90 percent of the cases involved individual perpetrators. This is a clear indication to me that the major control weakness that allowed or supported the fraud was a lack of segregation of duties.
  3. Most major embezzlers appear to have been motivated by a desire to live a relatively
    more lavish lifestyle, rather than driven by financial woes. Cressy’s fraud triad is just wrong. There is no secret need except greed.

THE 2011 MARQUET REPORT ON EMBEZZLEMENT
A WHITE COLLAR FRAUD
STUDY OF MAJOR EMBEZZLEMENT
CASES ACTIVE IN THE U.S. IN 2011
Published by Marquet International, Ltd.
January 17, 2012

Here is the link:

http://www.marquetinternational.com/pdf/the_2011_marquet_report_on_embezzlement.pdf



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This entry was posted on May 16, 2012 and is filed under Fraud and Embezzlement. Written by: . You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.