An inequality for detecting financial fraud, derived from the Markowitz Optimal Portfolio Theory

Science.gov (United States)

Bard, Gregory V.

2016-12-01

The Markowitz Optimal Portfolio Theory, published in 1952, is well-known, and was often taught because it blends Lagrange Multipliers, matrices, statistics, and mathematical finance. However, the theory faded from prominence in American investing, as Business departments at US universities shifted from techniques based on mathematics, finance, and statistics, to focus instead on leadership, public speaking, interpersonal skills, advertising, etc… The author proposes a new application of Markowitz's Theory: the detection of a fairly broad category of financial fraud (called "Ponzi schemes" in American newspapers) by looking at a particular inequality derived from the Markowitz Optimal Portfolio Theory, relating volatility and expected rate of return. For example, one recent Ponzi scheme was that of Bernard Madoff, uncovered in December 2008, which comprised fraud totaling 64,800,000,000 US dollars [23]. The objective is to compare investments with the "efficient frontier" as predicted by Markowitz's theory. Violations of the inequality should be impossible in theory; therefore, in practice, violations might indicate fraud.

IT-Driven Approaches to Fraud Detection and Control in Financial ...

African Journals Online (AJOL)

PROF. O. E. OSUAGWU

2013-09-01

Sep 1, 2013 ... processes. Fraud is a million dollar business that ... unexpected risks and proactively respond to such [9]. ... task using normal audit procedures [13]. Firstly ... model that emulates a biological system. .... stimulate human decision-making ... Transport Planning", International Journal on Soft Computing (IJSC),.

An Educational Program to Assist Clinicians in Identifying Elder Investment Fraud and Financial Exploitation

Science.gov (United States)

Mills, Whitney L.; Roush, Robert E.; Moye, Jennifer; Kunik, Mark E.; Wilson, Nancy L.; Taffet, George E.; Naik, Aanand D.

2012-01-01

Due to age-related factors and illnesses, older adults may become vulnerable to elder investment fraud and financial exploitation (EIFFE). The authors describe the development and preliminary evaluation of an educational program to raise awareness and assist clinicians in identifying older adults at risk. Participants (n = 127) gave high ratings…

Risk Oriented Audit Methodology’s Improvement, based on the Fraud Theory

Directory of Open Access Journals (Sweden)

Sergei V. Arzhenovskii

2016-12-01

Full Text Available Modern economic development is accompanied by the increasing complexity of the relationship structure, intercompany transactions, the requirements for information disclosure on the entity’s activities. It leads to the opportunities growth of fraudulent representation public companies reporting. The external audit is considered as an institution that resists to negative processes. The issues of improving the tools that assessing the risk of material misstatement of the financial statements due to fraud from the standpoint the fraud theory have been examined here. Determining potential areas in which methodology for risk assessment of material misstatement of the financial statements due to fraud in an audit are based on the modern fraud theory interpretations will be develop. Functional and structural, comparative, logical and historical, deductive and inductive analyst methods have been used. Retrospective analysis on research areas in the fraud theory field has been performed. Perspective directions for improving methodology and methods for risk assessment of material misstatement of the financial statements in an audit have been identified. Methodology development for fraud risk assessment procedures in an audit of financial statements is based on “fraud diamond” theory. Creating new interpretations the fraud theory during last fifteen years is a consequence the expansion opportunities for corporate fraud, one of the most common species which is the financial statements falsification. Changing the list of factors that could initiate the fraud in the company's public reporting requires that the methods of its identification during the audit should be improved. Methodology and methods risk assessment of intentional material misstatement of the financial statements need to be improved in the direction both the modern modification of fraud theory.

Earnings management and financial reporting fraud: can external auditors spot the difference?

OpenAIRE

Kassem, Rasha

2012-01-01

The aim of this paper is to increase external auditors’ knowledge about earnings management and help them spot the difference between earnings management and financial reporting fraud. A thorough literature review was undertaken to achieve the paper’s aim. The secondary data used in this paper was obtained from different databases like Ebscohost, Business Search Premier, Academic Search Premier, Emerlad, Sciencedirect, and Jstor. The current paper suggests a new approach and way of thinking f...

CONSEQUENCES OF FRAUD AT THE PRESENTATION OF THE FINANCIAL STATEMENTS

Directory of Open Access Journals (Sweden)

Florentina Istrate

2017-12-01

Full Text Available The field of tax evasion has generally been the subject of research at different levels on a number of occasions. However, reality demonstrates that tax fraud today is far from being properly and completely perceived, so the mechanisms designed to prevent and combat it are far from being effective.Tax evasion is a very difficult concept to express, and there is no clear definition of tax fraud. When it comes to fraud, there is also talk of legal or legitimate fraud, illegal fraud, international evasion, legal and illegal evasion, tax havens or refugees, abuse of the right to flee to the tax, freedom to choose the least taxed way, or fiscal underestimation, law fraud or underground economy.

Fraud risks in emissions trading

International Nuclear Information System (INIS)

2010-09-01

The system of emission trading is a complex composed entity with on the one hand a strong environmental component and on the other hand a financial world that hooked on this instrument. In chapter 2 an introduction is provided to the emission trading system. The subsequent chapters elaborate Types of Fraud (Chapter 3), Powers (Chapter 4), and Instruments (Chapter 5). The report shows that various forms of fraud are occurring in emission trading, such as VAT fraud and identity theft. [nl

HOW TO PREVENT FRAUD?

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Ionela – Corina Chersan

2009-09-01

Full Text Available Fraud can range from minor employee theft and unproductive behavior tomisappropriation of assets and fraudulent financial reporting. The risk of fraud can be reduced through a combination of prevention and detection measures. Moreover, prevention and deterrence measures are much less costly than the time and expense required for fraud detection and investigation. The information presented in this document generally is applicable to entities of all sizes. However, the degree to which certain programs and controls are applied in smaller, less-complex entities and the formality of theirapplication are likely to differ from larger organizations.

Image Processing Based Signature Verification Technique to Reduce Fraud in Financial Institutions

Directory of Open Access Journals (Sweden)

Hussein Walid

2016-01-01

Full Text Available Handwritten signature is broadly utilized as personal verification in financial institutions ensures the necessity for a robust automatic signature verification tool. This tool aims to reduce fraud in all related financial transactions’ sectors. This paper proposes an online, robust, and automatic signature verification technique using the recent advances in image processing and machine learning. Once the image of a handwritten signature for a customer is captured, several pre-processing steps are performed on it including filtration and detection of the signature edges. Afterwards, a feature extraction process is applied on the image to extract Speeded up Robust Features (SURF and Scale-Invariant Feature Transform (SIFT features. Finally, a verification process is developed and applied to compare the extracted image features with those stored in the database for the specified customer. Results indicate high accuracy, simplicity, and rapidity of the developed technique, which are the main criteria to judge a signature verification tool in banking and other financial institutions.

3 CFR 13519 - Executive Order 13519 of November 17, 2009. Establishment of the Financial Fraud Enforcement Task...

Science.gov (United States)

2010-01-01

...; (m) the Federal Housing Finance Agency; (n) the Office of Thrift Supervision; (o) the Office of the... outreach with representatives of financial institutions, corporate entities, nonprofit organizations, State... Corporate Fraud Task Force created by Executive Order 13271 of July 9, 2002. Executive Order 13271 is hereby...

Corruption, fraud and internal control

Directory of Open Access Journals (Sweden)

Luminiţa IONESCU

2010-12-01

Full Text Available The economic crunch created a specific context for activity and profitability failing. The corruption is more and more common in our days. In the same time, the amount of money lost by businesses and the public sector to larger frauds increased last year to unthinkable limits. The shareholders expect the directors to take care to protect their company’s assets. This is why the financial controller has a very important role in each organization. The techniques to detect corruption or a fraud are developing every year. Thus, the introduction of computerized accounting has created the opportunities to conduct very comprehensive tests at relatively little cost. However, the fraudsters became more and more clever, and the controllers are responsible for the prevention and detection of fraud. The procedures that controllers should adopt with regard to fraud depend on the risk that fraud could occur and remain undetected and also the risk of that fraud impairing the truth and fairness of the statement.

The company you keep: spreading effects of financial fraud on investor trust.

Science.gov (United States)

Bernet, Patrick Michael; Getzen, Thomas E

2007-01-01

Investor trust is valuable to health care organizations. Without it, they may face higher capital costs. This study explores recent cases of fraud and the appearance of impropriety by health care organizations, focusing on the manners in which trust was violated, the systems that allowed those violations, and the effects on financial markets. Increases in the incidence and scale of such transgressions may be harbingers of worse times ahead. This article examines how recent events have affected the cost of capital, and what health care organizations can do to avoid being judged by the company they keep.

Financial Management Service: Areas for Improvement in Computer Controls

National Research Council Canada - National Science Library

1998-01-01

... of federal assets at risk of fraud and misuse, financial information at risk of unauthorized modification or destruction, sensitive information at risk of inappropriate disclosure, and critical operations at risk of disruption...

Pendeteksian Kecurangan (Fraud Laporan Keuangan oleh Auditor Eksternal

Directory of Open Access Journals (Sweden)

Tri Ramaraya Koroy

2008-01-01

Full Text Available Objectives of this paper are to identify and describe the problems in detecting the financial statement fraud in auditing financial statements by external auditors. Although detection of fraud is important to enhance the value of auditing, there are many problems that impede the appropriate implementation of detection. Based on review of related research that have bee done, there are four factors that identified in this paper. First, the characteristic of fraud occurence made it difficult for detection process. Second, auditing standards is not sufficiently supporst the proper detection. Third, work environment of audit may reduce the quality and the last, audit methods and procedures are not enough for efective detection. Based on this identified problems, the improvement of implementation was suggested. Abstract in Bahasa Indonesia: Tujuan makalah ini adalah mengidentifikasi dan menguraikan permasalahan dalam pendeteksian kecurangan dalam audit atas laporan keuangan oleh auditor eksternal. Meskipun pendeteksian kecurangan penting untuk meningkatkan nilai pengauditan, namun terdapat banyak masalah yang dapat menghalangi implementasi dari pendeteksian yang tepat. Berdasarkan telaah atas berbagai penelitian yang telah dilakukan, ada terdapat empat faktor penyebab besar yang diidentifikasikan melalui makalah ini. Pertama, karakteristik terjadinya kecurangan sehingga menyulitkan proses pendeteksian. Kedua, standar pengauditan belum cukup memadai untuk menunjang pendeteksian yang sepantasnya. Ketiga, lingkungan kerja audit dapat mengurangi kualitas audit dan keempat metode dan prosedur audit yang ada tidak cukup efektif untuk melakukan pendeteksian kecurangan. Berdasarkan permasalahan ini, perbaikan yang perlu disarankan untuk diterapkan. Kata kunci: auditing, fraud, financial statement fraud

The role of financial auditor in detecting and reporting fraud and error

OpenAIRE

Bunget, Ovidiu-Constantin

2009-01-01

Responsibility for preventing and detecting fraud rest with management entities. Although the auditor is not and cannot be held responsible for preventing fraud and errors, in your work, he can have a positive role in preventing fraud and errors by deterring their occurrence. The auditor should plan and perform the audit with an attitude of professional skepticism, recognizing that condition or events may be found that indicate that fraud or error may exist. Based on the audit risk asse...

Corruption, fraud and internal control

OpenAIRE

Luminiţa IONESCU

2010-01-01

The economic crunch created a specific context for activity and profitability failing. The corruption is more and more common in our days. In the same time, the amount of money lost by businesses and the public sector to larger frauds increased last year to unthinkable limits. The shareholders expect the directors to take care to protect their company’s assets. This is why the financial controller has a very important role in each organization. The techniques to detect corruption or a fraud a...

THE INFLUENCE OF BOARD OF COMMISSIONERS AND AUDIT COMMITTEE EFFECTIVENESS, OWNERSHIP STRUCTURE, BANK MONITORING, AND FIRM LIFE CYCLE ON ACCOUNTING FRAUD

Directory of Open Access Journals (Sweden)

Synthia Madya Kusumawati

2013-06-01

Full Text Available Financial statement fraud has cost market participants, including investors, employees, creditors, and pensioners. Capital market participants expect active and vigilant corporate governance to ensure the quality, integrity, and transparency of financial information. Financial statement fraud is a serious threat to market participants’ confidence in published audited financial statements. Financial statement fraud has recently received considerable attention from the business community, accounting profession, academicians, and regulators. This paper sheds light on the factors that may increase the likelihood of financial statement fraud. This study empirically tests the impact of board of commissioners and audit committee effectiveness, ownership structure, bank monitoring, and the firm life cycle on the probability of accounting fraud. Hypothesis testing was carried out by using logistic regression model using fraud data from BAPEPAM-LK (Indonesia Stock Exchange Supervisory Agency during the years of 2005-2011. The result of this study indicates that the audit committee effectiveness and controlled family ownership reduce the fraud probability. However, the effectiveness of board commissioners, foreign ownership, bank monitoring, and the firm life cycle do not have any effect on fraud probability.

AICPA standard aids in detecting risk factors for fraud. American Institute of Certified Public Accountants.

Science.gov (United States)

Reinstein, A; Dery, R J

1999-10-01

The American Institute of Certified Public Accountants' Statement on Auditing Standards (SAS) No. 82, Consideration of Fraud in a Financial Statement Audit, requires independent auditors to obtain reasonable assurance that financial statements are free of material mis-statements caused by error or fraud. SAS No. 82 provides guidance for independent auditors to use to help detect and document risk factors related to potential fraud. But while SAS No. 82 suggests how auditors should assess the potential for fraud, it does not expand their detection responsibility. Accordingly, financial managers should discuss thoroughly with auditors the scope and focus of an audit as a means to further their compliance efforts.

Managing Counterparty Risk in an Unstable Financial System

Science.gov (United States)

Belmont, David

2012-01-01

The recent flow of headlines excoriating bankers and financiers for malfeasance, fraud, and collusion has been almost biblical in proportion. Counterparties that appeared creditworthy based on financial statements and ratings have revealed that they are impaired either due to computer errors, control failures, malfeasance, or potential regulatory…

How to assess your green fraud risks

International Nuclear Information System (INIS)

2011-02-01

Pressure to conform to a sustainability agenda is coming from customers, investors, employees, industry bodies and the media. This agenda is evolving into a critical part of an organisation's business model, and their relationships, opening up new market opportunities and supporting cost efficiencies. But all changes in business activities also raise the risk of fraud and abuse. Sustainability is no exception. The potential for fraud tends to be greater in new markets, when information is imperfect, standards of measurement and verification are not harmonised and governance is weak. The sustainability marketplace, taken as a whole, is all of these things. To a large extent, the types of fraud appearing are not new. They represent the application of tried and tested fraudulent practices to the sustainability arena. A comprehensive and robust design, rather than an ad hoc, piecemeal approach, is essential for a successful sustainability strategy. An awareness of the risk of potential fraud and the need to incorporate measures to protect against it are part of that process. Sustainable business practices, including a company's mitigation and carbon markets activities, are disclosed as either financial or non-financial data. In this paper, PwC examines some of the green fraud risks that companies face when engaged in such activities and the steps they can take to mitigate or eliminate them.

Fraud Indicators Applied to Legal Entities : An Empirical Ranking Approach

NARCIS (Netherlands)

S. van den Braak; R. Choenni; M.S. Bargh

2014-01-01

Legal persons (i.e., entities such as corporations, companies, partnerships, firms, associations, and foundations) may commit financial crimes or employ fraudulent activities like money laundering, tax fraud, or bankruptcy fraud. Therefore, in the Netherlands legal persons are automatically screened

THE INFLUENCE OF BOARD OF COMMISSIONERS AND AUDIT COMMITTEE EFFECTIVENESS, OWNERSHIP STRUCTURE, BANK MONITORING, AND FIRM LIFE CYCLE ON ACCOUNTING FRAUD

OpenAIRE

Synthia Madya Kusumawati; Ancella A. Hermawan

2013-01-01

Financial statement fraud has cost market participants, including investors, employees, creditors, and pensioners. Capital market participants expect active and vigilant corporate governance to ensure the quality, integrity, and transparency of financial information. Financial statement fraud is a serious threat to market participants’ confidence in published audited financial statements. Financial statement fraud has recently received considerable attention from the business community, accou...

ACCOUNTING FRAUD AND CHARACTERISTICS OF COMPANY EXECUTIVES: AN EMPIRICAL INVESTIGATION

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Maria BAXEVANI

2014-11-01

Full Text Available This study examines accounting fraud in relation to the characteristics of company executives. The study portrays the degree to which company as well as personal motives could urge an executive to commit fraud. Subsequently, we attempt to identify the degree to which certain socio-economic factors and the existence of strong internal audit mechanisms act as deterrence agents. Furthermore, we investigate the personal financial gain in relation to annual income as a motivator to commit fraud. Finally, we examine the optimal imprisonment duration as a deterrent and the overall probability to commit fraud. The research method was based in the distribution of a questionnaire and took place in the city of Thessaloniki and the region of West Macedonia and Thessaly. The participants were executives in the banking, financial and insurance sector. Our findings show that it is mostly personal factors that motivate an executive to commit fraud, but the fear of immediate legal sanctions and the existence of strong internal audit mechanisms are effective deterrence agents.

You've been warned: Consumer liability in Internet banking fraud

NARCIS (Netherlands)

van der Meulen, N.S.

2013-01-01

This contribution provides a critical analysis of the treatment of consumer liability in cases of Internet banking fraud. Whereas generally banks refund the financial losses associated with Internet banking fraud to the individual victim, exceptions do occur, at least in certain EU jurisdictions.

PEMERIKSAAN FRAUD DALAM AKUNTANSI FORENSIK DAN AUDIT INVESTIGATIF

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Annisa Sayyid

2015-08-01

Full Text Available The History of world bussiness is full of ethics violation cases and financial scandals. Public can even see clearly the various economic crimes such as corruption, financial engineering and money laundering. These issues are always interesting since it involves tricks in information presentation which indicates a fraud. The application of forensic accounting and investigative audits is a solution to the anxiety of financial world. Forensic accounting and investigative audits in its simplest form is a blend between the disciplines of accounting, auditing and law. Forensic accounting is the use of accounting skills combined with the ability to solve a problem or alleged fraud. The investigative audit is an attempt to prove a mistake in accordance with the provisions of applicable law.

Finance middle managers and financial statement fraud

NARCIS (Netherlands)

Linke, Kristina Gisela Babette

2012-01-01

Verslaggevingsfraude is het manipuleren van de boekhouding om betere cijfers te laten zien. Kristina Linke onderzocht deze vorm van fraude, waarbij zij vooral keek naar de rol van de controller. Dat gebeurde aan de hand van 244 aanklachten in de periode 2000-2006 in de Verenigde Staten. Uit het

Factors affecting the government procurement fraud: The independent auditor’s point of view. Evidence from Indonesia

Directory of Open Access Journals (Sweden)

Zulaikha

2016-11-01

Full Text Available The objective of this study was examining the factors affecting the government procurement fraud. Based on the fraud triangle and the theory of planned behavior, this study proposed seven hypothesis, those are tested by regression analysis. This study used primary data gathered by surveys to members of The Boards of the Republic Indonesia- Financial Auditors, who act as external auditors for the Government. They were asked to assess factors influencing the government procurement of goods and services fraud. There were 297 auditors of the Boards that participated in this survey. The result showed that the procurement frauds were influenced by the lack of procurement committee quality, the weakness of procurement control, and the intentions to engage fraud. The intentions to engage fraud were significantly influenced by the attitude toward fraud, subjective norms, and the perceived behavioral control. Furthermore, other elements of fraud triangle, the financial pressure, did not influence to the procurement fraud.

Threats to financial system security

Energy Technology Data Exchange (ETDEWEB)

McGovern, D.E.

1997-06-01

The financial system in the United States is slowly migrating from the bricks and mortar of banks on the city square to branch banks, ATM`s, and now direct linkage through computers to the home. Much work has been devoted to the security problems inherent in protecting property and people. The impact of attacks on the information aspects of the financial system has, however, received less attention. Awareness is raised through publicized events such as the junk bond fraud perpetrated by Milken or gross mismanagement in the failure of the Barings Bank through unsupervised trading activities by Leeson in Singapore. These events, although seemingly large (financial losses may be on the order of several billion dollars), are but small contributors to the estimated $114 billion loss to all types of financial fraud in 1993. Most of the losses can be traced to the contribution of many small attacks perpetrated against a variety of vulnerable components and systems. This paper explores the magnitude of these financial system losses and identifies new areas for security to be applied to high consequence events.

Stateless Puzzles for Real Time Online Fraud Preemption

OpenAIRE

Rahman, Mizanur; Recabarren, Ruben; Carbunar, Bogdan; Lee, Dongwon

2017-01-01

The profitability of fraud in online systems such as app markets and social networks marks the failure of existing defense mechanisms. In this paper, we propose FraudSys, a real-time fraud preemption approach that imposes Bitcoin-inspired computational puzzles on the devices that post online system activities, such as reviews and likes. We introduce and leverage several novel concepts that include (i) stateless, verifiable computational puzzles, that impose minimal performance overhead, but e...

Accounting Fraud: an estimation of detection probability

Directory of Open Access Journals (Sweden)

Artur Filipe Ewald Wuerges

2014-12-01

Full Text Available Financial statement fraud (FSF is costly for investors and can damage the credibility of the audit profession. To prevent and detect fraud, it is helpful to know its causes. The binary choice models (e.g. logit and probit commonly used in the extant literature, however, fail to account for undetected cases of fraud and thus present unreliable hypotheses tests. Using a sample of 118 companies accused of fraud by the Securities and Exchange Commission (SEC, we estimated a logit model that corrects the problems arising from undetected frauds in U.S. companies. To avoid multicollinearity problems, we extracted seven factors from 28 variables using the principal factors method. Our results indicate that only 1.43 percent of the instances of FSF were publicized by the SEC. Of the six significant variables included in the traditional, uncorrected logit model, three were found to be actually non-significant in the corrected model. The likelihood of FSF is 5.12 times higher when the firm’s auditor issues an adverse or qualified report.

Employing Artificial Intelligence To Minimise Internet Fraud

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Edward Wong Sek Khin

2009-12-01

Full Text Available Internet fraud is increasing on a daily basis with new methods for extracting funds from government, corporations, businesses in general, and persons appearing almost hourly. The increases in on-line purchasing and the constant vigilance of both seller and buyer have meant that the criminal seems to be one-step ahead at all times. To pre-empt or to stop fraud before it can happen occurs in the non-computer based daily transactions of today because of the natural intelligence of the players, both seller and buyer. Currently, even with advances in computing techniques, intelligence is not the current strength of any computing system of today, yet techniques are available which may reduce the occurrences of fraud, and are usually referred to as artificial intelligence systems.This paper provides an overview of the use of current artificial intelligence (AI techniques as a means of combating fraud.Initially the paper describes how artificial intelligence techniques are employed in systems for detecting credit card fraud (online and offline fraud and insider trading.Following this, an attempt is made to propose the using of MonITARS (Monitoring Insider Trading and Regulatory Surveillance Systems framework which use a combination of genetic algorithms, neural nets and statistical analysis in detecting insider dealing. Finally, the paper discusses future research agenda to the role of using MonITARS system.

PREDICTIVE ANALYTICS OF THE FRAUD PREVENTION AND DETECTION AT ASF LEVEL

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Constanta Iacob

2016-12-01

Full Text Available A need for greater rigor, which is felt by insurance companies in order to guarantee the fundamental balance of their financial sources, led to intensification of the concerns for preventing and combating fraud. The scope of the controller's mission is variable and its limits are set by the control program which has been established. In assessing the fair price of the caused damage, the essential role of the controller is to put a stop to the fraud and to avoidearly damage coverage.But information is required in order to accomplish this.The predictive analytics, of those processes necessary to prevent and combat fraud, is a way of passing from a retroactive and intuitive process to a proactive one, that is oriented according to the information possessed. Based on this approach, insurance companies can build models, to predict the risk of fraud, in order to reduce their financial-cost impact.

FRAUD IN ELECTRONIC COMMERCE

Directory of Open Access Journals (Sweden)

Valentin – Stelian Bădescu

2013-11-01

Full Text Available Electronic commerce is experiencing a great extent, and about the same extent fraud seeks - and sometimes is the place to impressive levels. Moreover, computer fraud and, the actors' they do not seem to suffer from the global economic recession and get as sophisticated as a legitimate business model and one of the most important dimensions of the work of modern organizations is the manipulation of information (collection, processing, storage, distribution, etc.. This component informational increasingly involves broader and more complex, with the technological advancement of computer science and globalization of human society, special measures to ensure the security of information. Cyber-crime is an illegal act committed by using a computer network (especially Internet. Cyber-crime is a subset of cybercrime.

A Trust-driven Financial Crisis.Implications for the Future of Financial Markets.

OpenAIRE

Luigi Guiso

2010-01-01

The financial crisis has brought to light diffuse opportunistic behaviour and some serious frauds. Because of this trust towards banks, bankers, brokers and the stock market has collapsed to unprecedented levels and there are so far no signs of recovery. This paper uses survey-based information to document the collapse of trust, show its link to the emergence of frauds in the financial industry and discuss its consequences for the demand of financial instruments, investors portfolios and more...

FRAUD DETECTION LAPORAN KEUANGAN PERUSAHAAN MANUFAKTUR YANG TERDAFTAR DI BURSA EFEK NDONESIA

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Indarti Inova Fitri Siregar Nurhayani Lubis

2016-03-01

Full Text Available Abstrak : Penelitian ini bertujuan untuk menganalisis pendeteksian laporan keuangan dengan menggunakan Leverage, Financial Stability, dan Financial Targets, studi Empiris pada Perusahaan Manufaktur yang terdaftar di Bursa Efek Indonesia untuk tahun laporan 2012 sampai dengan 2014. Mengingat pentingnya peran yang dimiliki oleh laporan keuangan, maka hanya laporan keuangan berkualitas dan terbebas dari salah saji material baik yang disengaja (fraud maupun yang tidak disengaja (error yang dapat dipercaya sebagai sumber informasi untuk pengambilan keputusan. Untuk itu sebagai tujuan jangka panjangnya adalah agar setiap perusahaan dapat mendeteksi laporan keuangannya secara dini oleh bagian internal kontrol atau bagian internal audit perusahaannya agar terhindar dari kemungkinan kecurangan penyajian Laporan Keuangan.Adapun objek yang menjadi penelitian ini Laporan Keuangan yang terdaftar di Bursa Efek Indonesia. Populasi dalam penelitian ini adalah Perusahaan Manufaktur yang terdaftar di Bursa Efek Indonesia untuk tahun laporan 2012 sampai dengan 2014.  Sampel pada penelitian ini dipilih berdasarkan metode  purposive sampling dengan  jumlah  populasi  sebanyak  134  perusahaan  dan  sampel  sebanyak  20 perusahaan.  Metode  analisis  yang  digunakan  adalah  analisis  regresi  berganda dengan program SPSS versi 20. Teknik analisis yang digunakan pada penelitian ini  adalah  analisis  statistik  deskriptif,  uji  asumsi  klasik,  uji  hipotesis  F-statistik untuk  menguji  pengaruh  secara  bersama-sama  dengan  tingkat  kepercayaan  5% serta  menggunakan  t-statistik  untuk  menguji  koefisien  regresi  parsial. Penelitian ini dilakukan untuk menganalisis seberapa besar pengaruh Leverage, Financial stability pressure, dan Financial Targets terhadap Fraud Detection pada pelaporan keuangan dengan menggunakan Manajemen Laba Riil.Hasil penelitian  ini  menunjukkan  bahwa  secara  simultan  Leverage

FraudBuster: Reducing Fraud in an Auto Insurance Market.

Science.gov (United States)

Nagrecha, Saurabh; Johnson, Reid A; Chawla, Nitesh V

2018-03-01

Nonstandard insurers suffer from a peculiar variant of fraud wherein an overwhelming majority of claims have the semblance of fraud. We show that state-of-the-art fraud detection performs poorly when deployed at underwriting. Our proposed framework "FraudBuster" represents a new paradigm in predicting segments of fraud at underwriting in an interpretable and regulation compliant manner. We show that the most actionable and generalizable profile of fraud is represented by market segments with high confidence of fraud and high loss ratio. We show how these segments can be reported in terms of their constituent policy traits, expected loss ratios, support, and confidence of fraud. Overall, our predictive models successfully identify fraud with an area under the precision-recall curve of 0.63 and an f-1 score of 0.769.

TAX EVASION BETWEEN FRAUD AND OPTIMIZATION

Directory of Open Access Journals (Sweden)

Emilia Cornelia STOICA

2017-05-01

Full Text Available Tax optimization, often called legal tax evasion is the use of methods and techniques that are within the law, in order to reduce or even cancel the tax liability. To achieve such an approach, the taxpayer or his advisers must know in depth the tax law - and by extension, the financial and administrative law - and, moreover, must be functional tax jurisdictions which allow the use of appropriate assemblies. The recent leasks, as WikiLeaks, LuxLeaks, SwissLeaks, Panama Papers etc. on financial flows to tax havens highlight the far-reaching unprecedented evasion and tax fraud, both in the amounts involved - trillions of dollars - and sophisticated assemblies used primarily by multinational companies to the detriment of the public finances of Member territory headquarters and branches which are located and, therefore, detrimental economic and social life of those countries. Tax evasion is based on legal mechanisms which, combined together in the montages of increasingly complex, allowing operators, mostly multinational legal entities to circumvent national tax law and not pay the taxes due. The border between tax optimization, tax evasion and fraud is very thin, optimization using various legal methods to reduce the tax owed, whereas tax evasion using illegal means, which covered crime. Tax evasion reveals either optimize or fraud. There is a significant international dimension of tax evasion because it is favored by multinational corporations operating conditions.

Continuous Fraud Detection in Enterprise Systems through Audit Trail Analysis

Directory of Open Access Journals (Sweden)

Peter J. Best

2009-03-01

Full Text Available Enterprise systems, real time recording and real time reporting pose new and significant challenges to the accounting and auditing professions. This includes developing methods and tools for continuous assurance and fraud detection. In this paper we propose a methodology for continuous fraud detection that exploits security audit logs, changes in master records and accounting audit trails in enterprise systems. The steps in this process are: (1 threat monitoring-surveillance of security audit logs for ‘red flags’, (2 automated extraction and analysis of data from audit trails, and (3 using forensic investigation techniques to determine whether a fraud has actually occurred. We demonstrate how mySAP, an enterprise system, can be used for audit trail analysis in detecting financial frauds; afterwards we use a case study of a suspected fraud to illustrate how to implement the methodology.

Fraud and Fraudulent Practices in Nigeria Banking

African Journals Online (AJOL)

FIRST LADY

Owolabi, S. A. - Accounting Department, Babcock University, Nigeria. E-mail: ... Abstract. The paper reviews the various forms of fraudulent practice their impact and ... legislations targeted at reducing fraud and introducing some forms of control .... money market and treasury, risk assets, information technology, financial.

78 FR 29055 - State Medicaid Fraud Control Units; Data Mining

Science.gov (United States)

2013-05-17

... pursue Medicaid provider fraud, we finalize proposals to permit Federal financial participation (FFP) in... general approach to data mining by MFCUs is to give each MFCU the autonomy to choose how to operate its...) to read as follows: Sec. 1007.19 Federal financial participation (FFP). * * * * * (e) * * * (2...

Wine fraud

Directory of Open Access Journals (Sweden)

Lars Holmberg

2010-10-01

Full Text Available Lars HolmbergFaculty of Law, University of Copenhagen, Copenhagen, DenmarkAbstract: Wine fraud may take several forms, of which two are discussed here: consumption fraud aimed at the wine market in general, and collector fraud aimed at the very top of the wine market. Examples of wine fraud past and present are given, and a suggestion about the extent of contemporary consumer fraud in Europe is provided. Technological possibilities for future detection and prevention of both forms of wine fraud are discussed.Keywords: adulteration, counterfeit, detection

Tax FRAUD DETECTION ACTORS evasion between fiscal and penalty

Directory of Open Access Journals (Sweden)

Ionuț Spătărelu

2017-12-01

Full Text Available Fraud occurs both in the public and private sectors and is practiced most often in collusion with those around us, with colleagues, customers and suppliers targeting both material goods and goods from other categories. The consequences of fraud are enormous for the company and may threaten its existence and there is the possibility of putting its reputation at risk. Generally speaking, financial control acts and operations consist of documentary and factual verifications, written records of findings, appraisals and conclusions, as well as decisions on actions and possible coercions necessary to restore the compliance of controlled subjects’ financial activity with the law. Internal Auditing is a support function because it enables business managers and organizations to better manage their activities.

Reducing Fraudulent Financial Reporting: An Expanded Role for Business Education in the 1990s.

Science.gov (United States)

Urbancic, Frank R.

1988-01-01

The author reports findings of the National Commission on Fraudulent Financial Reporting concerning the role of business education in reducing fraud in financial reporting. Issues covered include teaching financial regulations, developing skills needed to detect fraud, teaching ethical values, and preparing faculty to teach about financial fraud.…

Implications of Fraud and Error Risks in the Enterprise Environment and Auditor’s Work

Directory of Open Access Journals (Sweden)

Emil Horomnea

2012-05-01

Full Text Available The objective of this study is to identify and analyze the main correlations and implications offraud and error in the business environment and in the financial scandals occurred in the last decade. Theapproach envisages a synthesis and antithesis of the ideas found on this subject in the specialty literature, ofthe regulations issued by various international bodies. To achieve the established objectives, we used aconstructive methodology to identify criticism, presentations and developed a speech with view to a moreefficient and effective fraud and error risk management. The results of the study show that the major financialscandals and hence the global economic crisis are based largely on fraudulent maneuvers of significantproportions. By using "creative accounting" in fraud and error, famous companies have managed to distortreality for their performance and market position, misleading the users’ perception. This study is a theoreticalhaving implications for a future empirical study.The study contributes to auditing literature diversification inthe field of risk of fraud and error. An additional perspective is gained by addressing the financial crisis andsome famous bankruptcies by way of the financial auditors activity and the fraud and error risk.

Presence of Corporate Frauds at a Global Level

Directory of Open Access Journals (Sweden)

Vranješ Svjetlana

2017-06-01

Full Text Available The legislative bodies of the countries, members of the accounting and auditing profession, various associations have taken a number of preventive measures and mechanisms for combating corporate criminal activities and financial frauds, but unfortunately, the fact is that even today they often happen in both undeveloped and the most developed market economies. It is therefore essential to pay significant attention to corporate criminal activity and financial frauds that are happening in the business world. The aim of this paper is to show the presence of different forms of corporate criminal activity at a global level, and to display a conceptual framework of criminal activity and motives for their doing. Concluding remarks of this paper provide guidelines for further research and recommendations on how to improve the mechanisms for preventing and detecting criminal activity.

Scientific fraud in 20 falsified anesthesia papers : detection using financial auditing methods.

Science.gov (United States)

Hein, J; Zobrist, R; Konrad, C; Schuepfer, G

2012-06-01

Data from natural sources show counter-intuitive distribution patterns for the leading digits to the left of the decimal point and the digit 1 is observed more frequently than all other numbers. This pattern, which was first described by Newcomb and later confirmed by Benford, is used in financial and tax auditing to detect fraud. Deviations from the pattern indicate possible falsifications. Anesthesiology journals are affected not only by ghostwriting and plagiarism but also by counterfeiting. In the present study 20 publications in anesthesiology known to be falsified by an author were investigated for irregularities with respect to Benford's law using the χ(2)-test and the Z-test. In the 20 retracted publications an average first-digit frequency of 243.1 (standard deviation SD ± 118.2, range: 30-592) and an average second-digit frequency of 132.3 (SD ± 72.2, range: 15-383) were found. The observed distribution of the first and second digits to the left of the decimal point differed significantly (panalysis of each paper 17 out of 20 studies differed significantly from the expected value for the first digit and 18 out of 20 studies varied significantly from the expected value of the second digit. Only one paper did not vary significantly from expected values for the digits to the left of the decimal. For comparison, a meta-analysis using complex mathematical procedures was chosen as a control. The analysis showed a first-digit distribution consistent with the Benford distribution. Thus, the method used in the present study seems to be sensitive for detecting fraud. Additional statements of specificity cannot yet be made as this requires further analysis of data that is definitely not falsified. Future studies exploring conformity might help prevent falsified studies from being published.

Wine fraud

OpenAIRE

Holmberg, Lars

2010-01-01

Lars HolmbergFaculty of Law, University of Copenhagen, Copenhagen, DenmarkAbstract: Wine fraud may take several forms, of which two are discussed here: consumption fraud aimed at the wine market in general, and collector fraud aimed at the very top of the wine market. Examples of wine fraud past and present are given, and a suggestion about the extent of contemporary consumer fraud in Europe is provided. Technological possibilities for future detection and prevention of both forms of wine fra...

Fraud Risk Factors and Audit Programme Modifications: Evidence from Jordan

Directory of Open Access Journals (Sweden)

Modar Abdullatif

2013-03-01

Full Text Available This study explores how audit firms in Jordan deal with the presence of fraud risk factors in audit clients. In doing so, the study seeks to explore which fraud risk factors are more important to Jordanianauditors, and how Jordanian auditors consider modifying their audit programmes when fraud risk factors are present in clients. The study uses a structured questionnaire that was administered to seniorlevel auditors in the largest Jordanian audit firms. The findings show that almost all of the 20 fraud risk factors included in the questionnaire were only slightly important (if not unimportant, a finding that is arguably alarming. The perceived importance of modifying the audit programme in the presence of each fraud risk factor was related to the perceived importance of the fraud risk factor itself. However, changes in the nature and extent of audit procedures were more important than changes in the timing of the procedures or the members of the audit team. The most important fraud risk factors were related to the characteristics of management and its attitude towards the audit, while the least important fraud risk factors were related to the difficulties in the client’s financial performance. Factor analysis found that the fraud risk factors could be classified into four separate groups. Possible interpretations of the findings were discussed, such as considering the Jordanian business environment characteristics, and the findings were compared to those of extant international studies.

THE ROLE OF TECHNOLOGY IN COMBATTING BANK FRAUDS: PERSPECTIVES AND PROSPECTS

Directory of Open Access Journals (Sweden)

Madan Lal BHASIN

2016-08-01

Full Text Available Banks are the engines that drive the operations in the financialsector, money markets and growth of an economy. With the rapidly growingbanking industry in India, frauds in banks are also increasing very fast, andfraudsters have started using innovative methods. As part of the study, a questionnaire-basedsurvey was conducted in 2013-14 among 345 bank employees to know theirperception towards bank frauds and evaluate the factors that influence thedegree of their compliance level. This study provides a frank discussion of theattitudes, strategies and technology that specialists will need to combatfrauds in banks. In the modern era, there is “no silver bullet for fraudprotection; the double-edged sword of technology is getting sharper,day-in-day-out.” The use of neural network-based behavior models in real-timehas changed the face of fraud management all over the world. Banks that canleverage advances in technology and analytics to improve fraud prevention willreduce their fraud losses. Recently, forensic accounting has come into limelightdue to rapid increase in financial frauds or white-collar crimes.

Implementing US-style anti-fraud laws in the Australian pharmaceutical and health care industries.

Science.gov (United States)

Faunce, Thomas A; Urbas, Gregor; Skillen, Lesley

2011-05-02

This article critically analyses the prospects for introducing United States anti-fraud (or anti-false claims) laws in the Australian health care setting. Australian governments spend billions of dollars each year on medicines and health care. A recent report estimates that the money lost to corporate fraud in Australia is growing at an annual rate of 7%, but that only a third of the losses are currently being detected. In the US, qui tam provisions - the component of anti-fraud or anti-false claims laws involving payments to whistleblowers - have been particularly successful in providing critical evidence allowing public prosecutors to recover damages for fraud and false claims made by corporations in relation to federal and state health care programs. The US continues to strengthen such anti-fraud measures and to successfully apply them to a widening range of areas involving large public investment. Australia still suffers from the absence of any comprehensive scheme that not only allows treble damages recovery for fraud on the public purse, but crucially supports such actions by providing financial encouragement for whistleblowing corporate insiders to expose evidence of fraud. Potential areas of application could include direct and indirect government expenditure on health care service provision, pharmaceuticals, medical devices, defence, carbon emissions compensation and tobacco-related illness. The creation in Australia of an equivalent to US anti-false claims legislation should be a policy priority, particularly in a period of financial stringency.

Aspects Concerning the Relationship between Internal Audit and Fraud Risk

Directory of Open Access Journals (Sweden)

Ioana Lupasc

2016-07-01

Full Text Available In the current economical situation, fraud cannot be regarded as an exception with random occurrence and limited effects on credit institution. Major fraud scandals that shook the financial markets required a rethinking of the organization and control of the banks to keep intact the trust of customers. Identifying and assessing risks is a concern not only for managers, but also for internal and external auditors. Management may implement programs or measures to limit the risks or deciding to accept some risks. In order to identify the main causes generating fraud risk and increasing the quality of banking activity we used a quantitative research method that was based on a questionnaire administered individually, using SPSS.

ERRORS AND FRAUD IN ACCOUNTING. THE ROLE OF EXTERNAL AUDIT IN FIGHTING CORRUPTION

Directory of Open Access Journals (Sweden)

Luminita Ionescu

2017-12-01

Full Text Available Accounting errors and fraud are common in most businesses, but there is a difference between fraud and misinterpretation of communication or accounting regulations. The role of management in preventing fraud becomes important in the last decades and the importance of auditing in curbing corruption is increasingly revealed. There is a strong connection between fraud and corruption, accelerated by electronic systems and modern platforms. The most recent developments tend to confirm that external auditing is curbing corruption, due to international accounting and auditing standards at national and regional levels. Thus, a better implementation of accounting standards and high quality of external control could prevent errors and fraud in accounting, and reduce corruption, as well. The aim of this paper is to present some particular aspects of errors and fraud in accounting, and how external audit could ensure accuracy and accountability in financial reporting.

FINANCIAL INFORMATION, EFFECTS OF FINANCIAL INFORMATION ON ECONOMIC DECISION

Directory of Open Access Journals (Sweden)

TAK ISA

2010-12-01

Full Text Available Financial information has, indisputably, an important effect in economics. To form an effective capital market, financial information must be reliable and accurate. Misleading financial information always has a negative impact on economic decision taken by users. It is known that financial information as the cornerstone of financial markets, can improve economic performance in several ways. Nowadays we are facing economic crisis due to irregularities of presentation of financial statements to users. Misunderstandings cause economic recession. Detection of fraudulent financial information, is an important issue facing the auditing profession. Currently, bankruptcy of companies around the world, leaves millions of people without jobs, this is caused by financial information which is manipulated by companies. The purpose of this paper is to analyze the effects of errors and manipulation committed in the financial information sector on the real economy. Also one of the purposes of this paper is to analyze error and fraud in financial statements how it effects the real economy and the reasons for committing fraud in financial statements. Also, several suggestions are included in this study about actions that can be taken to prevent errors and manipulation in financial information.

Challenge of mitigating bank frauds by judicious mix of technology: Experience of a developing country

Directory of Open Access Journals (Sweden)

Madan Lal Bhasin

2016-12-01

Full Text Available Banks are the engines that drive the operations in the financial sector, money markets and growth of an economy. With the rapidly growing banking industry in India, frauds in banks are also increasing fast, and fraudsters have started using innovative methods. A questionnaire-based survey was conducted in 2013-14 among 345 bank employees to know their perception towards bank frauds, degree of their compliance level, and integration of technology to detect, control and prevent frauds. This study provides discussion of the attitudes, strategies, and the technology that bank specialists will need to combat frauds. Banks that can leverage advances in technology and analytics to improve fraud prevention will reduce their fraud losses. In 2015, the RBI introduced new mechanisms for banks to check loan frauds by taking pro-active steps by setting up a Central Fraud Registry, introduced the concept of Red Flagged Account, and Indian investigative agencies will soon start sharing their databases with banks.

Modeling fraud detection and the incorporation of forensic specialists in the audit process

DEFF Research Database (Denmark)

Sakalauskaite, Dominyka

Financial statement audits are still comparatively poor in fraud detection. Forensic specialists can play a significant role in increasing audit quality. In this paper, based on prior academic research, I develop a model of fraud detection and the incorporation of forensic specialists in the audit...... process. The intention of the model is to identify the reasons why the audit is weak in fraud detection and to provide the analytical framework to assess whether the incorporation of forensic specialists can help to improve it. The results show that such specialists can potentially improve the fraud...... detection in the audit, but might also cause some negative implications. Overall, even though fraud detection is one of the main topics in research there are very few studies done on the subject of how auditors co-operate with forensic specialists. Thus, the paper concludes with suggestions for further...

Fraud risks in emissions trading; Frauderisico's bij handel in emissierechten

Energy Technology Data Exchange (ETDEWEB)

NONE

2010-09-15

The system of emission trading is a complex composed entity with on the one hand a strong environmental component and on the other hand a financial world that hooked on this instrument. In chapter 2 an introduction is provided to the emission trading system. The subsequent chapters elaborate Types of Fraud (Chapter 3), Powers (Chapter 4), and Instruments (Chapter 5). The report shows that various forms of fraud are occurring in emission trading, such as VAT fraud and identity theft. [Dutch] Het systeem van emissiehandel is een complex samengesteld geheel met aan de ene kant een belangrijke milieucomponent en aan de andere kant een financiele wereld die ingehaakt heeft op dit instrument. In hoofdstuk 2 wordt een introductie gegeven op het systeem van emissiehandel. In de volgende hoofdstukken wordt dieper ingegaan op Fraudevormen (hoofdstuk 3), Bevoegdheden (hoofdstuk 4), en Instrumentarium (hoofdstuk 5). Uit het rapport blijkt dat verschillende vormen van fraude zijn optreden bij de handel in emissierechten, zoals BTW-fraude en identiteitsfraude.

IT-Driven Approaches to Fraud Detection and Control in Financial ...

African Journals Online (AJOL)

... case-based Reasoning, genetic algorithm and fuzzy logic. Its derivable benefits were x-rayed. It has been concluded that there is need for an IT-driven approach to fraud detection and control as a workable alternative to curb the increase and sophistication of fraudsters. KEYWORD: Data Mining, Artificial Neural Network, ...

Pengaruh Kualitas Audit Terhadap Potensi Risiko Fraudulent Financial Statemetn Melaui Fraud Score Model (Studi Empiris Pada Perusahaan Manufaktur Yang Terdaftar Di Bei)

OpenAIRE

Nurjannah, Aris; Cahyati, Ari Dewi

2014-01-01

This study examined the effect of audit quality to the potential risk of fraudulent financial statement through fraud score models. The population in this study is all manufacture company listed on the Indonesia Stock Exchange. Using purposive sampling method was obtained for companies audited by KAP big four is 39 and as much as non big four is 30. This study uses secondary data manufacturing company in 2010-2012. audit quality measured by the big four and non big four, risk of fraudulen...

CERN anti-fraud policy

CERN Multimedia

2013-01-01

In 2011, a working group on improved fraud prevention and management was established. The group was composed of the Director of Administration and General Infrastructure, the Head of the Human Resources Department, and the Heads of the Legal Service and Internal Audit. It recommended the adoption of a global fraud prevention and management policy.   The global fraud prevention and management policy was implemented through the CERN Anti-Fraud Policy, which was endorsed by the Enlarged Directorate in May 2012 and approved by the Director-General for entry into force on 1 January 2013. The CERN Anti-Fraud Policy defines the Organization’s policy in matters of fraud.  CERN has a zero tolerance approach towards fraud, as it would compromise the accomplishment of its objectives and undermine its functioning, credibility and reputation. The policy also states CERN’s commitment to the prevention, identification and investigation of fraud. All CERN contributors have a key rol...

Health Fraud

Science.gov (United States)

Health fraud involves selling drugs, devices, foods, or cosmetics that have not been proven effective. Keep in ... you from getting the treatment you really need. Health fraud scams can be found everywhere, promising help ...

Discerning Novel Value Chains in Financial Malware : On the Economic Incentives and Criminal Business Models in Financial Malware Schemes

NARCIS (Netherlands)

Wegberg, R.S. van; Klievink, A.J.; Eeten, M.J.G. van

2017-01-01

Fraud with online payment services is an ongoing problem, with significant financial-economic and societal impact. One of the main modus operandi is financial malware that compromises consumer and corporate devices, thereby potentially undermining the security of critical financial systems. Recent

Discerning Novel Value Chains in Financial Malware : On the Economic Incentives and Criminal Business Models in Financial Malware Schemes

NARCIS (Netherlands)

van Wegberg, R.S.; Klievink, A.J.; van Eeten, M.J.G.

Fraud with online payment services is an ongoing problem, with significant financial-economic and societal impact. One of the main modus operandi is financial malware that compromises consumer and corporate devices, thereby potentially undermining the security of critical financial systems.

INSTABILITY MODELING OF FINANCIAL PYRAMIDS

OpenAIRE

Girdzijauskas, Stasys; Moskaliova, Vera

2005-01-01

The financial structures that make use of money flow for “easy money” or cheating purpose are called financial pyramids. Recently financial pyramids intensively penetrates IT area. It is rather suitable way of the fraud. Money flow modeling and activity analysis of such financial systems allows identifying financial pyramids and taking necessary means of precautions. In the other hand even investing companies that function normally when market conditions changes (e.g. interest rates) eventual...

Financial Fraud and Child Abuse

Science.gov (United States)

Little, Allison Dare

2014-01-01

A modern form of abuse of children by parents and foster parents is to use the identity of children in their care for their own financial benefit, such as accessing their unused social security numbers to secure credit. This article reviews examples and implications of this identity theft.

Fraud Risk in Audit Activities According to IAS 8

Directory of Open Access Journals (Sweden)

Raluca – Ionela Radu

2014-03-01

Full Text Available According to international auditing standards, fraud is an intentionally action realised by one or more persons as management, employees or third parties, action that generate erroneous interpretation of financial statements. The real intention is to cheat. However, there can be involved some erroneous calculus generated by creative accounting. The concept of “error” refers to unintentionally mistakes that could appear in financial statements. We think there could be mathematical or accounting mistakes, unintentionally omission, or wrong interpretation of certain facts, accounting policies wrong application. All these actions are unwittingly. It is very important to identify situations cause and take necessary measures to eliminate them

La responsabilité pénale des avocats et conseillers d'entreprise en cas de fraude fiscale et blanchiment d'argent

OpenAIRE

Noël, Jérôme

2015-01-01

La présente contribution a pour objet un mal social dont l’actualité refait surface à chaque scandale financier : la blanchiment d’argent et plus particulièrement le blanchiment de capitaux provenant d’une fraude fiscale. Réprimé pénalement, le blanchiment d’argent consiste grossièrement à « camoufler » l’origine illicite de fonds. L’origine illicite peut provenir, comme cela sera souvent le cas, d’une fraude fiscale. Notion très large, cette fraude peut être grave ou « simple » (par oppositi...

75 FR 4255 - Reporting of Fraudulent Financial Instruments

Science.gov (United States)

2010-01-27

... Federal Housing Enterprise Oversight 12 CFR Part 1731 RIN 2590-AA11 Reporting of Fraudulent Financial...: PART 1233--REPORTING OF FRAUDULENT FINANCIAL INSTRUMENTS Sec. 1233.1 Purpose. 1233.2 Definitions. 1233... or financial instrument. (b) Examination. The examination by FHFA of fraud reporting programs of each...

Integrating ethical values into fraud triangle theory in assessing employee fraud: Evidence from the Malaysian banking industry

Directory of Open Access Journals (Sweden)

Jamaliah Said

2017-06-01

Full Text Available This study attempts to integrate ethical values into the fraud triangle theory in the context of Malaysian banking industry. Primary data were collected through the survey of 108 questionnaires administered to the employees of the top three largest banks in Malaysia. The findings revealed that ethical values were negatively related to employee fraud, and two elements of fraud triangle theory, namely, opportunity and rationalization, were positively related to employee fraud. This implies that high ethical value is crucial to mitigate employee fraud. To minimize employee fraud, the banking industry should reduce opportunities and employee negative rationalization through strong internal control. This study contributes to literature on the occurrences of employee fraud, which is not widely discussed, especially in the context of the banking industry in developing countries.

Fraud: zero tolerance at CERN

CERN Multimedia

2014-01-01

In this week’s Bulletin (see here), you’ll read that fraudulent activities were uncovered last year by our Internal Audit Service. CERN has a very clearly defined policy in such cases: we base our efforts on prevention through education, we have a policy of protecting those reporting fraud from recrimination, and we have a zero-tolerance policy should fraud be uncovered.   I don’t intend to enter into the details of what occurred, but I’d like to remind you that fraud is a very grave business, and something we take extremely seriously. What do we mean by fraud at CERN? Operational Circular No. 10 on “Principles and procedures governing the investigation of fraud” defines fraud in terms of any deception intended to benefit the perpetrator, or a third party, that results in a loss to the Organization. This loss can be to funds, property or reputation. Thankfully, fraud at CERN is a rare occurrence, but we should never be complacent. ...

Credit Card Fraud Detection: A Realistic Modeling and a Novel Learning Strategy.

Science.gov (United States)

Dal Pozzolo, Andrea; Boracchi, Giacomo; Caelen, Olivier; Alippi, Cesare; Bontempi, Gianluca

2017-09-14

Detecting frauds in credit card transactions is perhaps one of the best testbeds for computational intelligence algorithms. In fact, this problem involves a number of relevant challenges, namely: concept drift (customers' habits evolve and fraudsters change their strategies over time), class imbalance (genuine transactions far outnumber frauds), and verification latency (only a small set of transactions are timely checked by investigators). However, the vast majority of learning algorithms that have been proposed for fraud detection rely on assumptions that hardly hold in a real-world fraud-detection system (FDS). This lack of realism concerns two main aspects: 1) the way and timing with which supervised information is provided and 2) the measures used to assess fraud-detection performance. This paper has three major contributions. First, we propose, with the help of our industrial partner, a formalization of the fraud-detection problem that realistically describes the operating conditions of FDSs that everyday analyze massive streams of credit card transactions. We also illustrate the most appropriate performance measures to be used for fraud-detection purposes. Second, we design and assess a novel learning strategy that effectively addresses class imbalance, concept drift, and verification latency. Third, in our experiments, we demonstrate the impact of class unbalance and concept drift in a real-world data stream containing more than 75 million transactions, authorized over a time window of three years.

Pengaruh Karakteristik Komite Audit, Keahlian Keuangan Dan Ukuran Perusahaan Terhadap Kemungkinan Kecurangan Laporan Keuangan [The Influence of Audit Committee Characteristics, Financial Expertise, and Company Size toward the Possibility of Financial Report Fraud

Directory of Open Access Journals (Sweden)

Bambang Leo Handoko

2017-06-01

Full Text Available Related to fraudulent financial statements by PT. Kimia Farma, Indosat, and others, this research looked at fraud committed by companies. The purpose of this research was to determine if the audit committee's independence, the financial expertise of the audit committee, and the size of the company were factors in possible fraudulent financial statements of manufacturing companies listed on the Indonesian Stock Exchange during the period 2013-2015. The possibility of fraudulent financial statements is measured by Beneish M-score. Quantitative research was conducted using an associative methodology and regression analyzing logistics (logistic regression. 82 companies were chosen using purposive sampling technique and secondary data. The results showed that the independence of the audit committee and the size of the company had no effect on the possibility of fraudulent financial statements and the financial expertise of the audit committee had an influence on the possibility of fraudulent of financial statements. BAHASA INDONESIA ABSTRAK:  Terkait kasus kecurangan laporan keuangan yang dilakukan PT.Kimia Farma, Indosat dan lain-lain maka penelitian ini akan mendeteksi kecurangan yang dilakukan perusahaan. Tujuan penelitian ini adalah untuk mengetahui pengaruh komite audit independen, keahlian keuangan komite audit dan ukuran perusahaan terhadap kemungkinan kecurangan laporan keuangan pada perusahaan manufaktur yang terdaftar di Bursa Efek Indonesia periode 2013-2015. Kemungkinan kecurangan laporan keuangan diukur melalui Beneish M-score. Jenis penelitiannya kuantitatif dengan metode penelitian asosaitf dan teknis analisis datanya menggunakan regresi logistic (logistic regression. 82 perusahaan dipilih menggunakan teknik purposive sampling dan menggunakan data sekunder. Hasil penelitian menunjukkan komite audit independen dan ukuran perusahaan tidak berpengaruh pada kemungkinan kecurangan laporan keuangan sedangkan keahlian keuangan komite audit

Fraud detection tools

Directory of Open Access Journals (Sweden)

Katerina Hawlova

2013-10-01

Full Text Available This article aims to introduce to readers the topic of fraud management – detection of fraudulent behaviour. The article is divided into two parts. The first part presents what is meant by fraud and fraudulent behaviour. In the second part a case study dealing with fraudulent behaviour detection in the procurement area is introduced.

FraudMiner: A Novel Credit Card Fraud Detection Model Based on Frequent Itemset Mining

Directory of Open Access Journals (Sweden)

K. R. Seeja

2014-01-01

Full Text Available This paper proposes an intelligent credit card fraud detection model for detecting fraud from highly imbalanced and anonymous credit card transaction datasets. The class imbalance problem is handled by finding legal as well as fraud transaction patterns for each customer by using frequent itemset mining. A matching algorithm is also proposed to find to which pattern (legal or fraud the incoming transaction of a particular customer is closer and a decision is made accordingly. In order to handle the anonymous nature of the data, no preference is given to any of the attributes and each attribute is considered equally for finding the patterns. The performance evaluation of the proposed model is done on UCSD Data Mining Contest 2009 Dataset (anonymous and imbalanced and it is found that the proposed model has very high fraud detection rate, balanced classification rate, Matthews correlation coefficient, and very less false alarm rate than other state-of-the-art classifiers.

FraudMiner: a novel credit card fraud detection model based on frequent itemset mining.

Science.gov (United States)

Seeja, K R; Zareapoor, Masoumeh

2014-01-01

This paper proposes an intelligent credit card fraud detection model for detecting fraud from highly imbalanced and anonymous credit card transaction datasets. The class imbalance problem is handled by finding legal as well as fraud transaction patterns for each customer by using frequent itemset mining. A matching algorithm is also proposed to find to which pattern (legal or fraud) the incoming transaction of a particular customer is closer and a decision is made accordingly. In order to handle the anonymous nature of the data, no preference is given to any of the attributes and each attribute is considered equally for finding the patterns. The performance evaluation of the proposed model is done on UCSD Data Mining Contest 2009 Dataset (anonymous and imbalanced) and it is found that the proposed model has very high fraud detection rate, balanced classification rate, Matthews correlation coefficient, and very less false alarm rate than other state-of-the-art classifiers.

Distribution of illegal incident characteristics: cases of bank fraud and embezzlement, computer-related crime, and insider theft from drug manufacturers and distributors

Energy Technology Data Exchange (ETDEWEB)

Heineke, J M

1979-10-01

Three data sets were used to estimate joint and conditional probability distributions between various variables of interest in bank fraud and embezzlement (BF and E) cases of $10,000 dollars or more, computer-related crime cases of various types, and cases of insider theft from drug manufacturers and distributors. This report describes in tabular form the information contained in the three rather extensive data sets from industries facing insider threats which, in one or more dimensions, are analogous to insider threats potentially confronting managers in the nuclear industry. The data in Tables 1 through 29 were computed from the 313 cases of bank fraud and embezzlement (BF and E) representing losses of $10,000 or more reported to the Federal Deposit Insurance Corporation (FDIC) for the period 1977 to 1978. The data in Tables 30 through 64 were computed from the 461 cases of computer-related crime obtained from SRI International for the period 1958 to 1978. These incidents include inventory manipulations designed to hide errors, phony entries used to cover embezzlements, schemes used to penetrate a system and surreptitiously bring about a system crash, and sabotage. The data in Tables 65 through 67 were computed from data reported by the Drug Enforcement Agency (DEA) for the period 1973 to 1978. These data, though limited, provided several interesting insights into the insider-threat problem.

Food fraud vulnerability and its key factors

NARCIS (Netherlands)

Ruth, van Saskia M.; Huisman, Wim; Luning, Pieternel A.

2017-01-01

Background Food fraud prevention and fraud vulnerability reduction are the first steps to combat food fraud and require a recurrent effort throughout the food supply chain. Due to the intentional nature of fraud, it requires different tactics than the common food safety approaches. However,

Avoiding Service Station Fraud.

Science.gov (United States)

Burton, Grace M.; Burton, John R.

1982-01-01

High school students are warned against service station fraud. A problem-solving section is designed to help students calculate consumer costs for various fraudulent transactions. Several ways of reducing fraud or of lessening the chances of problems are noted. (MP)

Electronic fraud (cyber fraud risk in the banking industry, Zimbabwe

Directory of Open Access Journals (Sweden)

Shewangu Dzomira

2014-06-01

Full Text Available The paper explores forms of electronic fraud which are being perpetrated in the banking industry and the challenges being faced in an attempt to combat the risk. The paper is based on a descriptive study which studied the cyber fraud phenomenon using content analysis. To obtain the data questionnaires and interviews were administered to the selected informants from 22 banks. Convenience and judgemental sampling techniques were used. It was found out that most of the cited types of electronic fraud are perpetrated across the banking industry. Challenges like lack of resources (detection tools and technologies, inadequate cyber-crime laws and lack of knowledge through education and awareness were noted. It is recommended that the issue of cyber security should be addressed involving all the stakeholders so that technological systems are safeguarded from cyber-attacks

Auditing for the Corporate Fraud Prevention

Directory of Open Access Journals (Sweden)

Nazarova Karina O.

2017-10-01

Full Text Available The main threats to business are: competitors; supervisory and investigative bodies; tax system; crisis developments; currency exchange rates and so on. However, the world experience of recent decades has shown that not only external phenomena but also own employees can be perceived as tangible threats to business. On the part of the staff, there are, for various reasons, provocations, errors, deception or fraud, which could infringe security of enterprise. The article examines the status and dynamics of corporate fraud in Ukraine and in the world, the most common ways of detecting fraud, the methods that are used to counter it, as well as preventive means. The need to counter fraud within the corporate organization has been substantiated, efficiency of the internal and the external audits in detecting and preventing deception and fraud of employees of enterprise has been proven. The existing ways of detecting fraud in Ukraine were analyzed.

AN APPROACH TO FRAUD RISK MANAGEMENT

Directory of Open Access Journals (Sweden)

Monica PUIU

2014-11-01

Full Text Available Nowadays, globalisation and business internalisation have led to an increased number of frauds in organisations worldwide. The most affected are the multinational corporations because of the geographical distance, different fiscal systems and local factors that consist in tremendous opportunities for employees and/or managers to involve in fraud schemes. Starting from recent studies and prior efforts of international organisations or countries to stop fraud by imposing regulations to be respected for the economic environment, the purpose of the paper is finding the key factors for detecting and preventing fraud in the organisations. In our approach we use several proposals for a conceptual framework developed by two companies of “The big four”, KPMG and Deloitte. The results indicate that for the number of fraud to decrease, any organisation needs to develop and implement a strong anti-fraud plan, by covering all logical steps to be made in this matter.

FControl®: sistema inteligente inovador para detecção de fraudes em operações de comércio eletrônico FControl®: an innovative intelligent system for fraud detection in e-commerce transactions

Directory of Open Access Journals (Sweden)

Leandro dos Santos Coelho

2006-04-01

Full Text Available A prevenção de fraude em cartão de crédito é uma importante aplicação comercial para aplicação de abordagens de métodos de previsão e inteligência computacional. A inteligência computacional é uma associação de metodologias bio-inspiradas que incluem, como principais membros, as redes neurais, sistemas nebulosos, computação evolutiva, inteligência coletiva e computação probabilística. Recentemente, a aplicação de técnicas da inteligência computacional no suporte de tarefas de serviço, tais como detecção e identificação de anomalia, classificação de padrão, diagnóstico, prognóstico, estimação e controle, tem emergido nos ambientes industrial e comercial. Este artigo apresenta um sistema computacional eficiente baseado em metodologias da inteligência computacional para detecção de fraude em operações reais de dados de cartão de crédito em transações de comércio eletrônico. O novo método proposto é denominado FControl® de detecção de fraude e classificação integra conceitos de sistemas inteligentes híbridos baseado em abordagens de redes neurais, sistemas nebulosos e computação evolutiva. O método proposto gera soluções de qualidade em termos de eficiência e sucesso de previsão. O programa computacional do FControl® está atualmente instalado em um Intel Pentium IV 2.4 MHz (bi-processador e RAM de 4 Gbytes na companhia Ciashop E-Commerce e está correntemente em uso para detecção de fraude para 250 companhias com serviços de comércio eletrônico.The prevention of credit card fraud is an important commercial application for prediction methods and computational intelligence of pattern recognition approaches. Computational intelligence is an association of bio-inspired computational methodologies which are founded principally on neural networks, fuzzy systems, evolutionary computation, swarm intelligence, and probabilistic computation. The application of computational intelligence

Detection of Fraud with Agent–Based Models: the 2006 Mexican Election

Directory of Open Access Journals (Sweden)

Gonzalo Castañeda

2010-07-01

Full Text Available In this paper an innovative tool is applied for the detection of electoral fraud by analyzing statistical distributions of the official results. With this aim a computational model is developed to describe the dynamics of an electoral campaign that conditions the individuals' political preferences. The agent–based model is built assuming that in a clean process the electoral outcome depends, essentially, on preferences subjected to the influence of social interaction and global information. In contrast, in order to simulate an electoral fraud the model is modified such that the voting behavior of the citizens is manipulated on election–day. The model is calibrated with data form the 2006 Mexican electoral campaign for the presidency, and the presence or absence of fraud is validated using the Kolmogorov–Smirnov test, a non–parametric procedure. With information aggregated at the electoral district level, the simulation model rejects the existence of a large scale fraud where at least 5–6% of the total vote tally is manipulated in favor of a particular candidate.

Holistic approach to fraud management in health insurance

Directory of Open Access Journals (Sweden)

Štefan Furlan

2008-12-01

Full Text Available Fraud present an immense problem for health insurance companies and the only way to fight fraud is by using specialized fraud management systems. The current research community focussed great efforts on different fraud detection techniques while neglecting other also important activities of fraud management. We propose a holistic approach that focuses on all 6 activities of fraud management, namely, (1 deterrence, (2 prevention, (3 detection, (4 investigation, (5 sanction and redress, and (6 monitoring. The main contribution of the paper are 15 key characteristics of a fraud management system, which enable construction of a fraud management system that provides effective and efficient support to all fraud management activities. We base our research on literature review, interviews with experts from different fields, and a case study. The case study provides additional confirmation to expert opinions, as it puts our holistic framework into practice.

7 CFR 276.3 - Negligence or fraud.

Science.gov (United States)

2010-01-01

... 7 Agriculture 4 2010-01-01 2010-01-01 false Negligence or fraud. 276.3 Section 276.3 Agriculture... Negligence or fraud. (a) General. If FNS determines that there has been negligence or fraud on the part of..., pay to FNS a sum equal to the amount of coupons issued as a result of such negligence or fraud. (b...

La coopération fiscale entre Etats dans la lutte contre la fraude et l'évasion fiscales internationales

OpenAIRE

Laumonier, Alexandre

2017-01-01

Tax fraud and tax avoidance are as old as tax itself. Economy’s globalisation and digitalazation have however confronted States with the limitations of their tax power that remains dependant on their territorial boundaries. More recently, the 2007-2008 financial crisis has drawn the attention of the public opinion on the extent of international tax fraud and avoidance as well as on the key role tax heavens play in this frame. The traditional and conventional legal tools States can use have re...

Identifying Procurement Fraud in Defense Agencies: An Analysis of the Government Purchase Card Program

Science.gov (United States)

2011-04-30

fielding, contracting, interoperability, organizational behavior, risk management , cost estimating, and many others. Approaches range from... COSO ), (Whittington & Pany, 2012). In addition, the Federal Financial Management Improvement Act of 1996 identified internal control as an...fraud indicators within the DoD Government Purchase Card Programs and provides recommendations for improving the management of Government Purchase

Financial system loss as an example of high consequence, high frequency events

Energy Technology Data Exchange (ETDEWEB)

McGovern, D.E.

1996-07-01

Much work has been devoted to high consequence events with low frequency of occurrence. Characteristic of these events are bridge failure (such as that of the Tacoma Narrows), building failure (such as the collapse of a walkway at a Kansas City hotel), or compromise of a major chemical containment system (such as at Bhopal, India). Such events, although rare, have an extreme personal, societal, and financial impact. An interesting variation is demonstrated by financial losses due to fraud and abuse in the money management system. The impact can be huge, entailing very high aggregate costs, but these are a result of the contribution of many small attacks and not the result of a single (or few) massive events. Public awareness is raised through publicized events such as the junk bond fraud perpetrated by Milikin or gross mismanagement in the failure of the Barings Bank through unsupervised trading activities by Leeson in Singapore. These event,s although seemingly large (financial losses may be on the order of several billion dollars), are but small contributors to the estimated $114 billion loss to all types of financial fraud in 1993. This paper explores the magnitude of financial system losses and identifies new areas for analysis of high consequence events including the potential effect of malevolent intent.

Contemporary Financial Crimes of Employee Embezzlement and Insider Trading

Directory of Open Access Journals (Sweden)

Sarhad Hamza Khdir

2017-01-01

Full Text Available This paper analyses the frauds of employee embezzlement by Gary Foster (Citigroup and insider trading by Raj Rajaratnam (Galleon Group both in 2011. By comparing to the notorious cases of Enron and WorldCom, it is found that the contemporary frauds tend to be committed through a diversified scheme rather than accounting manipulation. Fraudsters tend to take advantage of their positions to override strict rules and regulations. Shareholders and related stakeholders including governments will suffer the financial losses and ineffective macro-economic control, which may even result in the encouragement of other frauds. Therefore, it is strongly recommended that management, educators and regulators should jointly work on the prevention of frauds. Management should be highly aware of importance of fraud prevention and detection, with the assistance of regulators to prosecute criminals. Educators, on the other hand, should normalize the decisions under the challenges of ethical dilemma

Les attitudes sont-elles différentes face à la fraude fiscale et à la fraude sociale ?

OpenAIRE

Mathieu Lefebvre; Pierre Pestieau; Arno Riedl; Marie Claire Villeval

2014-01-01

En période de crise économique, les besoins de l’Etat augmentent et l’assiette fiscale se réduit ; il est alors courant de voir resurgir dans le débat public la lutte contre les diverses formes de fraude qui reduisent les recettes publiques. Dans ce contexte, on oppose régulièrement fraude fiscale à fraude sociale et la discussion porte souvent sur l’importance relative de l’une et de l’autre. On entend par fraude fiscale le détournement illégal d’un système fiscal afin de ne pas contribuer a...

Discerning Novel Value Chains in Financial Malware: On the Economic Incentives and Criminal Business Models in Financial Malware Schemes

OpenAIRE

van Wegberg, R.S.; Klievink, A.J.; van Eeten, M.J.G.

2017-01-01

Fraud with online payment services is an ongoing problem, with significant financial-economic and societal impact. One of the main modus operandi is financial malware that compromises consumer and corporate devices, thereby potentially undermining the security of critical financial systems. Recent research into the underground economy has shown that cybercriminals are organised around highly specialised tasks, such as pay-per-install markets for infected machines, malware-as-a-service and mon...

Fraud in Hospitals

OpenAIRE

Musau, Steve; Vian, Taryn

2008-01-01

Hospitals are vulnerable to corruption. In the U.S., health care fraud has been stimated to cost $60 billion per year, or 3% of total health care expenditures - much of it in the hospital sector. Hospitals account for 50% or more of health care pending in many countries. Fraud and corruption in hospitals negatively affect access and quality, as public servants make off with resources which could have been used to reduce out-of-pocket expenditures for patients, or improve needed services. This...

Predicting Financial Statements Corporate Fraud: Beneish M-score Model

OpenAIRE

Hariri, Hariri; Pradana, Ayub Wijayati Sapta; Widjajanti, Sri Luki

2017-01-01

This research aims to detect fraudulent financial statements the financial statements of XYZ, PT in the period 2010-2013. This research is a qualitative descriptive research. Data collection techniques used are observation and documentation. Data analysis techniques used are data reduction, data presentation and conclusion with Beniesh M-Score Model. The results showed that the financial statements in the period 2010-2013 as a whole that Beniesh M-Score XYZ, PT reached -3.94 in 2010, 0.70 in ...

Big data based fraud risk management at Alibaba

Directory of Open Access Journals (Sweden)

Jidong Chen

2015-12-01

Full Text Available With development of mobile internet and finance, fraud risk comes in all shapes and sizes. This paper is to introduce the Fraud Risk Management at Alibaba under big data. Alibaba has built a fraud risk monitoring and management system based on real-time big data processing and intelligent risk models. It captures fraud signals directly from huge amount data of user behaviors and network, analyzes them in real-time using machine learning, and accurately predicts the bad users and transactions. To extend the fraud risk prevention ability to external customers, Alibaba also built up a big data based fraud prevention product called AntBuckler. AntBuckler aims to identify and prevent all flavors of malicious behaviors with flexibility and intelligence for online merchants and banks. By combining large amount data of Alibaba and customers', AntBuckler uses the RAIN score engine to quantify risk levels of users or transactions for fraud prevention. It also has a user-friendly visualization UI with risk scores, top reasons and fraud connections.

The Cressey hypothesis (1953 and an investigation into the occurrence of corporate fraud: an empirical analysis conducted in Brazilian banking institutions

Directory of Open Access Journals (Sweden)

Michele Rílany Rodrigues Machado

2017-11-01

Full Text Available ABSTRACT This article fills a technical-scientific gap that currently exists in the Brazilian literature on corporative fraud, by combining the theoretical framework of agency theory, of criminology, and of the economics of crime. In addition, it focuses on a sector that is usually excluded from analyses due to its specific characteristics and shows the application of multinomial logit panel data regression with random effects, which is rarely used in studies in the area of accounting. The aim of this study is to investigate the occurrence of corporative fraud, as well as cases of fraud in Brazilian banking institutions, by using detection variables related to the Cressey fraud triangle. Research into fraud and methods of detecting fraud has grown in management literature, especially after the occurrence of various corporative scandals in the 1990s. Although regulatory agencies have increased their investments in monitoring and control, fraud investigations and convictions are still common in the day-to-day administration of banks, as can be seen in the Brazilian Central Bank and the National Financial System Resource Council’s databases of punitive proceedings. We believe that this article will have a positive impact in the area of accounting sciences, since it involves corporative fraud in a multidisciplinary form and because it provides the incentive to use a quantitative tool that can help increase the development of similar studies in the area. This study tested the theory that the dimensions of the fraud triangle condition the occurrence of corporative fraud in Brazilian banking institutions. Thirty-two representative variables of corporative fraud were identified in the theoretical-empirical review, which were reduced to seven latent variables by the principal component analysis. Finally, the seven factors formed the independent variables in the multinomial logit models used in the hypothesis tests, which presented promising results.

Financial Management: Education's Financial Management Problems Persist. Testimony before the Task Force on Education, Committee on the Budget, House of Representatives.

Science.gov (United States)

Jarmon, Gloria L.; Engel, Gary T.

This document discusses the Department of Education's (DOE) fiscal year 1999 financial audit results; the relationship between the audit findings and the potential for waste, fraud, and abuse; and the results of the General Accounting Office's (GAO) review of the DOE's grantback account. The DOE's financial activity is important to the federal…

Forensic Accounting and Financial Crimes: Adopting the Inference ...

African Journals Online (AJOL)

First Lady

2012-10-27

, payroll frauds, fraudulent billing systems, ... the effects of financial crimes in corporate organizations are very grave ..... internal controls, poor management oversight, among others; while ... evidence and facts in legal matters.

New European approach to combat VAT fraud?

NARCIS (Netherlands)

Griffioen, M.; Hel - van Dijk, van der E.C.J.M. (Lisette)

2014-01-01

The Member States of the European Union (EU) are missing billions of Euros each year as a result of cross-border VAT fraud. After its introduction, the current VAT system appeared to contain flaws and proved to be vulnerable to fraud. Tackling VAT fraud since then has become serious business within

iBGP: A Bipartite Graph Propagation Approach for Mobile Advertising Fraud Detection

OpenAIRE

Hu, Jinlong; Liang, Junjie; Dong, Shoubin

2017-01-01

Online mobile advertising plays a vital financial role in supporting free mobile apps, but detecting malicious apps publishers who generate fraudulent actions on the advertisements hosted on their apps is difficult, since fraudulent traffic often mimics behaviors of legitimate users and evolves rapidly. In this paper, we propose a novel bipartite graph-based propagation approach, iBGP, for mobile apps advertising fraud detection in large advertising system. We exploit the characteristics of m...

Strengthening the EU Legal and Institutional Framework to Combat Transnational Financial Crimes

DEFF Research Database (Denmark)

Marchuk, Iryna

The report examines the development of adequate legal tools and practices to combat transnational financial crimes such as money laundering, terrorism financing, corruption, transnational financial fraud, and investigates measures directed at strengthening the overall legal and institutional...

Predicting Healthcare Fraud in Medicaid: A Multidimensional Data Model and Analysis Techniques for Fraud Detection

NARCIS (Netherlands)

Thornton, Dallas; Mueller, Roland; Schoutsen, Paulus; van Hillegersberg, Jos

2013-01-01

It is estimated that approximately $700 billion is lost due to fraud, waste, and abuse in the US healthcare system. Medicaid has been particularly susceptible target for fraud in recent years, with a distributed management model, limited cross- program communications, and a difficult-to-track

A Blockchain-Based Approach Towards Overcoming Financial Fraud in Public Sector Services

DEFF Research Database (Denmark)

Hyvärinen, Hissu; Risius, Marten; Friis, Gustav

2017-01-01

damage of 1.8 billion USD, for example, in Denmark alone. This paper assesses the potential of a blockchain database to provide a feasible solution for overcoming this problem against the backdrop of recent advances in the public sector and the unique set of blockchain capacities. Towards this end, we...... develop and evaluate a blockchain-based prototype system aimed at eliminating this type of tax fraud and increasing transparency regarding the flow of dividends. While the prototype is based on the specific context of the Danish tax authority, we discuss how it can be generalized for tracking...

The regulatory practice of the French financial regulator, 2006-2011. From substantive to procedural financial regulation?

Directory of Open Access Journals (Sweden)

Thierry Kirat

2015-11-01

Full Text Available Fraud and misconduct in financial markets have recently become a key regulatory issue against the backdrop of the financial crisis. This paper investigates the sanctions policy and practices of the French financial regulator, Autorité des Marchés Financiers (AMF. It argues that, over time, the AMF has shifted from substantive to procedural regulation of finance. This shift consists in departing from sanctions based on observed outcomes in the market and, instead, assessing how the internal organizational schemes of financial firms actually perform. The AMF’s new policy and practice involves a process of legalization of organizations; it also evidences a tendency to delegate regulation to financial firms themselves

Automating Vendor Fraud Detection in Enterprise Systems

Directory of Open Access Journals (Sweden)

Kishore Singh

2013-06-01

Full Text Available Fraud is a multi-billion dollar industry that continues to grow annually. Many organisations are poorly prepared to prevent and detect fraud. Fraud detection strategies are intended to quickly and efficiently identify fraudulent activities that circumvent preventative measures. In this paper we adopt a Design-Science methodological framework to develop a model for detection of vendor fraud based on analysis of patterns or signatures identified in enterprise system audit trails. The concept is demonstrated be developing prototype software. Verification of the prototype is achieved by performing a series of experiments. Validation is achieved by independent reviews from auditing practitioners. Key findings of this study are: i automating routine data analytics improves auditor productivity and reduces time taken to identify potential fraud, and ii visualisations assist in promptly identifying potentially fraudulent user activities. The study makes the following contributions: i a model for proactive fraud detection, ii methods for visualising user activities in transaction data, iii a stand-alone MCL-based prototype.

A financial and moral perspective of the impact of economic crime on taxation / Andries Petrus Swanepoel

OpenAIRE

Swanepoel, Andries Petrus

2013-01-01

Fraud, corruption, and related taxation consequences from a financial and a moral perspective were investigated in this study. A literature review of tax ethics, tax morality, tax conduct, tax planning, tax avoidance, tax evasion, tax fraud, white-collar crime, fraud, money laundering, corruption and corporate governance are presented. The research methodology and empirical investigation followed, the research results achieved, and the conclusions and recommendations made, are also presented....

fraud detection in mobile communications networks using user

African Journals Online (AJOL)

DEPT OF AGRICULTURAL ENGINEERING

Fraud detection is an important application, since network operators lose a relevant portion of their revenue to fraud. ... testing the methods with data from real mobile communications networks. Keywords: Call data, fraud ...... Ph. D. thesis. Pur-.

Fraud Education for Accounting Students.

Science.gov (United States)

Peterson, Bonita K.

2003-01-01

Reports that limited fraud education takes place in accounting due to a crowded curriculum and misunderstanding of the extent of fraud. Suggests ways to develop content on the topic and provides a list of teaching materials (textbooks, workbooks, trade books, case materials, videos, and reference materials). (Contains 16 references.) (SK)

SOME PARADIGMS OF ARTIFICIAL INTELLIGENCE IN FINANCIAL COMPUTER SYSTEMS

OpenAIRE

Jerzy Balicki

2015-01-01

The article discusses some paradigms of artificial intelligence in the context of their applications in computer financial systems. The proposed approach has a significant po-tential to increase the competitiveness of enterprises, including financial institutions. However, it requires the effective use of supercomputers, grids and cloud computing. A reference is made to the computing environment for Bitcoin. In addition, we characterized genetic programming and artificial neural networks to p...

SPECIFIC MECHANISMS AND METHODS FOR ESTIMATING TAX FRAUD

Directory of Open Access Journals (Sweden)

Brindusa Tudose

2016-12-01

Full Text Available In the last decades, tax fraud has grown, being catalogued as a serious impediment in the way of economic development. The paper aims to make contributions on two levels: a Theoretical level - by synthesis methodologies for estimating tax fraud and b Empirical level - by analyzing fraud mechanisms and dynamics of this phenomenon, properly established methodologies. To achieve the objective, we have appealed to the qualitative and quantitative analysis. Whatever the context that generates tax fraud mechanisms, the ultimate goal of fraudsters is the same: total or partial avoidance of taxation, respectively obtaining public funds unduly. The increasing complexity of business (regarded as a tax base and failure to adapt prompt of legal regulations to new contexts have allowed diversification and “improving” the mechanisms of fraud, creating additional risks for accuracy estimates of tax fraud.

45 CFR 235.110 - Fraud.

Science.gov (United States)

2010-10-01

... 45 Public Welfare 2 2010-10-01 2010-10-01 false Fraud. 235.110 Section 235.110 Public Welfare... PROGRAMS § 235.110 Fraud. State plan requirements: A State plan under title I, IV-A, X, XIV, or XVI of the Social Security Act must provide: (a) That the State agency will establish and maintain: (1) Methods and...

Big data based fraud risk management at Alibaba

OpenAIRE

Chen, Jidong; Tao, Ye; Wang, Haoran; Chen, Tao

2015-01-01

With development of mobile internet and finance, fraud risk comes in all shapes and sizes. This paper is to introduce the Fraud Risk Management at Alibaba under big data. Alibaba has built a fraud risk monitoring and management system based on real-time big data processing and intelligent risk models. It captures fraud signals directly from huge amount data of user behaviors and network, analyzes them in real-time using machine learning, and accurately predicts the bad users and transactions....

SOME PARADIGMS OF ARTIFICIAL INTELLIGENCE IN FINANCIAL COMPUTER SYSTEMS

Directory of Open Access Journals (Sweden)

Jerzy Balicki

2015-12-01

Full Text Available The article discusses some paradigms of artificial intelligence in the context of their applications in computer financial systems. The proposed approach has a significant po-tential to increase the competitiveness of enterprises, including financial institutions. However, it requires the effective use of supercomputers, grids and cloud computing. A reference is made to the computing environment for Bitcoin. In addition, we characterized genetic programming and artificial neural networks to prepare investment strategies on the stock exchange market.

Um Estudo sobre a Atuação da Auditoria Interna na Detecção de Fraudes nas Empresas do Setor Privado no Estado de São PauloA Study on the Internal Audit Performance in Fraud Detection in Private Enterprises in the State of Sao PauloUn Estudio sobre la Actuación de la Auditoría Interna en la Detección de Fraudes en las Empresas del Sector Privado en el Estado de São Paulo

Directory of Open Access Journals (Sweden)

NASCIMENTO, Weslley Souza do

2005-09-01

Full Text Available RESUMOA Auditoria Interna é a especialização contábil voltada a testar a eficácia dos controles operacionais e contábeis implantados pela administração, com a finalidade de coibir os processos de erros e fraudes nas organizações. Atualmente a grande quantidade de escândalos fraudulentos na área contábil e financeira das empresas leva à uma reflexão do papel e da eficácia deste departamento nos processos de detecção de fraudes. Salienta-se que as fraudes podem ocorrer no ambiente contábil, financeiro, de controle interno e ético. Desta forma, o artigo propõe uma pesquisa empírica a fim de constatar a eficácia da Auditoria Interna nos processos de detecção de fraudes. Concluindo, o artigo enfatiza a importância das ferramentas e procedimentos de auditoria nos trabalhos de detecção de fraudes, bem como a eficácia dos auditores internos neste tipo de trabalho.ABSTRACTInternal Audit is the countable specialization directed to test the effectiveness of the operational and countable controls implanted by the administration, with the purpose to restrain the processes of errors and frauds in the organizations. Nowadays the great amount of fraudulent scandals in the countable and financial areas of the companies leads to a reflection about the role and the effectiveness of this department in the processes of detention of frauds. It is stressed that frauds can occur in the countable environment, financial, of internal and ethical control. In this way the article considers an empirical research in order to put into evidence the effectiveness of the Internal Auditorship in the processes of detention of frauds. As a conclusion, the article emphasizes the importance of the auditing tools and procedures in the task of detecting frauds as well as the effectiveness of internal auditors in such type of work.RESUMENLa Auditoría Interna es la especialización contable que se dedica a probar la eficacia de los controles operacionales y

Fraud Risk Modelling: Requirements Elicitation in the Case of Telecom Services

DEFF Research Database (Denmark)

Yesuf, Ahmed; Wolos, Lars Peter; Rannenberg, Kai

2017-01-01

Telecom providers are losing tremendous amounts of money due to fraud risks posed to Telecom services and products. Currently, they are mainly focusing on fraud detection approaches to reduce the impact of fraud risks against their services. However, fraud prevention approaches should also...... be investigated in order to further reduce fraud risks and improve the revenue of Telecom providers. Fraud risk modelling is a fraud prevention approach aims at identifying the potential fraud risks, estimating the damage and setting up preventive mechanisms before the fraud risks lead to actual losses....... In this paper, we highlight the important requirements for a usable and context-aware fraud risk modelling approach for Telecom services. To do so, we have conducted two workshops with experts from a Telecom provider and experts from multi-disciplinary areas. In order to show and document the requirements, we...

Fraud and plagiarisim in school and career.

Science.gov (United States)

Agud, J L

2014-10-01

Between 0% and 94% of university students acknowledge having committed academic fraud. Its forms are varied: cheating on examinations, submitting someone else's work, plagiarism, false citations, false reporting on experiments, tests or findings in the medical history and physical examination, unfair behavior toward fellow students, and many others. The consequences of academic fraud include learning corruption, useless efforts by students and faculty, incorrect performance evaluations and unfair selection for jobs. Since this can be a prelude to future fraud as doctors or researches, the prevalence, risk factors, motivations, clinical appearances, detection and prevention of the disease of academic fraud are here reviewed. Copyright © 2014 Elsevier España, S.L.U. All rights reserved.

The Criminal Offense of Credit/Debit Card Fraud and the Implementation of Its Sanction on Indonesian Criminal Law

Directory of Open Access Journals (Sweden)

Antonius Maria Laot Kian

2015-04-01

Full Text Available The aims of the study are to determine the legal arrangements and the application of criminal sanctions against the crime of credit/debit card fraud in Indonesia. The type of study was a normative research by classifying the provisions relevant to the crime of credit/debit card fraud is based on Law No. 11 Year 2008 concerning Information and Electronic Transactions; otherwise it is used also Convention on Cyber crime 2001. Analysis of legal materials made through a law (statue approach to create an ius constituendum regarding the application of criminal sanctions against crime credit/debit card fraud. The results of the research indicated that the legal arrangements and criminal sanctions against the crime of credit/debit card fraud in Indonesia is still relatively minimal. First, not integrated article that directly regulates computer related fraud. Second, not arranged in the form of criminal sanctions for actions that are restitution culprit.

Combating healthcare corruption and fraud with improved global health governance.

Science.gov (United States)

Mackey, Tim K; Liang, Bryan A

2012-10-22

Corruption is a serious threat to global health outcomes, leading to financial waste and adverse health consequences. Yet, forms of corruption impacting global health are endemic worldwide in public and private sectors, and in developed and resource-poor settings alike. Allegations of misuse of funds and fraud in global health initiatives also threaten future investment. Current domestic and sectorial-level responses are fragmented and have been criticized as ineffective. In order to address this issue, we propose a global health governance framework calling for international recognition of "global health corruption" and development of a treaty protocol to combat this crucial issue.

INFORMATION SYSTEMS: VA Computer Control Weaknesses Increase Risk of Fraud, Misuse, and Improper Disclosure

National Research Council Canada - National Science Library

1998-01-01

This report discusses weaknesses that we identified during our assessment of general computer controls that support key financial management and benefit delivery operations of the department of Veterans Affairs...

Corporate fraud and bank loans: Evidence from china

Directory of Open Access Journals (Sweden)

Yunsen Chen

2011-09-01

Full Text Available Receiving punishment from regulators for corporate fraud can affect financing contracts between a firm and its bank, as both the firm’s credit risk and information risk increase after punishment. By focusing on Chinese firms’ borrowing behavior after events of corporate fraud, we find that firms’ bank loans after punishment are not only significantly lower, but are also less than those for non-fraudulent firms. In addition, loan interest rates after punishment are not only higher than before, but also higher than those for their non-fraudulent counterparts. In addition, we find that corporate fraud indirectly destabilizes the “performance-bank loan” relationship. Our results suggest that corporate fraud negatively affects a firm’s ability to source debt financing, which provides new evidence about the economic consequences of fraud.

Corporate fraud and bank loans:Evidence from china

Institute of Scientific and Technical Information of China (English)

Yunsen; Chen; Song; Zhu; Yutao; Wang

2011-01-01

Receiving punishment from regulators for corporate fraud can affect financing contracts between a firm and its bank,as both the firm’s credit risk and information risk increase after punishment By focusing on Chinese firms’borrowing behavior after events of corporate fraud,we find that firms’bank loans after punishment are not only significantly lower,but are also less than those for non-fraudulent firms.In addition,loan interest rates after punishment are not only higher than before,but also higher than those for their non-fraudulent counterparts.In addition,we find that corporate fraud indirectly destabilizes the"performance-bank loan"relationship.Our results suggest that corporate fraud negatively affects a firm’s ability to source debt financing,which provides new evidence about the economic consequences of fraud.

Construction fraud

NARCIS (Netherlands)

Graafland, J.J.; Liedekerke, L.; Dubbink, W.; van Liedekerke, L.; van Luijk, H.

2011-01-01

Due to the actions of a whistleblower The Netherlands was confronted with a massive case of construction fraud involving almost the entire construction sector. Price fixing, prior consulting, duplicate accounts, fictitious invoices and active corruption of civil servants were rampant practices. This

Is writing style predictive of scientific fraud?

DEFF Research Database (Denmark)

Braud, Chloé Elodie; Søgaard, Anders

2017-01-01

The problem of detecting scientific fraud using machine learning was recently introduced, with initial, positive results from a model taking into account various general indicators. The results seem to suggest that writing style is predictive of scientific fraud. We revisit these initial experime......The problem of detecting scientific fraud using machine learning was recently introduced, with initial, positive results from a model taking into account various general indicators. The results seem to suggest that writing style is predictive of scientific fraud. We revisit these initial...... experiments, and show that the leave-one-out testing procedure they used likely leads to a slight over-estimate of the predictability, but also that simple models can outperform their proposed model by some margin. We go on to explore more abstract linguistic features, such as linguistic complexity...

Assessment of food fraud vulnerability in the spices chain

NARCIS (Netherlands)

Silvis, I.C.J.; Ruth, van S.M.; Fels, van der Ine; Luning, P.A.

2017-01-01

Recent scandals have increased the need to strengthen companies’ ability to combat fraud within their own organizations and across their supply chain. Vulnerability assessments are a first step towards the inventory of fraud vulnerability and fraud mitigation plans. Spices are reported frequently

Cyber fraud tactics, techniques and procedures

CERN Document Server

Howard, Rick

2009-01-01

Written and edited by known experts in the field, the content is indeed of high quality and very informative. The logical structure and writing style are excellent, which is a challenging task when there are so many contributors. The book is a must-read for several reader categories. I strongly recommend some of the technical chapters to advanced undergraduate and graduate computer science students. Law students can use the book to grasp the necessary technical background material for investigating cyber fraud. Finally, it is also for readers who wish to learn about the current state of

A prescription fraud detection model.

Science.gov (United States)

Aral, Karca Duru; Güvenir, Halil Altay; Sabuncuoğlu, Ihsan; Akar, Ahmet Ruchan

2012-04-01

Prescription fraud is a main problem that causes substantial monetary loss in health care systems. We aimed to develop a model for detecting cases of prescription fraud and test it on real world data from a large multi-center medical prescription database. Conventionally, prescription fraud detection is conducted on random samples by human experts. However, the samples might be misleading and manual detection is costly. We propose a novel distance based on data-mining approach for assessing the fraudulent risk of prescriptions regarding cross-features. Final tests have been conducted on adult cardiac surgery database. The results obtained from experiments reveal that the proposed model works considerably well with a true positive rate of 77.4% and a false positive rate of 6% for the fraudulent medical prescriptions. The proposed model has the potential advantages including on-line risk prediction for prescription fraud, off-line analysis of high-risk prescriptions by human experts, and self-learning ability by regular updates of the integrative data sets. We conclude that incorporating such a system in health authorities, social security agencies and insurance companies would improve efficiency of internal review to ensure compliance with the law, and radically decrease human-expert auditing costs. Copyright © 2011 Elsevier Ireland Ltd. All rights reserved.

Identifying frauds and anomalies in Medicare-B dataset.

Science.gov (United States)

Jiwon Seo; Mendelevitch, Ofer

2017-07-01

Healthcare industry is growing at a rapid rate to reach a market value of $7 trillion dollars world wide. At the same time, fraud in healthcare is becoming a serious problem, amounting to 5% of the total healthcare spending, or $100 billion dollars each year in US. Manually detecting healthcare fraud requires much effort. Recently, machine learning and data mining techniques are applied to automatically detect healthcare frauds. This paper proposes a novel PageRank-based algorithm to detect healthcare frauds and anomalies. We apply the algorithm to Medicare-B dataset, a real-life data with 10 million healthcare insurance claims. The algorithm successfully identifies tens of previously unreported anomalies.

More than meets the eye: digital fraud in dentistry.

Science.gov (United States)

Rao, S A; Singh, N; Kumar, R; Thomas, A M

2010-01-01

Digital photographs play a substantial role in the presentation and validation of clinical cases for documentation and research purposes in esthetically oriented professions such as dentistry. The introduction of sophisticated cameras and "easy to use" computer software readily available on today's market has enabled digital fraud to emerge as a common and widely used practice. Hence, it is essential that both dentists and editorial circles are aware and cautious with regard to the possibility of digital fraud. A set of 10 routine "pre-" and "post" treatment dental procedure photographs were taken and randomly manipulated using standard desktop software. A team of 10 dental professionals were selected and each one of them was individually requested to review and evaluate the authenticity of the photographs. An assessment of expert opinion revealed an overall sensitivity of 60% and a sensitivity of 15% in correctly identifying a manipulated photograph, which is considered low. Furthermore, there was poor interobserver agreement. Advanced technology that is easily available has resulted in adept digital fraud that is difficult to detect. There is a need for awareness among both dental practitioners and the editorial circle regarding misrepresentation due to image manipulation. It is therefore necessary to follow a skeptical approach in the assessment of digitalized photos used in research and as a part of clinical dentistry.

FAKTOR-FAKTOR YANG MEMPENGARUHI FRAUD PADA SATUAN KERJA PEMERINTAH DAERAH KABUPATEN TEMANGGUNG

Directory of Open Access Journals (Sweden)

Retno Wulandari

2017-05-01

Full Text Available Tujuan penelitian ini adalah untuk menggali persepsi pegawai di instansi pemerintahan mengenai faktor-faktor yang mempengaruhi fraud. Faktor-faktor tersebut antara lain sistem pengendalian internal, asimetri informasi, keadilan distributif, keadilan prosedural, kultur organisasi, penegakan hukum dan moralitas individu.Populasi dalam penelitian ini adalah Pegawai Negeri Sipil (PNS yang bekerja pada bagian keuangan di SKPD Kabupaten Temanggung sebanyak 95 responden. Metode pengumpulan data yang dilakukan dengan menggunakan metode kuesioner dengan skala likert 1-5. Penelitian ini menggunakan alat analisis data regresi berganda.Hasil penelitian menunjukkan bahwa terdapat pengaruh negatif sistem pengendalian internal terhadap fraud, terdapat pengaruh positif asimetri informasi terhadap fraud, tidak terdapat pengaruh keadilan distributif terhadap fraud, tidak terdapat pengaruh keadilan prosedural terhadap fraud, tidak terdapat pengaruh kultur organisasi terhadap fraud, tidak terdapat pengaruh penegakan hukum terhadap fraud, terdapat pengaruh negatif moralitas individu terhadap fraud. The purpose of this study was to explore the perceptions of employees in government agencies about the factors that influence fraud. These factors include the internal control system, the asymmetry of information, distributive justice, procedural justice, organizational culture, law enforcement and individual morality. The population in this study is were employees of SKPD in Temanggung Regencyas many as 95 respondents. Methods of data collection is done by using questionnaires with Likert scale 1-5. This study uses multiple regression data analysis tools. The results showed that there was a negative effect of the internal control system against fraud, there is a positive effect of information asymmetry against fraud, there is no influence of distributive justice against fraud, there is no influence procedural justice against fraud, there is no influence of organizational

Combating healthcare corruption and fraud with improved global health governance

Science.gov (United States)

2012-01-01

Corruption is a serious threat to global health outcomes, leading to financial waste and adverse health consequences. Yet, forms of corruption impacting global health are endemic worldwide in public and private sectors, and in developed and resource-poor settings alike. Allegations of misuse of funds and fraud in global health initiatives also threaten future investment. Current domestic and sectorial-level responses are fragmented and have been criticized as ineffective. In order to address this issue, we propose a global health governance framework calling for international recognition of “global health corruption” and development of a treaty protocol to combat this crucial issue. PMID:23088820

FraudDecnService

Data.gov (United States)

Department of Veterans Affairs — Retrieves and updates data to indicate any award lines that have been reduced or terminated. The data is captured by the Fraud Decision screen (as part of the Awards...

76 FR 54998 - Request for Information on Consumer Financial Products and Services Offered to Servicemembers

Science.gov (United States)

2011-09-06

... public disclosure. Sensitive personal information such as account numbers or Social Security numbers... in person and online? 4. What programs, policies, accommodations, or benefits do financial service... protections and fraud protections. 5. What unique assistance, if any, is currently offered by financial...

Detection of Fraud in Audit and Forensic Investigation

OpenAIRE

Kupková, Barbora

2011-01-01

Economic crime is always actual theme, even more when economy finds itself in crisis. It is a well-known fact, that in such times fraud risk increases even inside organizations. This thesis is dealing with economic crime from the perspective of auditor and fraud examiner and likewise in the terms of Czech criminal law. Fraud, as both professions call economic criminality, implies higher costs for organizations, that's why both private and government sector organizations strives to fight it. S...

Understanding the Financial Knowledge Gap: A New Dimension of Inequality in Later Life.

Science.gov (United States)

Khan, Mohammad Nuruzzaman; Rothwell, David W; Cherney, Katrina; Sussman, Tamara

2017-01-01

To understand individuals' financial behaviors, it is important to understand the financial knowledge gap - the distance between one's objective and subjective financial knowledge. Overestimating one's financial knowledge can lead to risky financial behaviors. To date, limited empirical work has examined how financial knowledge gap varies across age groups. We analyze the size and nature of the financial knowledge gap and its variation across age groups. Using nationally representative data, we find robust evidence that older adults overestimate their financial knowledge. Social workers can assess the financial knowledge gap and educate their clients to protect from financial fraud, exploitation, and abuse.

Security, Fraud Detection

Indian Academy of Sciences (India)

First page Back Continue Last page Overview Graphics. Secure. Secure. Server – Intruder prevention/detection; Network – Encryption, PKI; Client - Secure. Fraud detection based on audit trails. Automatic alerts like credit-card alerts based on suspicious patterns.

Fraud detections for online businesses: a perspective from blockchain technology

OpenAIRE

Cai, Yuanfeng; Zhu, Dan

2016-01-01

Background: The reputation system has been designed as an effective mechanism to reduce risks associated with online shopping for customers. However, it is vulnerable to rating fraud. Some raters may inject unfairly high or low ratings to the system so as to promote their own products or demote their competitors. Method: This study explores the rating fraud by differentiating the subjective fraud from objective fraud. Then it discusses the effectiveness of blockchain technology in objective f...

DETECTING AND REPORTING THE FRAUDS AND ERRORS BY THE AUDITOR

OpenAIRE

Ovidiu Constantin Bunget; Alin Constantin Dumitrescu

2009-01-01

Responsibility for preventing and detecting fraud rest with management entities.Although the auditor is not and cannot be held responsible for preventing fraud and errors, in yourwork, he can have a positive role in preventing fraud and errors by deterring their occurrence. Theauditor should plan and perform the audit with an attitude of professional skepticism, recognizingthat condition or events may be found that indicate that fraud or error may exist.Based on the audit risk assessment, aud...

Decoding Gimmicks of Financial Shenanigans in Telecom Sector in India

OpenAIRE

Sandeep GOEL

2013-01-01

Major corporate financial shenanigans get away in the name of creative accounting. But, they need to be studied for lessons learned and strategies to avoid or reduce the incidence of such frauds in the future. It is essential for shareholders, particularly the common man who does not have any access to the company except reported financial numbers. This paper aims to decode the level of financial shenanigans practices in corporate enterprises in telecom sector in India. The reason being is th...

32 CFR 516.67 - Overseas cases of fraud or corruption.

Science.gov (United States)

2010-07-01

... 32 National Defense 3 2010-07-01 2010-07-01 true Overseas cases of fraud or corruption. 516.67... AUTHORITIES AND PUBLIC RELATIONS LITIGATION Remedies in Procurement Fraud and Corruption § 516.67 Overseas cases of fraud or corruption. (a) Commanders of overseas major commands will establish procedures...

An Analysis of Internal Controls and Procurement Fraud Deterrence

Science.gov (United States)

2013-12-01

might keep the organization from achieving its objectives and analyze risks , including fraud risk , so as to decide how the risk should be managed ( COSO ...internal control to adequately manage the risk ( COSO , 2013). Risk management involves developing the effective internal control targeted at a...structure and management . While the risk of fraud cannot be eliminated entirely, it can be greatly reduced with an appropriate procurement fraud prevention

DETERMINAN FRAUD BELANJA BANTUAN SOSIAL PEMERINTAH DAERAH

Directory of Open Access Journals (Sweden)

Dwi Ratmono

2016-12-01

Full Text Available Abstract: Determinans of Fraud of Social Assistance Expenditure in Local Government. This study aims to analyze the determinants of fraud of social assistance expenditures in Local Government. This study use Partial Least Square (PLS as method while Strcutural Equation Modeling (SEM used as analytical tool. The sample is all local governement in Central Java The data used in this study are Auditor Report of BPK.The results show that the determinant of the fraud of social assistance expenditure is internal control system weaknesses and non-compliance with laws and regulations. Therefore, these two factor need attention from local government, regulator and auditor in order to prevent social assistance expenditure in future period.

Corruption and internal fraud in the Turkish construction industry.

Science.gov (United States)

Gunduz, Murat; Önder, Oytun

2013-06-01

The purpose of this paper is to develop an understanding about the internal fraud and corruption problem in the Turkish construction industry. The reasons behind the internal fraud and corruption problem as well as the types of prevention methods were investigated; and as a result various recommendations were made. To this end, a risk awareness questionnaire was used to understand the behavioral patterns of the construction industry, and to clarify possible proactive and reactive measures against internal fraud and corruption. The type of fraud experienced by Turkish construction companies was also surveyed in the questionnaire. The questionnaire was sent to 89 firms; and depending on the collected data, certain recommendations for construction industry professionals were provided.

The Development of Auditing Arena and Corporate Governance Landscape in Malaysia: An Initiative to Combat Fraud and Corruptions

Directory of Open Access Journals (Sweden)

Ahmad Noruddin Nur Adura

2017-01-01

Full Text Available This research provides two phases of discussions on the evolution in auditing arena and corporate governance (CG landscape in Malaysia. Phase 1: Pre-Malaysian Code of Corporate Governance (MCCG (1957-2000 and Phase 2: Post-Malaysian Code of Corporate Governance (2001-2015. MCCG was designed to increase oversight and regulation of the accounting profession and to strengthen CG practices and increase transparency of financial audits. The emergence of audit failures has focused the world’s attention on accounting standards and the role of auditors. The cause of corporate collapse was basically due to lack of professionalism in auditing coupled with scandals on fraud and corruptions. Moreover, the quantum of fraud has increased over the past years in Malaysia and has become more sophisticated. Due to this, the Government has put all the efforts to ensure that audit and CG practices are able to comply with stringent and rigorous standards imposed by the statutory bodies as to enhance audit quality and CG practices in line with international benchmarks. Thus, this paper attempts to analyze the evolution of auditing and CG practices as initiatives taken by the Government of Malaysia in order to combat fraud and corruptions.

BEHAVIOR BASED CREDIT CARD FRAUD DETECTION USING SUPPORT VECTOR MACHINES

Directory of Open Access Journals (Sweden)

V. Dheepa

2012-07-01

Full Text Available Along with the great increase of internet and e-commerce, the use of credit card is an unavoidable one. Due to the increase of credit card usage, the frauds associated with this have also increased. There are a lot of approaches used to detect the frauds. In this paper, behavior based classification approach using Support Vector Machines are employed and efficient feature extraction method also adopted. If any discrepancies occur in the behaviors transaction pattern then it is predicted as suspicious and taken for further consideration to find the frauds. Generally credit card fraud detection problem suffers from a large amount of data, which is rectified by the proposed method. Achieving finest accuracy, high fraud catching rate and low false alarms are the main tasks of this approach.

PENGARUH FAKTOR-FAKTOR FRAUD DIAMOND DAN GONE THEORY TERHADAP KECURANGAN AKADEMIK

Directory of Open Access Journals (Sweden)

Anisatul Munirah

2018-03-01

Full Text Available This research aims to determine whether there is a simultaneous and partial influence between the pressure, opportunity, rationalization, capability, greed, need and exposure of academic fraud on students competency accounting expertise SMK Negeri 1 Kendal. Population in this research are students of accounting expertise skill SMK Negeri 1 Kendal a number of 319 students. Sampling technique in this research is saturated sample. Data collection methods using questionnaires and documentation. The method of analysis used is descriptive analysis and multiple linear regression analysis. The results showed that there was a positive and significant influence simultaneously to academik farud of 59.4%, there is a positive and significant influence pressure on academic fraud by 2.4%, there is a positive and significant influence opportunity on academic fraud by 1.46%, there is a positif and significant influence rationalization on academik fraud by 1.54%, there is a positie and significant influence capability on academic fraud by 4.28%, there is a positive and significant influence greed on academic fraud by 2.96%, there is a positive and significant influence need on academic fraud by 1.59%, and there is a negative and siignificant exposure on academic fraud by -11,8%. The conclusion in this research is that pressure, opportunity, rationalization, capability, greed, need and exposure have positive and significant influence to academik fraud. Suggestions for futher researchers are expected to use analytical tools other than SPSS.

Legally Sustainable Solutions for Privacy Issues in Collaborative Fraud Detection

Science.gov (United States)

Flegel, Ulrich; Kerschbaum, Florian; Miseldine, Philip; Monakova, Ganna; Wacker, Richard; Leymann, Frank

One company by itself cannot detect all instances of fraud or insider attacks. An example is the simple case of buyer fraud: a fraudulent buyer colludes with a supplier creating fake orders for supplies that are never delivered. They circumvent internal controls in place to prevent this kind of fraud, such as a goods receipt, e.g., by ordering services instead of goods. Based on the evidence collected at one company, it is often extremely difficult to detect such fraud, but if companies collaborate and correlate their evidence, they could detect that the ordered services have never actually been provided.

Decision Tree Approach to Discovering Fraud in Leasing Agreements

Directory of Open Access Journals (Sweden)

Horvat Ivan

2014-09-01

Full Text Available Background: Fraud attempts create large losses for financing subjects in modern economies. At the same time, leasing agreements have become more and more popular as a means of financing objects such as machinery and vehicles, but are more vulnerable to fraud attempts. Objectives: The goal of the paper is to estimate the usability of the data mining approach in discovering fraud in leasing agreements. Methods/Approach: Real-world data from one Croatian leasing firm was used for creating tow models for fraud detection in leasing. The decision tree method was used for creating a classification model, and the CHAID algorithm was deployed. Results: The decision tree model has indicated that the object of the leasing agreement had the strongest impact on the probability of fraud. Conclusions: In order to enhance the probability of the developed model, it would be necessary to develop software that would enable automated, quick and transparent retrieval of data from the system, processing according to the rules and displaying the results in multiple categories.

Pressure, Dysfunctional Behavior, Fraud Detection and Role of Information Technology in the Audit Process

Directory of Open Access Journals (Sweden)

Muhammad Umar

2017-12-01

Full Text Available This study examines the effect of information technology and pressure such as time budget and task complexity on dysfunctional audit behavior. This study tests whether dysfunctional audit behavior affects fraud detection. Data were gathered from 81 auditors in Jakarta and were analyzed using structure equation model (SEM. The results explain that pressure (time budget and complexity task have some impacts on dysfunctional audit behavior while information technology does not affect dysfunctional audit behavior. These results also indicate that dysfunctional audit behavior has an adverse effect on fraud detection. Job-related stress framework explains the conditions that make stress (stressors will affect to individual psychology, physics, and behavior (strains and make some result (outcome. Pressure (time budget and complexity task is the condition that makes both positive and negative effect on individual behavior. Pressure can make individuals behave dysfunctional or motivate them to give their best shot even though their work uses a lot of energy and mind to solve the problems. Raising dysfunctional audit behavior will reduce auditor’s ability to identify material misstatement in the financial statement.

Tax evasion between fraud and legality

Directory of Open Access Journals (Sweden)

Opreţ Laura-Anca

2017-12-01

Full Text Available This paper focuses on detailing the general coordinates regarding tax evasion and the necessity of creating a common unitary European legal framework. Accounting information might mirror erroneously in a certain measure the micro to macroeconomic tendency of fraud by showing a gross image of available resources. It is of the utmost importance to become fully aware of causes for illicit practices, ways to fight any fraud attempts and to evaluate the accounting mechanism that both creates and identifies tax evasion.

Exploring fraud triangle in understanding ethics pre-cautionary: a ...

African Journals Online (AJOL)

Exploring fraud triangle in understanding ethics pre-cautionary: a Malaysian ... Journal of Fundamental and Applied Sciences ... Various reports on the involvement of government officials in fraud cases indicate the lacking of ethical systems.

Behavioural Verification: Preventing Report Fraud in Decentralized Advert Distribution Systems

Directory of Open Access Journals (Sweden)

Stylianos S. Mamais

2017-11-01

Full Text Available Service commissions, which are claimed by Ad-Networks and Publishers, are susceptible to forgery as non-human operators are able to artificially create fictitious traffic on digital platforms for the purpose of committing financial fraud. This places a significant strain on Advertisers who have no effective means of differentiating fabricated Ad-Reports from those which correspond to real consumer activity. To address this problem, we contribute an advert reporting system which utilizes opportunistic networking and a blockchain-inspired construction in order to identify authentic Ad-Reports by determining whether they were composed by honest or dishonest users. What constitutes a user’s honesty for our system is the manner in which they access adverts on their mobile device. Dishonest users submit multiple reports over a short period of time while honest users behave as consumers who view adverts at a balanced pace while engaging in typical social activities such as purchasing goods online, moving through space and interacting with other users. We argue that it is hard for dishonest users to fake honest behaviour and we exploit the behavioural patterns of users in order to classify Ad-Reports as real or fabricated. By determining the honesty of the user who submitted a particular report, our system offers a more secure reward-claiming model which protects against fraud while still preserving the user’s anonymity.

The role of a company’s internal control system in fraud prevention

Directory of Open Access Journals (Sweden)

Dragomir Dimitrijevic

2016-01-01

Full Text Available The emergence of internal control over specific segments of activities has been associated with management needs for evaluation of the consistency between the actual situation and development targets. Monitoring activities should enable detection and timely reaction to possible target-related deviations. While responding to complex market needs, companies are exposed to numerous internal and external influences, some of which may cause significant damage. Companies have realized that it is safer and cheaper to establish their own internal control systems in order to prevent such influences. The aim of this work is to show how the overall quality of control and The emergence of internal control over specific segments of activities has been associated with management needs for evaluation of the consistency between the actual situation and development targets. Monitoring activities should enable detection and timely reaction to possible target-related deviations. While responding to complex market needs, companies are exposed to numerous internal and external influences, some of which may cause significant damage. Companies have realized that it is safer and cheaper to establish their own internal control systems in order to prevent such influences. The aim of this work is to show how the overall quality of control and company performance is improved through implementation of preventive methods by internal controls, and to indicate that a developed system of internal control represents a protective barrier against various kinds of data manipulation and fraud inside the companies. Special attention was paid to fraud in financial statements since it can cause the most serious damage leading to instability of the economic-financial environment.

User profiling and classification for fraud detection in mobile communications networks

OpenAIRE

Hollmén, Jaakko

2000-01-01

The topic of this thesis is fraud detection in mobile communications networks by means of user profiling and classification techniques. The goal is to first identify relevant user groups based on call data and then to assign a user to a relevant group. Fraud may be defined as a dishonest or illegal use of services, with the intention to avoid service charges. Fraud detection is an important application, since network operators lose a relevant portion of their revenue to fraud. Whereas the int...

Decision Tree Approach to Discovering Fraud in Leasing Agreements

OpenAIRE

Horvat Ivan; Pejić Bach Mirjana; Merkač Skok Marjana

2014-01-01

Background: Fraud attempts create large losses for financing subjects in modern economies. At the same time, leasing agreements have become more and more popular as a means of financing objects such as machinery and vehicles, but are more vulnerable to fraud attempts. Objectives: The goal of the paper is to estimate the usability of the data mining approach in discovering fraud in leasing agreements. Methods/Approach: Real-world data from one Croatian leasing firm was used for creating tow mo...

The ZeroAccess Auto-Clicking and Search-Hijacking Click Fraud Modules

Science.gov (United States)

2013-12-16

payloads and instead began distributing Bitcoin miners and click fraud modules.3 From a technical perspective, the primary click fraud malware used in...this era operated in the indiscriminate “auto-clicking” fashion we describe in Section 5. Alongside the click fraud and Bitcoin payloads, ZeroAccess

Fraud and Fraudulent Practices in Nigeria Banking Industry ...

African Journals Online (AJOL)

The paper reviews the various forms of fraudulent practice their impact and inducement for various reforms in banking industry. It also mentions various legislations targeted at reducing fraud and introducing some forms of control and reporting systems. Various theories of fraud are examined and detailed analysis of various ...

The detection and settlement of VAT fraud in four countries : Addendum to the report value-added tax fraud in the European Union

NARCIS (Netherlands)

Aronowitz, A.A.; Laagland, D.C.G.; Paulides, G.

1996-01-01

This addendum to the report 'Value-added tax fraud in the European Union' gives additional information on the detection and settlement of VAT fraud in Belgium, Germany, the United Kingdom and the Netherlands. See link to the report at: More information.

Pattern analysis of fraud case in Taiwan, China and Indonesia

Science.gov (United States)

Kusumo, A. H.; Chi, C.-F.; Dewi, R. S.

2017-11-01

The current study analyzed 125 successful fraud cases happened in Taiwan, China, and Indonesia from 2008 to 2012 published in the English online newspapers. Each of the case report was coded in terms of scam principle, information media (information exchange between fraudsters and victim), money media (media used by fraudsters to obtain unauthorized financial benefit) and other additional information which was judged to be relevant. The Chi-square Automatic Interaction Detector (CHAID) was applied to the coded data of information, scam principle and money media to find a subset of predictors that might derive meaningful classifications. A series of flow diagrams was constructed based on CHAID result to illustrate the flow of information (scam) travelling from information media to money media.

Fraud Prevention and Employee Rationalization in New York State Public Schools

Science.gov (United States)

Slezak, Kathleen

2013-01-01

Prompted by frequent media reports of school fraud and a lack of relevant K-12 literature, this research study was designed to investigate current fraud prevention practices in public school districts in New York State. Using a "fraud triangle" model, an analysis of existing legislation and professional practice guidelines reveals that…

PENGARUH AUDIT TENURE TERHADAP FRAUDULENT FINANCIAL REPORTING DENGAN PENDEKATAN AKRUAL DISKRESIONER

Directory of Open Access Journals (Sweden)

R. Nelly Nur apandi

2013-04-01

Full Text Available The purpose of this research was to describe audit tenure, fraudulent fianncial repoting, and the effect audit tenure on fraudulent fianncial reporting with discretionary accrual approach. This research used 83 samples of companies listed in Indonesia Stock Exchange period 2009-2010. Samples was collected by used puposive sample method. The hypothesis tested by simple linear regression analysis. The results of this study indicate that audit tenure for three consecutive years (2009-2011 there were 16 companies that have changed auditors every year, 36 companies that perform audit engagements with the same auditor for 2 years, and 31 companies that perform audit engagements with the same auditor for 3 years.While, the results of descriptive analysis showed that the fraudulent financial reporting has a minimum value is -0.7940, maximum values is 0.3670, and an average of fraudulent financial reporting at 83 companies listed in the Indonesia Stock Exchange is -0.010622. Financial reporting fraud rate indicates a value of less than zero (-0.010622, which indicates that there are indications of fraud in the form of earnings management with minimazation income, which lowers the level of income reported earnings. The results of hypothesis showed that the audit tenure has no effect on fraudulent financial reporting.

Examining Auditing as an Essential Element of Financial Management and Good Governance in Local Government

Directory of Open Access Journals (Sweden)

Sindisile Maclean

2014-06-01

Full Text Available The purpose of the article is to address issues of auditing in the context of financial management as a contribution to good governance. Generally, not all local governments have effective and operational audit units and committees. As a result, auditing is not used as an essential element of good governance and this leads to bad audit outcomes like disclaimers and adverse opinions. The bad audit outcomes in local government have motivated the researcher to conduct the study on auditing. There are internal factors within the municipalities as well as external factors that are of interest and directed the researcher to have desire and commitment to make a contribution in this particular field of research. The key issues, amongst others, are principles of financial management, financial strategy, auditing functions such as forensic auditing, fraud auditing, forensic accounting and detection of fraud, including accounting systems and auditor’s role. This article will also attempt to reinforce existing theories and add value to local government financial discourse and good governance.

20 CFR 410.699a - Penalties for fraud.

Science.gov (United States)

2010-04-01

... 20 Employees' Benefits 2 2010-04-01 2010-04-01 false Penalties for fraud. 410.699a Section 410.699a Employees' Benefits SOCIAL SECURITY ADMINISTRATION FEDERAL COAL MINE HEALTH AND SAFETY ACT OF 1969... Review, Finality of Decisions, and Representation of Parties § 410.699a Penalties for fraud. The penalty...

38 CFR 1.902 - Antitrust, fraud, and tax and interagency claims.

Science.gov (United States)

2010-07-01

... of the antitrust laws or to any debt involving fraud, the presentation of a false claim, or... whole or in part on conduct in violation of the antitrust laws or any claim involving fraud, the... 38 Pensions, Bonuses, and Veterans' Relief 1 2010-07-01 2010-07-01 false Antitrust, fraud, and tax...

42 CFR 455.21 - Cooperation with State Medicaid fraud control units.

Science.gov (United States)

2010-10-01

... 42 Public Health 4 2010-10-01 2010-10-01 false Cooperation with State Medicaid fraud control units... Detection and Investigation Program § 455.21 Cooperation with State Medicaid fraud control units. In a State with a Medicaid fraud control unit established and certified under subpart C of this part, (a) The...

Types of fraud in meat and meat products: a review

Directory of Open Access Journals (Sweden)

Espinoza T.

2015-09-01

Full Text Available Affects the food control. The globalization, increased imports and exports and free trade agreements have led to greater sharing and access to food worldwide; along with it, the problems associated with fraud such as adulteration, substitution, intentionality, and counterfeiting have been increased. Therefore, there are various tasks associated with food fraud, which in most reviews published only new identification techniques have been discussed. However, a discussion about the types of fraud and its impact on society, bioterrorism and religion, has been little commented. This review focuses primarily on describing the types of fraud that has as objective to obtain economic benefit or cause terrorism. Also, latest techniques available for detecting meat adulteration are mentioned.

Determinants of Accounting Frauds:Perceptions of Indonesian Civil Servants

Directory of Open Access Journals (Sweden)

Hadri Kusuma

2017-10-01

Full Text Available This study aimed to examine a number of factors that affect the accounting fraud. This study used the variables consisting of information asymmetry, organizational commitment and individual morality. Theauthors study surveyed the employees at the Office for Management of Regional Revenue, Finance and Assets (Dinas Pendapatan Pengelolaan Keuangan Aset, Yogyakarta Province. This study uses convenience sampling technique method. The data from 96 respondents revealed that the variables of information asymmetry and organizational commitment significantly enhanced the accounting fraud while the individual morality significantly diminished the accounting fraud.

Avoiding fraud risks associated with EHRs.

Science.gov (United States)

Helton, Jeffrey R

2010-07-01

Fraud associated with electronic health records (EHRs) generally falls into two categories: inappropriate billing by healthcare providers and inappropriate access by a system's users. A provider's EHR system requires controls to be of any significant help in detecting such fraudulent activity, or in gathering transactional evidence should such activity be identified. To protect against potential EHR-related healthcare fraud, providers should follow the recommendations established in 2007 by RTI International for the Office of the National Coordinator for Health Information Technology of the U.S. Department of Health and Human Services.

The Effectiveness of Fraud Prevention and Detection Methods at Universities in Indonesia

OpenAIRE

Zamzami, Faiz; Nusa, Nabella Duta; Timur, Rudi Prasetya

2016-01-01

Some cases of corruption have taken place in several universities in Indonesia. To prevent and handle the cases, internal auditors play pivotal roles in detecting and preventing fraud. Therefore, effective methods to detect and prevent fraud are needed. The methods are expected to set the appropriate measures to detect and prevent fraud effectively. This research proposed a question how the internal auditors perceive the effectiveness of fraud detection and prevention methods. The research ai...

FAKTOR-FAKTOR YANG MEMENGARUHI PROCUREMENT FRAUD: SEBUAH KAJIAN DARI PERSPEKTIF PERSEPSIAN AUDITOR EKSTERNAL

Directory of Open Access Journals (Sweden)

Zulaikha Zulaikha

2016-12-01

Full Text Available This study examines factors affecting fraud in the procurement of government’s goods and services from the independent auditor’s point of view. Based on fraud triangles and theory of planned behavior, this study proposes seven hypotheses which were tested using structural equation model (SEM-partial least square. This study used primary data gathered by survey to auditors of Audit Board of the Republic of Indonesia in its head office and several selected representative offices. Respondents were asked to provide their answer/perception for questions in questionnaire regarding factors influencing the procurement fraud of government’s goods and services. The results show that the procurement frauds are significantly influenced by weaknesses in procurement system, lack of procurement committee's quality, and the intention to engage fraud. Furthermore, the intention to engage fraud are influenced by attitude, subjective norms, and the perceived behavioral control. These findings suggest that procurement frauds are associated with individual factors as rationalization and opportunities. These factors could be considered when designing internal control structure to restrain fraud behavior.

Detection of Fraud with Agent–Based Models: the 2006 Mexican Election

OpenAIRE

Gonzalo Castañeda; Ignacio Ibarra

2010-01-01

In this paper an innovative tool is applied for the detection of electoral fraud by analyzing statistical distributions of the official results. With this aim a computational model is developed to describe the dynamics of an electoral campaign that conditions the individuals' political preferences. The agent–based model is built assuming that in a clean process the electoral outcome depends, essentially, on preferences subjected to the influence of social interaction and global information. I...

A tale of two perspectives: regulation versus self-regulation. A financial reporting approach (from Sarbanes-Oxley) for research ethics.

Science.gov (United States)

Richman, Vincent; Richman, Alex

2012-06-01

Reports of research fraud have raised concerns about research integrity similar to concerns raised about financial accounting fraud. We propose a departure from self-regulation in that researchers adopt the financial accounting approach in establishing trust through an external validation process, in addition to the reporting entities and the regulatory agencies. The general conceptual framework for reviewing financial reports, utilizes external auditors who are certified and objective in using established standards to provide an opinion on the financial reports. These standards have become both broader in scope and increasingly specific as to what information is reported and the methodologies to be employed. We believe that the financial reporting overhaul encompassed in the US Sarbanes-Oxley Act of 2002, which aims at preventing accounting fraud, can be applied to scientific research in 4 ways. First, Sarbanes-Oxley requires corporations to have a complete set of internal accounting controls. Research organizations should use appropriate sampling techniques and audit research projects for conformity with the initial research protocols. Second, corporations are required to have the chief financial officer certify the accuracy of their financial statements. In a similar way, each research organization should have their vice-president of research (or equivalent) certify the research integrity of their research activities. In contrast, the primary responsibility of the existing Research Integrity Officers is to handle allegations of research misconduct, an after-the-fact activity. Third, generally accepted auditing standards specify the appropriate procedures for external review of a corporation's financial statements. For similar reasons, the research review process would also require corresponding external auditing standards. Finally, these new requirements would be implemented in stages, with the largest 14 research organizations that receive 25% of the total

THE FORENSIC ACCOUNTING AND CORPORATE FRAUD

Directory of Open Access Journals (Sweden)

Joshua Onome Imoniana

2013-04-01

Full Text Available This study is aimed at analyzing the characteristics of forensic accounting services performed by the accounting firms in Brazil, using an exploratory approach. At the end, performs a discourse analysis on a speech proffered by the CEO of one of the key players of forensic accounting service provider (Kroll in Brazil. In order to orientate this reflection, we pose the following question: what is the characteristic of forensic accounting that substantiates it as professional accountants’ innovation to curb corporate accounting malpractices? In this intent, we accept the premise that the bone of contention in some unhealthy business environment is the inability of auditor to track frauds. We used the icons (categories and/or nodes that dynamically represent formalism in the theory of self re-production to explain the patterns met in the speech. Our finding makes us to conclude that the idea that frauds have been least detected by auditors begins to gain shape as auditors are more adequately trained to detect fraud instead of emphasizing the traditional segregation of duties and safeguard of assets.

Dealing with poor data quality of OSINT data in fraud risk analysis

NARCIS (Netherlands)

van Keulen, Maurice

2015-01-01

Governmental organizations responsible for keeping certain types of fraud under control, often use data-driven methods for both immediate detection of fraud, or for fraud risk analysis aimed at more effectively targeting inspections. A blind spot in such methods, is that the source data often

The role of management accounting in fraud control: The case of the City of Joondalup

Directory of Open Access Journals (Sweden)

Roney Oommen

2015-11-01

Full Text Available The 2014 ‘Report to the Nations on Occupational Fraud and Abuse’ released by the Association of Certified Fraud Examiners estimates that the potential projected losses from occupational fraud globally could run as high as US$3.7 trillion every year. In Australia, several studies have found that the Australian public sector entities are also significantly exposed to fraud. This article considers the case of the Australian City of Joondalup and asks whether its management accounting function can provide city management with the necessary data to enable effective control over occupational fraud and whether fraud control activities specifically directed towards fraud control can be a regular feature thereof. It is concluded that although aspects of fraud control are encompassed within the broader strategies of the City, it can significantly enhance its ability to control occupational fraud by leveraging its regular management reporting and analysis function.

Medicaid Fraud Control Units (MFCU) Annual Spending and Performance Statistics

Data.gov (United States)

U.S. Department of Health & Human Services — Medicaid Fraud Control Units (MFCU or Unit) investigate and prosecute Medicaid fraud as well as patient abuse and neglect in health care facilities. OIG certifies,...

The online tourist fraud: the new measures of technological investigation in Spain

Directory of Open Access Journals (Sweden)

M.ª Belén AIGE

2017-07-01

Full Text Available The present article is about an examination of the new technological measures for the investigation, created by the Organic Act (Ley Orgánica 13/2015, of 5th of October. These measures will serve us to improve de criminal investigation, especially on those crimes that are done by technological means, but also for the traditional crimes. Specifically, we are going to make an especial reference to the tourist fraud, which affects both consumers and entrepreneurs. This fraud is especially notable in the online contracts, as we will see above, because those contracts have increased the number of online frauds in the last years; in the tourism I am referring to the stealing of personal data and the creation of ghost companies or non-existent offers. In first place, we are going to talk about the advantages and disadvantages of the online contracts, and also about the real necessity of new investigation means that finally have been satisfied with the introduction of the new technological measures of investigation, which we are going to analyse: the computerized undercover agent, the interception of the telematics and telephone communications, the recording of oral communications by electronic devices, the tracking, localization and recording images devices, the registry of mass storage devices and the remote registry of computer equipment. 

75 FR 81556 - Solicitation of New Safe Harbors and Special Fraud Alerts

Science.gov (United States)

2010-12-28

... statute (section 1128B(b) of the Social Security Act), as well as developing new OIG Special Fraud Alerts... of New Safe Harbors and Special Fraud Alerts AGENCY: Office of Inspector General (OIG), HHS. ACTION... the public on recommendations for developing new or revised safe harbors and Special Fraud Alerts...

PENGARUH PELAKSANAAN RISK BASED INTERNAL AUDITING TERHADAP PENCEGAHAN FRAUD

Directory of Open Access Journals (Sweden)

Rozmita Dewi Yuniarti Rozali

2015-12-01

Full Text Available This study aims to determine the effect of implementation of risk based internal auditing on fraud prevention on internal audit Inspection Office Bank BRI Bandung Region. The sample used by 18 internal auditors in Inspection Office of Bank BRI Bandung Region saturated sampling method. Based on calculation of simple regression analysis obtained result that every increase of implementation of risk based internal auditing (X will lead to increase fraud prevention (Y. It shows that there is a positive influence between the implementation of risk based internal auditing on fraud prevention on the internal audit of Inspection Office of Bank BRI Bandung Region.

‘They’re Very Lonely’: Understanding the Fraud Victimisation of Seniors

Directory of Open Access Journals (Sweden)

Cassandra Cross

2016-12-01

Full Text Available There are many theories which seek to explain fraud victimisation. In particular, older victims find themselves at the intersection of various discourses which account for victimisation, primarily from a deficit model. This article examines two discourses relevant to older fraud victims. The first positions older victims of crime as weak and vulnerable and the second positions fraud victims generally as greedy and gullible. Using interviews with twenty-one Canadian volunteers who provide telephone support to older fraud victims (all seniors themselves, this article analyses the extent to which these two discourses are evident in the understandings of these volunteers. It finds that volunteers overwhelmingly perceive fraud to occur out of loneliness and isolation of the victim, and actively resist victim blaming narratives towards these individuals. While neither discourse is overly positive, the article discusses the implications of these discourses for the victims themselves and for their ability to access support.

29 CFR 453.12 - Meaning of fraud or dishonesty.

Science.gov (United States)

2010-07-01

... STANDARDS GENERAL STATEMENT CONCERNING THE BONDING REQUIREMENTS OF THE LABOR-MANAGEMENT REPORTING AND DISCLOSURE ACT OF 1959 Scope of the Bond § 453.12 Meaning of fraud or dishonesty. The term “fraud or dishonesty” shall be deemed to encompass all those risks of loss that might arise through dishonest or...

Factors Responsible for Students' Involvement in Internet Fraud as ...

African Journals Online (AJOL)

Internet fraud is one of the most rapidly increasing forms of cybercrime. It has become rampant among students generally because they make use of different Internet devices in schools. The purpose of this study was to examine the factors responsible for students' involvement in Internet fraud as expressed by tertiary ...

77 FR 76434 - Solicitation of New Safe Harbors and Special Fraud Alerts

Science.gov (United States)

2012-12-28

... statute (section 1128B(b) of the Social Security Act), as well as developing new OIG Special Fraud Alerts... of New Safe Harbors and Special Fraud Alerts AGENCY: Office of Inspector General (OIG), HHS. ACTION... revised safe harbors and Special Fraud Alerts. Please assist us by referencing the file code OIG-121-N...

78 FR 78807 - Solicitation of New Safe Harbors and Special Fraud Alerts

Science.gov (United States)

2013-12-27

... statute (section 1128B(b) of the Social Security Act), as well as developing new OIG Special Fraud Alerts... of New Safe Harbors and Special Fraud Alerts AGENCY: Office of Inspector General (OIG), HHS. ACTION... revised safe harbors and Special Fraud Alerts. Please assist us by referencing the file code OIG-122-N...

5 CFR 6701.107 - Reporting waste, fraud, abuse and corruption.

Science.gov (United States)

2010-01-01

... corruption. 6701.107 Section 6701.107 Administrative Personnel GENERAL SERVICES ADMINISTRATION SUPPLEMENTAL..., fraud, abuse and corruption. GSA employees shall disclose immediately any waste, fraud, abuse, and corruption to appropriate authorities, such as the Office of Inspector General. ...

Creative Accounting Practices at Satyam Computers Limited: A Case Study of India’s Enron

Directory of Open Access Journals (Sweden)

Madan Lal Bhasin

2016-06-01

Full Text Available Satyam Computers were once the crown jewel of Indian IT industry, however, the debacle of Satyam raised a debate about the role of CEO in driving a company to the heights of success and its relation with the board members and core committees. The scam brought to the light the role of corporate governance (CG in shaping the protocols related to the working of audit committees and duties of board members. The Satyam scam was a jolt to the market, especially to Satyam stockholders.  This paper attempts an in-depth analysis of India’s Enron, Satyam Computer’s “creative-accounting” scandal. In public companies, this type of ‘creative’ accounting leading to fraud and investigations are, therefore, launched by the various governmental oversight agencies. The accounting fraud committed by the founders of Satyam in 2009 is a testament to the fact that “the science of conduct is swayed in large by human greed, ambition, and hunger for power, money, fame and glory.” Scandals have proved that “there is an urgent need for good conduct based on strong corporate governance, ethics and accounting & auditing standards.” The Satyam scandal highlights the importance of securities laws and CG in emerging markets. Indeed, Satyam fraud “spurred the government of India to tighten the CG norms to prevent recurrence of similar frauds in future.” Thus, major financial reporting frauds need to be studied for ‘lessons-learned’ and ‘strategies-to-follow’ to reduce the incidents of such frauds in the future. The increasing rate of white-collar crimes “demands stiff penalties, exemplary punishments, and effective enforcement of law with the right spirit.”

Risicoprofielen en het opsporen van fraude bij een Wwb-uitkering

Directory of Open Access Journals (Sweden)

N.F. Reelick

2010-03-01

De laatste jaren is er binnen sociale diensten in Nederland veel aandacht geweest voor een strikt handhavingsbeleid ten aanzien van bijstandsuitkering. Het hanteren van een risicoprofiel is hierbij een veel gebruikte methode. Een risicoprofiel is opgebouwd uit factoren waarvan wordt verwacht dat zij voorspellen of een uitkeringsgerechtigde zich in zal laten met fraude. Bij Sociale Zaken en Werkgelegenheid (SoZaWe in Rotterdam is onderzoek gedaan in hoeverre gegevens die zijn opgeslagen in de bestanden van de dienst in relatie staan met fraude. Daarnaast is een onderzoek gedaan in hoeverre factoren die vanuit een theoretisch standpunt in relatie met fraude zouden kunnen staan tot een verbetering van een risicoprofiel kunnen leiden. Uit de beide onderzoeken blijkt dat de gegevens uit de bestanden van SoZaWe een geringe voorspellende waarde hebben. Deze kan iets verbeterd worden door er factoren aan toe te voegen als de attitude van de klant tegenover fraude en beoordeling van de kansen om gecontroleerd te worden en gepakt te worden voor fraude. Het gebruik van risicoprofielen, waarbij alleen van gegevens uit de bestanden van de Sociale Diensten wordt uitgegegaan moet met de grootst mogelijke terughoudendheid gebeuren.

Practical Applications of Evolutionary Computation to Financial Engineering Robust Techniques for Forecasting, Trading and Hedging

CERN Document Server

Iba, Hitoshi

2012-01-01

“Practical Applications of Evolutionary Computation to Financial Engineering” presents the state of the art techniques in Financial Engineering using recent results in Machine Learning and Evolutionary Computation. This book bridges the gap between academics in computer science and traders and explains the basic ideas of the proposed systems and the financial problems in ways that can be understood by readers without previous knowledge on either of the fields. To cement the ideas discussed in the book, software packages are offered that implement the systems described within. The book is structured so that each chapter can be read independently from the others. Chapters 1 and 2 describe evolutionary computation. The third chapter is an introduction to financial engineering problems for readers who are unfamiliar with this area. The following chapters each deal, in turn, with a different problem in the financial engineering field describing each problem in detail and focusing on solutions based on evolutio...

Categorizing and Describing the Types of Fraud in Healthcare

NARCIS (Netherlands)

Thornton, Dallas; Brinkhuis, Michel; Amrit, Chintan; Aly, Robin

2015-01-01

Today, the over $2 trillion US healthcare system is ravaged by fraud, waste, and abuse, with an estimated one-third of all these costs frivolously spent in such ways. Sun Tzu wrote, "Every battle is won or lost before it's ever fought." To combat healthcare fraud, we must understand it and the forms

FRAUD BETWEEN DEFINITION AND WAYS TO DEFRAUD ILLUSTRATED BY EXAMPLES

Directory of Open Access Journals (Sweden)

Ionut Spatarelu

2016-12-01

Full Text Available Auditors have a key role in the formulation of an opinion on the effective functioning of management and control systems of the operational programs co-financed by ESIF. International Auditing Standards states that the primary responsibility for preventing and detecting fraud lies with both top management and those responsible for governance of the entity. On the other hand, the auditors also play a role in the fight against fraud and should help Member States fulfill their obligations to prevent, detect and correct irregularities and fraud.

IBM announces global Grid computing solutions for banking, financial markets

CERN Multimedia

2003-01-01

"IBM has announced a series of Grid projects around the world as part of its Grid computing program. They include IBM new Grid-based product offerings with business intelligence software provider SAS and other partners that address the computer-intensive needs of the banking and financial markets industry (1 page)."

49 CFR 1540.103 - Fraud and intentional falsification of records.

Science.gov (United States)

2010-10-01

...) TRANSPORTATION SECURITY ADMINISTRATION, DEPARTMENT OF HOMELAND SECURITY CIVIL AVIATION SECURITY CIVIL AVIATION SECURITY: GENERAL RULES Responsibilities of Passengers and Other Individuals and Persons § 1540.103 Fraud... 49 Transportation 9 2010-10-01 2010-10-01 false Fraud and intentional falsification of records...

Fraude e plágio em pesquisa e na ciência: motivos e repercussões Fraude y plagio en la investigación y la ciencia: razones y repercusiones Fraud and plagiarism in research and in science: reasons and repercussions

Directory of Open Access Journals (Sweden)

Marta Sauthier

2011-03-01

Full Text Available Têm sido publicadas em revistas e jornais de grande circulação, no Brasil e no exterior, notícias e reportagens sobre fraudes e plágios em ciência e nas pesquisas científicas. Como profissionais atuantes na academia e pesquisadores, devemos considerar tais ocorrências, e ainda, debatê-las e difundi-las. O objeto desse estudo são as fraudes e plágios nas pesquisas e na ciência. Os objetivos: caracterizar a fraude e o plágio em ciência, pesquisas científicas e publicações e analisar as repercussões desses fenômenos contra a ética na pesquisa científica e respectivas publicações. Utilizou-se o método indutivo e a abordagem qualitativa nesta pesquisa descritiva e documental. As fontes primárias foram notícias de jornais, revistas e documentação eletrônica. As motivações para as fraudes e plágios vão desde a competitividade, passando pela globalização e possibilidades da documentação eletrônica ao reconhecimento da necessidade de aprimoramento moral do corpo social das diferentes classes sociais, nível sócio econômico, cultural ou grau de formação.Han sido publicadas en revistas y periódicos de gran circulación, en Brasil y en el exterior, noticias y reportajes sobre fraudes y plagios en la ciencia y en las investigaciones científicas. Como profesionales actuantes en la academia e investigadores, debemos considerar tales ocurrencias, y además, debatirlas y difundirlas. El objeto de este estudio son los fraudes y plagios en las investigaciones y en la ciencia. Los objetivos: caracterizar el fraude y el plagio en la ciencia, en investigaciones científicas y publicaciones; y analizar las repercusiones de estos fenómenos contra la ética en la investigación científica y respectivas publicaciones. Se utilizó el método inductivo y el abordaje cualitativo en esta investigación descriptiva y documental. Las fuentes primarias fueron noticias de periódicos, revistas y documentación electrónica. Las

Financial Studio: Android Based Application for Computing Tax, Pension,Zakat and Loan

OpenAIRE

Asghar, Zubair; batool, ulfat; bibi, farheen

2016-01-01

This work deals with the development of android-based financial studio, an integrated application forcalculating tax, pension, zakat, and loan. Financial studio can facilitate employers of any department and otherindividuals. The application is developed using MIT app inventor-based android platform. The financial studiohas four computational modules, namely: (i) tax, (ii) pension, (iii) zakat, and (iv) loan. The system provides anintegrated environment for performing aforementioned distinct ...

49 CFR 1522.3 - Fraud and intentional falsification of records.

Science.gov (United States)

2010-10-01

... 49 Transportation 9 2010-10-01 2010-10-01 false Fraud and intentional falsification of records...) TRANSPORTATION SECURITY ADMINISTRATION, DEPARTMENT OF HOMELAND SECURITY SECURITY RULES FOR ALL MODES OF TRANSPORTATION TSA-APPROVED VALIDATION FIRMS AND VALIDATORS General § 1522.3 Fraud and intentional falsification...

Financial Management: Education Faces Challenges in Achieving Financial Management Reform. Testimony before the Subcommittee on Oversight and Investigations, Committee on Education and the Workforce, House of Representatives.

Science.gov (United States)

Jarmon, Gloria L.

This report provides a fiscal analysis of the Department of Education's 1999 financial audit results. It focuses on the relationship between the audit findings and the potential for waste, fraud, and abuse, and examines the status of an ongoing study of the Department's grantback account. It describes the ongoing accounting problems that have…

26 CFR 1.6664-1 - Accuracy-related and fraud penalties; definitions, effective date and special rules.

Science.gov (United States)

2010-04-01

... SERVICE, DEPARTMENT OF THE TREASURY (CONTINUED) INCOME TAX (CONTINUED) INCOME TAXES Additions to the Tax... definition of “underpayment” of income taxes imposed under subtitle A is set forth in § 1.6664-2. Ordering rules for computing the total amount of accuracy-related and fraud penalties imposed with respect to a...

Online frauds:learning from victims why they fall for these scams

OpenAIRE

Button, Mark; McNaughton Nicholls, Carol; Kerr, Jane; Owen, Rachael

2014-01-01

Online frauds have become a major problem in many countries with millions of victims from a wide diversity of scams committed in full or part online. This paper explores the extent and nature of this problem. Using data from depth interviews with 15 online fraud victims, 6 focus groups with a further 48 online fraud victims and interviews with 9 professional stakeholders involved in combating this problem. The paper explores why victims fall for online scams. It identifies a range of reasons ...

49 CFR 1570.5 - Fraud and intentional falsification of records.

Science.gov (United States)

2010-10-01

... 49 Transportation 9 2010-10-01 2010-10-01 false Fraud and intentional falsification of records...) TRANSPORTATION SECURITY ADMINISTRATION, DEPARTMENT OF HOMELAND SECURITY MARITIME AND LAND TRANSPORTATION SECURITY GENERAL RULES § 1570.5 Fraud and intentional falsification of records. No person may make, cause to be...

17 CFR 1.18 - Records for and relating to financial reporting and monthly computation by futures commission...

Science.gov (United States)

2010-04-01

... financial reporting and monthly computation by futures commission merchants and introducing brokers. 1.18... UNDER THE COMMODITY EXCHANGE ACT Minimum Financial and Related Reporting Requirements § 1.18 Records for and relating to financial reporting and monthly computation by futures commission merchants and...

Cressey’s fraud triangle (1953 and agency theory: study applied to brazilian banking institutions

Directory of Open Access Journals (Sweden)

Michele Rílany Rodrigues Machado

2017-08-01

Full Text Available This research examined if Cressey’s (1953 fraud triangle and the agency theory, jointly, enables investigate corporate fraud occurrence in Brazilian banking institutions. It was formulated  six research hypotheses were segregated in fraud triangle – pressure,  opportunity and rationalization – and measured by variables taken from the agency theory, criminology and empirical papers on corporate fraud. The identification of probability of fraud occurrence was operationalized from multinomial logistic model, applied to data of 44 banking, for the period between January 2001 and December 2012. For element pressure, hypotheses No. 01 was confirmed, since this showed that the lower an institution’s previous performance, the greater probability there is of fraudulent events occurring in the future.  In the element of opportunity, the hypothesis No. 03 was confirmed, which showed that low corporate governance indicators increased the possibility of fraud occurrences.  In rationalization element, the hypothesis No. 08 was confirmed, therefore, the predominance of women in management reduces the probability of fraud.  We thereby conclude that Cressey’s Triangle, when combined with the theory of agency is an appropriate research instrument to use when carrying out an investigation into corporate fraud occurrence in banking institutions.

Dissecting One Click Frauds

Science.gov (United States)

2010-04-23

frauds ENom 47.56% GMO Internet 17.48% Above 5.14% Go Daddy 4.11% Tucows 3.34% Key Systems 2.83% New Dream Network 1.54% Abdomainations 1.29% All...note that ENom is apparently much more victim of abuse than other top domain name registrars. Likewise, Above and GMO Internet rank highly with

National Health Care Anti-Fraud Association

Science.gov (United States)

... a Glance Pre-Conference Programs Conference Sessions Registration Hotel & Travel Information Conference Tracks Credit Opportunities Anti-Fraud Expo Sponsors Programs Budget Adequately for 2018 Trainings NETS Webinars Launch Webinar ...

38 CFR 3.901 - Fraud.

Science.gov (United States)

2010-07-01

..., Compensation, and Dependency and Indemnity Compensation Forfeiture § 3.901 Fraud. (a) Definition. An act... death benefit payable. (2) Amount of compensation payable but for the forfeiture. No benefits are... affidavit, declaration, certificate, statement, voucher, or paper, concerning any claim for benefits under...

Financial Derivatives Market for Grid Computing

CERN Document Server

Aubert, David; Lindset, Snorre; Huuse, Henning

2007-01-01

This Master thesis studies the feasibility and properties of a financial derivatives market on Grid computing, a service for sharing computing resources over a network such as the Internet. For the European Organization for Nuclear Research (CERN) to perform research with the world's largest and most complex machine, the Large Hadron Collider (LHC), Grid computing was developed to handle the information created. In accordance with the mandate of CERN Technology Transfer (TT) group, this thesis is a part of CERN's dissemination of the Grid technology. The thesis gives a brief overview of the use of the Grid technology and where it is heading. IT trend analysts and large-scale IT vendors see this technology as key in transforming the world of IT. They predict that in a matter of years, IT will be bought as a service, instead of a good. Commoditization of IT, delivered as a service, is a paradigm shift that will have a broad impact on all parts of the IT market, as well as on the society as a whole. Political, e...

An appraisal of the performance of the economic and financial crimes commission in Nigeria.

Science.gov (United States)

Sowunmi, Fatai Abiola; Adesola, Muniru Adekunle; Salako, Mudashiru Abiodun

2010-12-01

This article examines how an anti-graft body, the Economic and Financial Crime Commission (EFCC), has fared in reducing the incidence of corruption in Nigeria, in particular, bank fraud, Internet scam, and bad governance. It first discusses the corruption situation in Nigeria by highlighting public office holders who have been associated with corruption charges. A Likert-type scale is used in designing the questionnaire for data collection. Descriptive and chi-square analyses are used, and results reveal that the performance of the EFCC has been affected by government interference (p .05), bad governance and advance fee fraud have recorded appreciable reduction (p < .05). Areas of success as well as challenges that need to be addressed are identified. Specifically, it is recommended that the bill that established EFCC should be amended to reduce government interference and improve its manpower development, especially in the areas of fraud and Internet scam detection.

Fraud adversely affecting the budget of the Europen Union: the forms, methods and causes

Directory of Open Access Journals (Sweden)

Zlata Đurđević

2006-09-01

Full Text Available The paper analyses the forms, methods and causes of fraud that are perpetrated to the detriment of the budget of the European Union. The forms in which EU fraud appears are shown according to the criterion of kind of budgetary resource. Crime affecting the budgetary revenue of the EU tends to appear in the form of customs duty-evasion and false declarations concerning the customs-relevant information about goods. Crime adversely affecting the expenditure side of the EU budget appears in the form of subsidy fraud in the area of the Common Agricultural Policy, and subsidy fraud in the area of the structural policies. The methods used for the EU fraud committed and considered in the paper are document forgery, concealment of goods, corruption, violence and fictional business and evasion of the laws. In conclusion an explanation is given of the main exogenous criminogenic factors that lead to the EU frauds commonly perpetrated.

17 CFR 240.15c1-2 - Fraud and misrepresentation.

Science.gov (United States)

2010-04-01

... 17 Commodity and Securities Exchanges 3 2010-04-01 2010-04-01 false Fraud and misrepresentation. 240.15c1-2 Section 240.15c1-2 Commodity and Securities Exchanges SECURITIES AND EXCHANGE COMMISSION... Securities Exchange Act of 1934 Rules Relating to Over-The-Counter Markets § 240.15c1-2 Fraud and...

An examination of actual fraud cases with a focus on the auditor's responsibility

DEFF Research Database (Denmark)

Holm, Claus; Langsted, Lars Bo; Seehausen, Jesper

The purpose of this paper is to contribute to an understanding of the intricate relationship between audit regulation and developments in audit practice in relation to the fraud issue. The extent and exact nature of the responsibilities of the auditor to detect fraud in relation to audit engageme......The purpose of this paper is to contribute to an understanding of the intricate relationship between audit regulation and developments in audit practice in relation to the fraud issue. The extent and exact nature of the responsibilities of the auditor to detect fraud in relation to audit...... engagements has been widely discussed over the years. In this paper we classify actual cases, where the responsibilities of auditors have been established by the court system and/or by the auditors own professional organizations in Denmark. The dataset includes all publicized cases raised against Danish...... auditors within the time period 1909-2006. The information provided in the cases provides a basis for identifying the actual responsibilities pertaining to fraud during the audit. The overall finding of the historical analysis is that the responsibilities of the auditor in relation to fraud should...

The effect of internal audit effectiveness, auditor responsibility and training in fraud detection

Directory of Open Access Journals (Sweden)

George Drogalas

2017-12-01

Full Text Available The purpose of this study is to explore the relationship between internal audit effectiveness, internal auditor’s responsibility, training and fraud detection. During the last decade internal auditing has become an integral part of modern businesses since it is capable of detecting errors or offences which lead to fraud. In order to investigate the above relationship, we conducted a survey of companies listed in the Athens Stock Exchange. We used factor analysis to validate the survey instrument and to construct our variables measuring fraud detection, internal audit effectiveness, auditor responsibility and training. We used regression analysis to test for significance between the constructed variables. Our analysis shows that audit effectiveness, auditor responsibility and auditor training affect positively and significantly the detection of fraud. Our results highlight the importance of internal audit in detecting accounting fraud and the need of companies to invest on internal audit processes and training in order to achieve enhanced corporate performance. Finally, our research stresses the importance of internal audit and fraud detection for companies which operate in countries which are in a period of economic crisis.

An Examination of Actual Fraud Cases With a Focus on the Auditor's Responsibility

DEFF Research Database (Denmark)

Holm, Claus; Langsted, Lars Bo; Seehausen, Jesper

The purpose of this paper is to contribute to an understanding of the intricate relationship between audit regulation and developments in audit practice in relation to the fraud issue. The extent and exact nature of the responsibilities of the auditor to detect fraud in relation to audit engageme......The purpose of this paper is to contribute to an understanding of the intricate relationship between audit regulation and developments in audit practice in relation to the fraud issue. The extent and exact nature of the responsibilities of the auditor to detect fraud in relation to audit...... engagements has been widely discussed over the years. In this paper we classify actual cases, where the responsibilities of auditors have been established by the court system and/or by the auditors own professional organizations in Denmark. The dataset includes all publicized cases raised against Danish...... auditors within the time period 1909-2006. The information provided in the cases provides a basis for identifying the actual responsibilities pertaining to fraud during the audit. The overall finding of the historical analysis is that the responsibilities of the auditor in relation to fraud should...

SOME CONSIDERATIONS REGARDING THE MANIFESTATION OF FISCAL FRAUD IN ROMANIA

Directory of Open Access Journals (Sweden)

Dumitrescu Serju

2013-07-01

Full Text Available In our paper we shall try to present two mechanisms of fiscal fraud used by economical agents and also found in the control actions performed by the fiscal organs at different commercial societies from Romania. The presented mechanisms refer to the fiscal fraud resulted from fictitious acquisitions of goods and services done by Romanian firms which have as beneficiaries other commercial societies which are fiscally registered in Romania. Being empirically examined, the fiscal fraud will be presented through the use of some figures which will describe the detailed operations step by step.For the cases we have chosen to present we will describe the real circuit of goods and money according to the documents. We will also refer to the possibility of identifying the risk of fiscal fraud that results from the reports provided by the economic agents for different state institutions. We will also consider the information provide by the books of prime entry and bookkeeping, documents which have to be written by the commercial societies according to the Law accountancy nr. 82/199, with further modifications and completions. The mechanisms of fiscal fraud in use can be identical with the ones presented in this paper or they can be different as „new elements” can appear; these „new elements” depend on the type of activity performed, the modifications the legislative framework, the performers’ creativity or other external or internal factors which are not identified by the fiscal organs. By identifying the fiscal fraud mechanisms and the way in which they function, the fiscal organs will be given the opportunity to take the necessary measures so that the fiscal resources of the state consolidated budget should not be affected by such operations. It is will known that we can speak of fiscal fraud and shadow economy in any country but ,according to the reports and statistics published by different international institutions, Romania’s shadow

Statistical fingerprints of electoral fraud?

NARCIS (Netherlands)

Kobak, Dmitry; Shpilkin, Sergey; Pshenichnikov, Maxim S.

2016-01-01

Protests greeted the results of Russia's federal election in 2011, with accusations of vote-rigging and fraud. With the country heading to the polls again this September, Dmitry Kobak, Sergey Shpilkin and Maxim S. Pshenichnikov shine a light on several anomalies in the election data set.

Equal Potential: A Collective Fraud.

Science.gov (United States)

Gottfredson, Linda S.

2000-01-01

Critiques the College Board's report, "Reaching the Top," asserting that it illustrates collective fraud in the social sciences, which sustains an egalitarian fiction that intelligence is clustered equally across all human populations. Suggests that while the report omits certain popular falsehoods, it also omits crucial truths about…

Characteristics of companies with a higher risk of financial statement fraud: Five case studies

OpenAIRE

Elda du Toit; Frans N.S. Vermaak

2015-01-01

Various characteristics can be observed in the financials and the behaviour of companies engaging in accounting irregularities. This article explores the usefulness of such characteristics by analysing the financial statements of five companies accused of alleged accounting irregularities. The analysis involves quantitative and qualitative analyses for each of the companies, compared to a relevant control sample. The quantitative study consisted of financial statement analyses. The qualitativ...

Science as a Matter of Honour: How Accused Scientists Deal with Scientific Fraud in Japan.

Science.gov (United States)

Pellegrini, Pablo A

2017-06-26

Practices related to research misconduct seem to have been multiplied in recent years. Many cases of scientific fraud have been exposed publicly, and journals and academic institutions have deployed different measures worldwide in this regard. However, the influence of specific social and cultural environments on scientific fraud may vary from society to society. This article analyzes how scientists in Japan deal with accusations of scientific fraud. For such a purpose, a series of scientific fraud cases that took place in Japan has been reconstructed through diverse sources. Thus, by analyzing those cases, the social basis of scientific fraud and the most relevant aspects of Japanese cultural values and traditions, as well as the concept of honour which is deeply involved in the way Japanese scientists react when they are accused of and publicly exposed in scientific fraud situations is examined.

Percepciones públicas del fraude electoral en México

OpenAIRE

Andreas Schedler

1999-01-01

After a long history of electoral fraud, Mexicana entered the 1990s with deep skepticism towardspolitical elections. Subsequent electoral reforma succeeded to bring fraud under control. How did Mexican citizens react to these institutional changes f Did they hibernate under theprotectivecover of un unchanging "culture ofdistrust"? Or did they adapt their expectations to thenew realities? Thearticlesupports the hypothesis ofchange. Analyzing a set of formerly disperse opinwn poli data, it arri...

10 CFR 1015.103 - Antitrust, fraud, tax, interagency, transportation account audit, acquisition contract, and...

Science.gov (United States)

2010-01-01

... part on conduct in violation of the antitrust laws or to any debt involving fraud, the presentation of... whole or in part on conduct in violation of the antitrust laws or any claim involving fraud, the... 10 Energy 4 2010-01-01 2010-01-01 false Antitrust, fraud, tax, interagency, transportation account...

Outlier-based Health Insurance Fraud Detection for U.S. Medicaid Data

NARCIS (Netherlands)

Thornton, Dallas; van Capelleveen, Guido; Poel, Mannes; van Hillegersberg, Jos; Mueller, Roland

Fraud, waste, and abuse in the U.S. healthcare system are estimated at $700 billion annually. Predictive analytics offers government and private payers the opportunity to identify and prevent or recover such billings. This paper proposes a data-driven method for fraud detection based on comparative

17 CFR 32.9 - Fraud in connection with commodity option transactions.

Science.gov (United States)

2010-04-01

... 17 Commodity and Securities Exchanges 1 2010-04-01 2010-04-01 false Fraud in connection with commodity option transactions. 32.9 Section 32.9 Commodity and Securities Exchanges COMMODITY FUTURES TRADING COMMISSION REGULATION OF COMMODITY OPTION TRANSACTIONS § 32.9 Fraud in connection with commodity...

17 CFR 33.10 - Fraud in connection with commodity option transactions.

Science.gov (United States)

2010-04-01

... 17 Commodity and Securities Exchanges 1 2010-04-01 2010-04-01 false Fraud in connection with commodity option transactions. 33.10 Section 33.10 Commodity and Securities Exchanges COMMODITY FUTURES TRADING COMMISSION REGULATION OF DOMESTIC EXCHANGE-TRADED COMMODITY OPTION TRANSACTIONS § 33.10 Fraud in...

The Effect of the Strictness of Consultation Requirements on Fraud Consultation

NARCIS (Netherlands)

Gold, A.H.; Knechel, W.R.; Wallage, P.

2012-01-01

We investigate how the strictness of a requirement to consult on potential client fraud affects auditors' propensity to consult with firm experts. We consider two specific forms of guidance about fraud consultations: (1) strict, i.e., mandatory and binding; and (2) lenient, i.e., advisory and

The Influence of Available Cash Evaluation in the Issuing of Financial Auditor’s Opinion

Directory of Open Access Journals (Sweden)

Mortură Laura-Alexandra

2016-01-01

Full Text Available In the present context of globalization, providing information that reproduces the true image of an entity, represents one of the main objectives aimed for by the economical-financial entities. To achieve this objective entities use the process of evaluation in order to ensure the real value of the patrimonial elements presented within the financial situations and regarding their certification, the audit process is used, having the aim to obtain a reasonable assurance that the economical-financial information used in the different decisional processes do not contain significant denaturation due to fraud and/ or to error.

Digital forensic technologies as e-fraud risk mitigation tools in the banking industry: Evidence from Zimbabwe

Directory of Open Access Journals (Sweden)

Shewangu Dzomira

2014-07-01

Full Text Available The paper investigates digital analytical tools and technologies used in electronic fraud prevention and detection, used in the banking industry. The paper is based on a descriptive study which studied digital forensics and cyber fraud phenomenon using content analysis. To obtain the data questionnaires and interviews were administered to the selected informants from 22 banks. Convenience and judgemental sampling techniques were used. It was found out that fraud detection and prevention tools and technologies would be most effective way of combating e-fraud if they can be utilized. It is concluded that banking institutions should reshape their anti-fraud strategies to be effective by considering fraud detection efforts using advanced analytics and related tools, software and application to get more efficient oversight

Questionable, Objectionable or Criminal? Public Opinion on Data Fraud and Selective Reporting in Science.

Science.gov (United States)

Pickett, Justin T; Roche, Sean Patrick

2018-02-01

Data fraud and selective reporting both present serious threats to the credibility of science. However, there remains considerable disagreement among scientists about how best to sanction data fraud, and about the ethicality of selective reporting. The public is arguably the largest stakeholder in the reproducibility of science; research is primarily paid for with public funds, and flawed science threatens the public's welfare. Members of the public are able to make meaningful judgments about the morality of different behaviors using moral intuitions. Legal scholars emphasize that to maintain legitimacy, social control policies must be developed with some consideration given to the public's moral intuitions. Although there is a large literature on popular attitudes toward science, there is no existing evidence about public opinion on data fraud or selective reporting. We conducted two studies-a survey experiment with a nationwide convenience sample (N = 821), and a follow-up survey with a representative sample of US adults (N = 964)-to explore community members' judgments about the morality of data fraud and selective reporting in science. The findings show that community members make a moral distinction between data fraud and selective reporting, but overwhelmingly judge both behaviors to be immoral and deserving of punishment. Community members believe that scientists who commit data fraud or selective reporting should be fired and banned from receiving funding. For data fraud, most Americans support criminal penalties. Results from an ordered logistic regression analysis reveal few demographic and no significant partisan differences in punitiveness toward data fraud.

Identifying Bank Frauds Using CRISP-DM and Decision Trees

OpenAIRE

Bruno Carneiro da Rocha; Rafael Timóteo de Sousa Júnior

2010-01-01

This article aims to evaluate the use of techniques of decision trees, in conjunction with the managementmodel CRISP-DM, to help in the prevention of bank fraud. This article offers a study on decision trees, animportant concept in the field of artificial intelligence. The study is focused on discussing how these treesare able to assist in the decision making process of identifying frauds by the analysis of informationregarding bank transactions. This information is captured with the use of t...

75 FR 68560 - Prohibition Against Fraud, Manipulation, and Deception in Connection With Security-Based Swaps

Science.gov (United States)

2010-11-08

... 3235-AK77 Prohibition Against Fraud, Manipulation, and Deception in Connection With Security-Based... fraud, manipulation, and deception in connection with the offer, purchase or sale of any security-based... measured and reasonable means to prevent fraud, manipulation, and deception in connection with security...

Avaliação do sistema de combate às fraudes corporativas no Brasil

Directory of Open Access Journals (Sweden)

Luiz Carlos Jacob Perera

2014-01-01

Full Text Available Este estudio investigó la eficacia del sistema de control interno (SCI en la lucha contra el fraude corporativo. Con el apoyo de una encuesta respondida por 156 profesionales de la auditoría fue posible tener ámbito nacional. Entre los principales resultados, se encontró que las actividade s relacionadas con SCI han desempeñado sus funciones de manera eficiente para combatir el fraude corporativo. Considerando las tres ramas del Árbol de Fraude : " la corrupción y la malversación de activos, son fraudes que se abordan de manera más eficaz por el canal de denuncias, los controles internos y el compliance; ocurrencia de fraudes en las "declaraciones financieros", por lo general vinculados al alto escalon de las empresas, se perciben con mayor precisión mediante una auditoría externa.

PENGARUH PROFESIONALISME AUDITOR INTERNAL TERHADAP PENCEGAHAN DAN PENDETEKSIAN KECURANGAN (FRAUD

Directory of Open Access Journals (Sweden)

Mimin Widaningsih

2015-04-01

The results showed that the influence of professionalism of internal auditor to fraud prevention is 40.07%, and the rest of 59.93% can be influenced by other variables that are not examined. And the amount of influence of professionalism of internal auditors to the detection of fraud is 37.33%, the rest of 62.67% can be influenced by other variables that are not examined.

THE EXCISE DUTY FRAUD IN THE CASE OF CROSSBORDER OPERATIONS WITH PETROLEUM PRODUCTS

Directory of Open Access Journals (Sweden)

Stanciu Dorica

2014-07-01

Full Text Available I appreciated that the work can be divided into five chapters designed to explain, if possible, the negative effects of fraud and tax evasion, being serious social and economic phenomena that the countries of the world are facing. The indisputable negative effects that the phenomenon of fraud and tax evasion generates are felt directly on the level of tax revenue receipts, causing major distortions in the functioning of the market mechanism. In Romania, the fiscal and budgetary revenues are dependent on the revenues from indirect taxes (VAT, excises, customs duties etc., while, in the European Union, the contributions of the three major categories of taxes (direct and indirect taxes, social contributions to the formation of revenues are closely related. Fiscal policy, using taxes, generates psychological, financial, economic, social effects on the social-economic environment. The public power that realizes the reality of the consequences of the tax action adopts as a solution changes in the structure of the tax system in order to modulate the effects consistent with the expected outcomes. Therefore, the extent of the outcomes pursued influences the technical characteristics of the taxes, and these on the micro and macroeconomic effects. In this regard I will show that reducing tax evasion allows the creation of budgetary resources necessary to the allocation of funds for economic growth. Tax settlement strategies based on state taxation policy, the influence of fiscal discipline to combat the underground economy and tax evasion, the improvement of methods and procedures used by the tax system in the tax settlement, perception and control are issues of utmost importance to ensure the feeding of the state budget systems with minimal resources required. In Romania, one of the basic economic problems is the lack of investment resources allocated, these being the main contributor to economic growth, in which the reduction of fraud and tax evasion is

In the Mind of the Market: Theory of Mind Biases Value Computation during Financial Bubbles

Science.gov (United States)

De Martino, Benedetto; O’Doherty, John P.; Ray, Debajyoti; Bossaerts, Peter; Camerer, Colin

2013-01-01

Summary The ability to infer intentions of other agents, called theory of mind (ToM), confers strong advantages for individuals in social situations. Here, we show that ToM can also be maladaptive when people interact with complex modern institutions like financial markets. We tested participants who were investing in an experimental bubble market, a situation in which the price of an asset is much higher than its underlying fundamental value. We describe a mechanism by which social signals computed in the dorsomedial prefrontal cortex affect value computations in ventromedial prefrontal cortex, thereby increasing an individual’s propensity to ‘ride’ financial bubbles and lose money. These regions compute a financial metric that signals variations in order flow intensity, prompting inference about other traders’ intentions. Our results suggest that incorporating inferences about the intentions of others when making value judgments in a complex financial market could lead to the formation of market bubbles. PMID:24050407

In the mind of the market: theory of mind biases value computation during financial bubbles.

Science.gov (United States)

De Martino, Benedetto; O'Doherty, John P; Ray, Debajyoti; Bossaerts, Peter; Camerer, Colin

2013-09-18

The ability to infer intentions of other agents, called theory of mind (ToM), confers strong advantages for individuals in social situations. Here, we show that ToM can also be maladaptive when people interact with complex modern institutions like financial markets. We tested participants who were investing in an experimental bubble market, a situation in which the price of an asset is much higher than its underlying fundamental value. We describe a mechanism by which social signals computed in the dorsomedial prefrontal cortex affect value computations in ventromedial prefrontal cortex, thereby increasing an individual's propensity to 'ride' financial bubbles and lose money. These regions compute a financial metric that signals variations in order flow intensity, prompting inference about other traders' intentions. Our results suggest that incorporating inferences about the intentions of others when making value judgments in a complex financial market could lead to the formation of market bubbles. Copyright © 2013 The Authors. Published by Elsevier Inc. All rights reserved.

When Good Money Goes Bad: True Stories of Contract Fraud at EPA

Science.gov (United States)

In an effort to provide you with tools to identify areas that may be of concern or worth looking into, this booklet was designed to provide an overview of general fraud indicators as well as highlight some specific indicators related to contract fraud.

When Good Money Goes Bad: True Stories of Grant Fraud at EPA

Science.gov (United States)

In an effort to provide you with tools to identify areas that may be of concern or worth looking into, this booklet was designed to provide an overview of general fraud indicators as well as highlight some specific indicators related to grant fraud.

DATA MINING APPLICATION IN CREDIT CARD FRAUD DETECTION SYSTEM

Directory of Open Access Journals (Sweden)

FRANCISCA NONYELUM OGWUELEKA

2011-06-01

Full Text Available Data mining is popularly used to combat frauds because of its effectiveness. It is a well-defined procedure that takes data as input and produces models or patterns as output. Neural network, a data mining technique was used in this study. The design of the neural network (NN architecture for the credit card detection system was based on unsupervised method, which was applied to the transactions data to generate four clusters of low, high, risky and high-risk clusters. The self-organizing map neural network (SOMNN technique was used for solving the problem of carrying out optimal classification of each transaction into its associated group, since a prior output is unknown. The receiver-operating curve (ROC for credit card fraud (CCF detection watch detected over 95% of fraud cases without causing false alarms unlike other statistical models and the two-stage clusters. This shows that the performance of CCF detection watch is in agreement with other detection software, but performs better.

Fraud Detection in Credit Card Transactions; Using Parallel Processing of Anomalies in Big Data

Directory of Open Access Journals (Sweden)

Mohammad Reza Taghva

2016-10-01

Full Text Available In parallel to the increasing use of electronic cards, especially in the banking industry, the volume of transactions using these cards has grown rapidly. Moreover, the financial nature of these cards has led to the desirability of fraud in this area. The present study with Map Reduce approach and parallel processing, applied the Kohonen neural network model to detect abnormalities in bank card transactions. For this purpose, firstly it was proposed to classify all transactions into the fraudulent and legal which showed better performance compared with other methods. In the next step, we transformed the Kohonen model into the form of parallel task which demonstrated appropriate performance in terms of time; as expected to be well implemented in transactions with Big Data assumptions.

Les comportements vis-à-vis de la fraude fiscale et de la fraude sociale diffèrent-ils ? Une expérience menée en Belgique, en France et aux Pays-Bas

OpenAIRE

Pestieau, Pierre; Lefebvre, Mathieu; Riedl, Arno; Villeval, Marie Claire

2013-01-01

En période de crise économique, les besoins de l’État augmentent et l’assiette fiscale se réduit. Il est alors courant de voir resurgir dans le débat public la lutte contre les diverses formes de fraude qui réduisent les recettes publiques. Dans ce contexte, on oppose régulièrement fraude fiscale à fraude sociale et la discussion porte souvent sur l’importance relative de l’une et de l’autre. On entend par fraude fiscale le détournement illégal d’un système fiscal afin de ne pas ...

Neoliberal Moral Economy: Capitalism, Socio-cultural Change and Fraud in Uganda

DEFF Research Database (Denmark)

Ponte, Stefano

2017-01-01

Book review of: Neoliberal Moral Economy: Capitalism, Socio-Cultural Change & Fraud in Uganda by Jörg Wiegratz. London and New York, Rowman & Littlefield, 2016, 375 pp. ISBN 9781783488537.......Book review of: Neoliberal Moral Economy: Capitalism, Socio-Cultural Change & Fraud in Uganda by Jörg Wiegratz. London and New York, Rowman & Littlefield, 2016, 375 pp. ISBN 9781783488537....

Persuasion, self-confidence and resistance : a dual-processing perspective on consumer fraud

OpenAIRE

Caldas, Lucas Soares

2014-01-01

A fraude é uma prática comum em todo o mundo, sempre envolvendo um agente que usa meios escusos para enganar e obter benefícios à custa de outros. Em grande parte subnotificado devido ao constrangimento social, fraudes são difíceis de prevenir porque mudam rapidamente. No entanto, os processos de influência social por trás deste fenômeno mudam pouco. Pessoas são vítimas de golpes e fraudes contra o consumidor diariamente, no entanto, na maioria dos casos, a vítima poderia ter detectado a frau...

Penerapan Model Beneish (1999 dan Model Altaman (2000 dalam Pendektesian Kecurangan Laporan Keuangan

Directory of Open Access Journals (Sweden)

Rima Novi Kartikasari

2010-08-01

Full Text Available Financial fraud is costly and it can be done by almost everyone within (and outside of an organization. Prevention through early detection of fraud is an important way to reduce fraud. The objective of this research is to prove whether certain models may be utilized to detect financial statement fraud. This study is using Beneish’s (1999 and Altman (2000 models to detect financial statement fraud. Two selected samples that meet with pre-determined criterion have been selected and explored. The result of the study shows that those models can be used to detect financial statement fraud.

Store Security. Credit Card Fraud.

Science.gov (United States)

Brockway, Jerry

The manual, intended for use by adults and not in the high school classroom situation, presents material directed toward assisting in the reduction of credit card crime. This teaching guide is organized in three sections which deal with the nature of and major reasons for credit card fraud, the types of hot card runners, and methods of reducing…

76 FR 13327 - Defense Federal Acquisition Regulation Supplement; Display of DoD Inspector General Fraud Hotline...

Science.gov (United States)

2011-03-11

..., Washington, DC 22202-2884. (ii) Department of Homeland Security (DHS) fraud hotline poster identified in... _________ _________ _________ _________ (Contracting Officer shall insert-- (i) Title of applicable Department of Homeland Security fraud hotline...-AG98 Defense Federal Acquisition Regulation Supplement; Display of DoD Inspector General Fraud Hotline...

The commerce crime and ways of conducting a financial security

Directory of Open Access Journals (Sweden)

Đekić Milica D.

2016-01-01

Full Text Available It's well-known that the developing countries such as Republic of Serbia lose many funds through the financial crime. The corruption and bribe, industrial frauds, money laundering, organized crime, insider's threats and much more are some of the examples of well-planned and conducted crimes within the commerce and financial sector. What drags our attention here are socio-economical consequences of those activities. In this paper, we would talk a bit more about how to prevent and effectively resolve such cases. It's quite clear that it's not all about the rising a competitiveness of domestic economy, but rather it's about the saving the already existing resources. Finally, this paper would bring a brief overview of typical commerce crimes as well as the measures of assuring the financial sector.

FISCAL FRAUD IN TEXTILE AND CLOTHING IMPORTS

Directory of Open Access Journals (Sweden)

STANCIU Dorică

2015-05-01

Full Text Available We have appreciated that this paper can be structured in four chapters that will explain the inevitable negative effects generated by tax and fiscal fraud, which are felt in the level of fiscal revenue, determining major malfunctions in the mechanism of the markets. In the economic reality and in the rise of the tax fraud phenomenon, in the contemporary fiscal doctrine it is stated that the public desiderate of “loyal collaboration between the tax payer and the revenue agency” with the purpose of correctly setting taxes and tariffs and other required fund needed for creating public interest monetary funds. The economic, social and political globalization tendencies of the last decade have stimulated and supported actions relating to eluding the fiscal dispositions, actions which have moved more and more from the center of the national fiscal system towards the exterior, outside the field of action of the national fiscal law. In this regard show that reducing fiscal evasion, allows the creation of budgetary resources, necessary for funds allocation for economical growth. In Romania, one of the basic economic problems is the lack of investment resources allocated, these being the main contributor to economic growth, in which the reduction of fraud and tax evasion is the solution to increase this allocation which can be rated as one of the priority tasks of the state.

Percepciones públicas del fraude electoral en México

Directory of Open Access Journals (Sweden)

Andreas Schedler

1999-06-01

Full Text Available After a long history of electoral fraud, Mexicana entered the 1990s with deep skepticism towardspolitical elections. Subsequent electoral reforma succeeded to bring fraud under control. How did Mexican citizens react to these institutional changes f Did they hibernate under theprotectivecover of un unchanging "culture ofdistrust"? Or did they adapt their expectations to thenew realities? Thearticlesupports the hypothesis ofchange. Analyzing a set of formerly disperse opinwn poli data, it arrives at an optimisticpicture: Trust in elections has steadily increased since 1988.

25 CFR 700.541 - Fraud or false statement in a Government matter.

Science.gov (United States)

2010-04-01

... 25 Indians 2 2010-04-01 2010-04-01 false Fraud or false statement in a Government matter. 700.541... RELOCATION PROCEDURES Employee Responsibility and Conduct § 700.541 Fraud or false statement in a Government..., applications for employment, personnel security forms, requests for travel reimbursement, client certification...

Multiple Additive Regression Trees a Methodology for Predictive Data Mining for Fraud Detection

National Research Council Canada - National Science Library

da

2002-01-01

...) is using new and innovative techniques for fraud detection. Their primary techniques for fraud detection are the data mining tools of classification trees and neural networks as well as methods for pooling the results of multiple model fits...

PENGARUH PENGALAMAN DAN PROFESIONALISME AKUNTAN FORENSIK TERHADAP KUALITAS BUKTI AUDIT GUNA MENGUNGKAP FRAUD

Directory of Open Access Journals (Sweden)

Rozmita Dewi Yuniarti R

2015-04-01

Full Text Available The purpose of this study is to find out how the influence of forensic accountant's experience and professionalism on the quality of audit evidence to reveal fraud. Hypothesis in this research is experience of forensic accountant have positive effect to quality of audit evidence to reveal fraud and professionalism of forensic accountant have positive effect to quality of audit evidence to reveal fraud. The research method used is associative method. While the technique of data analysis using correlation coefficient analysis and coefficient of determination analysis. Quantitative data is the primary data. Primary data in the form of questionnaires collected from forensic accountants at the Representative Board of Finance and Development of West Java Province. The results showed that forensic accountant experience and forensic accountant professionalism positively influence the quality of audit evidence to reveal fraud

48 CFR 3032.006 - Reduction or suspension of contract payments upon finding of fraud.

Science.gov (United States)

2010-10-01

... contract payments upon finding of fraud. 3032.006 Section 3032.006 Federal Acquisition Regulations System DEPARTMENT OF HOMELAND SECURITY, HOMELAND SECURITY ACQUISITION REGULATION (HSAR) GENERAL CONTRACTING... finding of fraud. ...

76 FR 57671 - Defense Federal Acquisition Regulation Supplement; Display of DoD Inspector General Fraud Hotline...

Science.gov (United States)

2011-09-16

... the title of the applicable Department of Homeland Security (DHS) fraud hotline poster and Web site(s... General Fraud Hotline Posters AGENCY: Defense Acquisition Regulations System, Department of Defense (DoD... Regulation Supplement (DFARS) to require contractors to display the DoD fraud hotline poster in common work...

45 CFR 149.41 - Consequences of Non-Compliance, Fraud, or Similar Fault.

Science.gov (United States)

2010-10-01

... Fault. 149.41 Section 149.41 Public Welfare DEPARTMENT OF HEALTH AND HUMAN SERVICES REQUIREMENTS... Eligible Employment-Based Plans § 149.41 Consequences of Non-Compliance, Fraud, or Similar Fault. Upon failure to comply with the requirements of this part, or if fraud, waste, and abuse, or similar fault are...

Training for Success: A Comparison of Anti-Fraud Knowledge Competencies

Science.gov (United States)

2014-12-01

revised is submitted for inclusion in that year’s edition of the manual. In addition, new information can be submitted from SMEs in the field. The...justify the inclusion of additional fraud knowledge competencies into mandatory follow- on training for all individuals selected to fill the role of fraud...committee. Revista Europea de Dirección y Economía de la Empresa [European Journal of Management and Business Economics], 19(3): 89–112, 173

Fraud and Misconduct in Medical Research

Directory of Open Access Journals (Sweden)

Ali Moghtaderi

2012-03-01

Full Text Available During the last year we had observed different types of misconduct in the submitted manuscripts into the editorial office. Those are included attempted theft of data, presence of ghost authors, gift authorship, dual submissions, salami publications, falsification and some other types of fraud. Our analysis in the editorial office led us to conclude that research fraud is an important issue and should be discussed clearly. The emphasis on competition and pressure to produce published materials, while internal intention to discover the scientific truth may foster a conflict between personal career goals and human intellectual motivation; finally may induce research misconduct. Having accurate and good knowledge in this field is mandatory for researchers especially the younger ones. In the first part of this article we will discuss a short but important part of the history of this problem and in the second part definition and editorial response will be reviewed

An Overview of the Legal framework of Advanced Fee Fraud and Cybercrime in Nigeria

Directory of Open Access Journals (Sweden)

Mu’azu Abdullahi Saulawa

2016-08-01

Full Text Available The paper seeks to discuss an overview on the advanced fee fraud offences as well as cybercrime in Nigerian. The aims of the paper focus on discussing the advanced fee fraud under the related provisions of Advanced Fee Fraud Act 2006 on the success of the law in addressing the practices of crimes in relation to information technology. The paper also discusses the cybercrimes in Nigeria with a brief look out on the Cybercrime (Prohibition and Prevention Act 2015. Further, it also aims at examining the application of the law in the fraud offences which raises an issue of the regulatory framework of the cybercrime. The methodology adopted by the paper is doctrinal approach method wherein both primary and secondary sources of data were analysed, particularly the local laws and other relevant documents. The finding of the paper reveals that the relevant section of the in the Advanced Fee Fraud Act that deals with electronic communication has not been invoked. This is because the discussed relevant law under the advanced fee fraud did not in any away deal with cases concerning electronic communication under section 13. The paper recommends that there is a need to strengthen the adequacy of the legal framework on the Cybercrimes so as to checkmate such practices in Nigeria.

Red flags in detecting credit cooperative fraud: the perceptions of internal auditors

Directory of Open Access Journals (Sweden)

Cristian Baú Dal Magro

2017-07-01

Full Text Available Purpose – Red flags are mechanisms that can be used by internal auditors for early detection of possible fraud. In this context, the aim of this study was to identify the relevance credit unions’ internal auditors attribute to red flags in assessing fraud risk. Design/methodology/approach – This article is characterized as descriptive concerning its goals, as a survey as to is procedures, and as quantitative in reference to its approach to the problem. The sample onsists of 51 internal auditors working in Credit Union Centers in southern Brazil. Findings – Results indicate that, in the assessment of fraud risk, internal auditors attribute greater importance to red flags referring to operational activities and internal control procedures. In addition, it is suggested that internal auditors are not impartial concerning their perception of relevance of most of the warning signs of the possibility of fraud. Originality/value – The findings contribute by demonstrating to internal auditors the need for greater attention to the use of red flags as auditing tools.

Operational circular No.10 – Principles and procedures governing investigation of fraud

CERN Multimedia

2013-01-01

Operational Circular No. 10 entitled “Principles and procedures governing investigation of Fraud”, approved by the Director-General following discussion at the Standing Concertation Committee meeting of 4 December 2012 and entering into force on 1 January 2013, is available on the intranet site of the Human Resources Department.   This circular is applicable to all persons working at or on behalf of CERN. The purpose of this new operational circular is to specify the definition of fraud and to lay down the Organization’s fraud investigation process pursuant to the CERN Anti-fraud Policy and in accordance with the principles of due process. Department Head Office HR Department

Characteristics of companies with a higher risk of financial statement fraud: Five case studies

Directory of Open Access Journals (Sweden)

Elda du Toit

2015-04-01

Full Text Available Various characteristics can be observed in the financials and the behaviour of companies engaging in accounting irregularities. This article explores the usefulness of such characteristics by analysing the financial statements of five companies accused of alleged accounting irregularities. The analysis involves quantitative and qualitative analyses for each of the companies, compared to a relevant control sample. The quantitative study consisted of financial statement analyses. The qualitative study involved an analysis of the narrative reports that form part of the published annual report. Nine of the characteristics initially identified were not reliable indicators of accounting irregularities. However, the nine remaining characteristics were positive indicators for the detection of accounting irregularities. Eight additional characteristics, not initially identified, were noted as potential indicators of accounting irregularities.

Unsupervised learning for robust bitcoin fraud detection

CSIR Research Space (South Africa)

Monamo, Patrick

2016-08-01

Full Text Available The rampant absorption of Bitcoin as a cryptographic currency, along with rising cybercrime activities, warrants utilization of anomaly detection to identify potential fraud. Anomaly detection plays a pivotal role in data mining since most outlying...

31 CFR 900.3 - Antitrust, fraud, and tax and interagency claims excluded.

Science.gov (United States)

2010-07-01

... activity do not apply to any debt based in whole or in part on conduct in violation of the antitrust laws... in whole or in part on conduct in violation of the antitrust laws or any claim involving fraud, the... 31 Money and Finance: Treasury 3 2010-07-01 2010-07-01 false Antitrust, fraud, and tax and...

Food fraud and the perceived integrity of European food imports into China

Science.gov (United States)

Raley, M.; Dean, M.; Clark, B.; Stolz, H.; Home, R.; Chan, M. Y.; Zhong, Q.; Brereton, P.; Frewer, L. J.

2018-01-01

Background/Aims Persistent incidents of food fraud in China have resulted in low levels of consumer trust in the authenticity and safety of food that is domestically produced. We examined the relationship between the concerns of Chinese consumers regarding food fraud, and the role that demonstrating authenticity may play in relieving those concerns. Methods A two-stage mixed method design research design was adopted. First, qualitative research (focus groups n = 7) was conducted in three Chinese cities, Beijing, Guangzhou and Chengdu to explore concerns held by Chinese consumers in relation to food fraud. A subsequent quantitative survey (n = 850) tested hypotheses derived from the qualitative research and theoretical literature regarding the relationship between attitudinal measures (including risk perceptions, social trust, and perceptions of benefit associated with demonstrating authenticity), and behavioral intention to purchase “authentic” European products using structural equation modelling. Results Chinese consumers perceive food fraud to be a hazard that represents a food safety risk. Food hazard concern was identified to be geographically influenced. Consumers in Chengdu (tier 2 city) possessed higher levels of hazard concern compared to consumers in Beijing and Guangzhou (tier 1). Structural trust (i.e. trust in actors and the governance of the food supply chain) was not a significant predictor of attitude and intention to purchase authenticated food products. Consumers were shown to have developed ‘risk-relieving’ strategies to compensate for the lack of trust in Chinese food and the dissonance experienced as a consequence of food fraud. Indexical and iconic authenticity cues provided by food manufacturers and regulators were important elements of product evaluations, although geographical differences in their perceived importance were observed. Conclusions Targeted communication of authenticity assurance measures, including; regulations

Food fraud and the perceived integrity of European food imports into China.

Science.gov (United States)

Kendall, H; Naughton, P; Kuznesof, S; Raley, M; Dean, M; Clark, B; Stolz, H; Home, R; Chan, M Y; Zhong, Q; Brereton, P; Frewer, L J

2018-01-01

Persistent incidents of food fraud in China have resulted in low levels of consumer trust in the authenticity and safety of food that is domestically produced. We examined the relationship between the concerns of Chinese consumers regarding food fraud, and the role that demonstrating authenticity may play in relieving those concerns. A two-stage mixed method design research design was adopted. First, qualitative research (focus groups n = 7) was conducted in three Chinese cities, Beijing, Guangzhou and Chengdu to explore concerns held by Chinese consumers in relation to food fraud. A subsequent quantitative survey (n = 850) tested hypotheses derived from the qualitative research and theoretical literature regarding the relationship between attitudinal measures (including risk perceptions, social trust, and perceptions of benefit associated with demonstrating authenticity), and behavioral intention to purchase "authentic" European products using structural equation modelling. Chinese consumers perceive food fraud to be a hazard that represents a food safety risk. Food hazard concern was identified to be geographically influenced. Consumers in Chengdu (tier 2 city) possessed higher levels of hazard concern compared to consumers in Beijing and Guangzhou (tier 1). Structural trust (i.e. trust in actors and the governance of the food supply chain) was not a significant predictor of attitude and intention to purchase authenticated food products. Consumers were shown to have developed 'risk-relieving' strategies to compensate for the lack of trust in Chinese food and the dissonance experienced as a consequence of food fraud. Indexical and iconic authenticity cues provided by food manufacturers and regulators were important elements of product evaluations, although geographical differences in their perceived importance were observed. Targeted communication of authenticity assurance measures, including; regulations; enforcement; product testing; and actions taken by

THEORETICAL AND PRACTICAL ASPECTS OF THE OFFENSE OF BANKRUPTCY FRAUD

Directory of Open Access Journals (Sweden)

Mihaela Narcisa Stoicu

2012-12-01

Full Text Available Bankruptcy is a legal concept that emerged and developed in the business environment, along with other concepts such as: insolvency, debtor, creditor, etc. Simple bankruptcy or bankruptcy fraud do not have a legal definition, but their analysis cannot be made without considering the legal norms governing the procedure of insolvency. The legal regime applicable to insolvent debtors is of general interest, due to the economic and financial effects manifested upon the business environment, with direct influences on the national economy. The insolvency procedure is regulated by Law 85/2006 and aims to establish a collective procedure for covering the liabilities of insolvent debtors. Insolvency is the state of the debtor's assets that is characterized by lack of available funds for the payment of certain, liquid and exigible debt. Therefore, non-payment of debt on maturity must be the effect of the debtor’s incapacity to pay the debt with the available sums of money, incapacity which must be caused by an external and objective situation, namely the cessation of payments.

Application of Data Mining for Card Fraud Detection

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I.V. Andrianov

2012-03-01

Full Text Available This paper focuses on implementing Data Mining methods for card fraud detection. The approach to classification and prediction tasks for detection of unauthorized transactions is considered.

Identification of the Level of Financial Security of an Insurance Company

Directory of Open Access Journals (Sweden)

Kozmenko Serhiy M.

2014-02-01

Full Text Available The article is devoted to theoretical and practical aspects of identification of financial security of the insurer. The article justifies urgency of identification of the level of financial security of the insurer and its qualitative assessment. It offers a scientific and methodical approach to identification of the level of financial security of the insurer on the basis of the conducted analysis of advantages and shortcomings of the existing approaches. The basis of the developed methods is a generalised assessment of the level of financial security of the insurer, which is offered to be carried out on the basis of calculation of statistical and dynamic integral indicators of financial security of the insurance company. The obtained integral assessments allow making a conclusion about efficiency of the selected strategy of the insurer and its ability to oppose to negative influence of threats to financial security. Results of calculation of integral indicators of financial security of the insurer allow identification of influence of fraud as the main threat to financial security of domestic insurance companies. The proposed approach was realised in practice of Ukrainian insurers and proved its efficiency.

77 FR 2778 - Sentencing Guidelines for United States Courts

Science.gov (United States)

2012-01-19

... harm to the public and the financial markets? If so, how? (C) Mortgage Fraud and Financial Institution... comment in response to the issue of harm to the public and financial markets, as raised by each of two... related issue for comment on mortgage fraud and financial institution fraud; and (D) issues for comment on...

No evidence of the effect of the interventions to combat health care fraud and abuse: a systematic review of literature.

Science.gov (United States)

Rashidian, Arash; Joudaki, Hossein; Vian, Taryn

2012-01-01

Despite the importance of health care fraud and the political, legislative and administrative attentions paid to it, combating fraud remains a challenge to the health systems. We aimed to identify, categorize and assess the effectiveness of the interventions to combat health care fraud and abuse. The interventions to combat health care fraud can be categorized as the interventions for 'prevention' and 'detection' of fraud, and 'response' to fraud. We conducted sensitive search strategies on Embase, CINAHL, and PsycINFO from 1975 to 2008, and Medline from 1975-2010, and on relevant professional and organizational websites. Articles assessing the effectiveness of any intervention to combat health care fraud were eligible for inclusion in our review. We considered including the interventional studies with or without a concurrent control group. Two authors assessed the studies for inclusion, and appraised the quality of the included studies. As a limited number of studies were found, we analyzed the data using narrative synthesis. The searches retrieved 2229 titles, of which 221 full-text studies were assessed. We found no studies using an RCT design. Only four original articles (from the US and Taiwan) were included: two studies within the detection category, one in the response category, one under the detection and response categories, and no studies under the prevention category. The findings suggest that data-mining may improve fraud detection, and legal interventions as well as investment in anti-fraud activities may reduce fraud. Our analysis shows a lack of evidence of effect of the interventions to combat health care fraud. Further studies using robust research methodologies are required in all aspects of dealing with health care fraud and abuse, assessing the effectiveness and cost-effectiveness of methods to prevent, detect, and respond to fraud in health care.

No evidence of the effect of the interventions to combat health care fraud and abuse: a systematic review of literature.

Directory of Open Access Journals (Sweden)

Arash Rashidian

Full Text Available BACKGROUND: Despite the importance of health care fraud and the political, legislative and administrative attentions paid to it, combating fraud remains a challenge to the health systems. We aimed to identify, categorize and assess the effectiveness of the interventions to combat health care fraud and abuse. METHODS: The interventions to combat health care fraud can be categorized as the interventions for 'prevention' and 'detection' of fraud, and 'response' to fraud. We conducted sensitive search strategies on Embase, CINAHL, and PsycINFO from 1975 to 2008, and Medline from 1975-2010, and on relevant professional and organizational websites. Articles assessing the effectiveness of any intervention to combat health care fraud were eligible for inclusion in our review. We considered including the interventional studies with or without a concurrent control group. Two authors assessed the studies for inclusion, and appraised the quality of the included studies. As a limited number of studies were found, we analyzed the data using narrative synthesis. FINDINGS: The searches retrieved 2229 titles, of which 221 full-text studies were assessed. We found no studies using an RCT design. Only four original articles (from the US and Taiwan were included: two studies within the detection category, one in the response category, one under the detection and response categories, and no studies under the prevention category. The findings suggest that data-mining may improve fraud detection, and legal interventions as well as investment in anti-fraud activities may reduce fraud. DISCUSSION: Our analysis shows a lack of evidence of effect of the interventions to combat health care fraud. Further studies using robust research methodologies are required in all aspects of dealing with health care fraud and abuse, assessing the effectiveness and cost-effectiveness of methods to prevent, detect, and respond to fraud in health care.

Percepciones estudiantiles sobre el fraude académico: hallazgos y reflexiones pedagógicas.

Directory of Open Access Journals (Sweden)

Claudia Lucía Ordóñez

2006-04-01

Full Text Available The present article gives information about the findings of the third stage of a research project on academic fraud that has been conducted by the Centro de Investigación y Formación en Educación, CIFE, from the Andes University, Bogotá, with the purpose of developing interventions to fight it. Facing upsetting findings in the first two stages about the frequency of fraudulent behaviors and the reasons given by the students to justify academic fraud, we conducted a detailed qualitative study that analyzes these reasons. From the results we propose a cultural explanation for students' decisions on academic fraud, instead of one that only takes into account factors related to individual moral development. Then we use constructivist learning principles and their possible applications to support the need to fight against academic fraud from pedagogical change.

Fraude e branqueamento de capitais no mercado da droga

OpenAIRE

Amaro, Andreia Ramos

2017-01-01

Versão final (Esta versão contém as críticas e sugestões dos elementos do júri) Ao longo das últimas décadas e com a crescente globalização, os infratores têm adotado novos e sofisticados métodos de ocultação de capitais ilícitos, nomeadamente, provenientes da droga. Perante isto, o presente trabalho foca-se na temática do branqueamento de capitais e da fraude no mercado da droga, sendo o seu grande objetivo o estudo da relação entre branqueamento de capitais, fraude e o mercado da drog...

Optimization of Control Self Assessment Application to Minimize Fraud

Directory of Open Access Journals (Sweden)

Wendy Endrianto

2016-05-01

Full Text Available This article discussed a method that can be done by a company to minimize fraud action by applying Control Self Assessment (CSA. The study was conducted by studying literature on the topics discussed that were presented descriptively in a systematic manner through the review one by one from the initial problem to solve the problem. It can be concluded that CSA is one form of auditing practices that emphasizes anticipatory action (preventive of the act of detection (detective that the concept of modern internal audit which is carried more precise in application. It is one alternative that is most efficient and effective in reducing fraud.

An Analysis of Fraud on the Internet.

Science.gov (United States)

Baker, C. Richard

1999-01-01

Examines the issue of fraud on the Internet and discusses three areas with significant potential for misleading and fraudulent practices: securities sales and trading; electronic commerce, including privacy and information protection; and the rapid growth of Internet companies, including advertising issues. (Author/LRW)

Ethics in health care: healthcare fraud

African Journals Online (AJOL)

Ethics CPD Supplement: Ethics in health care: Healthcare Fraud. S10. Vol 56 No 1 Supplement 1. S Afr Fam Pract 2014. Introduction. Vintage images are easily found depicting a virtuous doctor with a look of honesty and compassion on his or her face bending over a patient, stethoscope in hand, ready to perform a clinical ...

Reinforcement Tool of Whistleblowing to Eradicate Fraud in Public Sector

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Basri Siti Aisyah

2017-01-01

Full Text Available Whistleblowing is an internal control system that be a way to reduce or eradicate fraud. This paper focuses on investigating the reasons for whistleblowing is not a preferred method to eradicate fraud. This paper starts with defining the term “whistleblowing”. In its simplest form, whistleblowing involves the act of reporting improper conduct within an organisation to internal or external parties. This paper explains the issues and effects concerning whistleblowing. One of the issues is the violation of public trust. Lastly, this paper will describe the reasons for resistance of people to blow the whistle. Among the reasons is the fear of reprisal. This is a concept paper and it aims to conduct interview session with the Head for every local authority in Melaka. The findings of this paper can be used by the Government to create a new model related to whistleblowing to eradicate fraud in public sector. The Government could use this paper as the support to enhance the achievement of National Key Result Areas (NKRAs Against Corruption.

The evaluation of trustworthiness to identify health insurance fraud in dentistry.

Science.gov (United States)

Wang, Shu-Li; Pai, Hao-Ting; Wu, Mei-Fang; Wu, Fan; Li, Chen-Lin

2017-01-01

According to the investigations of the U.S. Government Accountability Office (GAO), health insurance fraud has caused an enormous pecuniary loss in the U.S. In Taiwan, in dentistry the problem is getting worse if dentists (authorized entities) file fraudulent claims. Several methods have been developed to solve health insurance fraud; however, these methods are like a rule-based mechanism. Without exploring the behavior patterns, these methods are time-consuming and ineffective; in addition, they are inadequate for managing the fraudulent dentists. Based on social network theory, we develop an evaluation approach to solve the problem of cross-dentist fraud. The trustworthiness score of a dentist is calculated based upon the amount and type of dental operations performed on the same patient and the same tooth by that dentist and other dentists. The simulation provides the following evidence. (1) This specific type of fraud can be identified effectively using our evaluation approach. (2) A retrospective study for the claims is also performed. (3) The proposed method is effective in identifying the fraudulent dentists. We provide a new direction for investigating the genuineness of claims data. If the insurer can detect fraudulent dentists using the traditional method and the proposed method simultaneously, the detection will be more transparent and ultimately reduce the losses caused by fraudulent claims. Copyright © 2016 Elsevier B.V. All rights reserved.

Tipos de fraudes en carnes y productos cárnicos: una revisión

Directory of Open Access Journals (Sweden)

T. Espinoza

2015-01-01

Full Text Available En años recientes la importancia del control de alimentos, en cuanto a la identificación de sus componentes para evitar fraudes, ha crecido tanto en interés en las organizaciones estatales como en las empresas y en las industrias. La globalización, el aumento de las importaciones y exportaciones, y los tratados de libre comercio han propiciado un mayor intercambio y acceso de los alimentos a nivel mundial; junto con ello los problemas asociados a los fraudes tales como la adulteración, sustitución, la intencionalidad, y falsificación se han incrementado. Por ello, se han reportado varios trabajos asociados al fraude alimentario, donde en la mayoría de ellas se muestran aplicaciones de nuevas técnicas de identificación. Sin embargo, una discusión acerca de los tipos de fraude y su impacto sobre la sociedad, el bioterrorismo y la religión, ha sido poco abordada. Esta revisión se enfoca básicamente en describir los tipos de fraude en alimentos más comunes. Así como, se mencionan las recientes técnicas disponibles para detectar una adulteración en carnes.

Criminality in Greece during the years of financial crisis: 2008-2014.

Science.gov (United States)

Tsouvelas, G; Konstantakopoulos, G; Vakirtzis, A; Giotakos, O; Papaslanis, T; Kontaxakis, V

2018-01-01

The link between poverty, unemployment and economic downturns and increases in crime rates has long been the subject of social science study. However, the relationships between these phenomena has not been studied sufficiently and through time in most European countries that suffered, or, like Greece, are still suffering the recent financial crisis. We examined if the recent financial crisis in Greece has coincided with an increase in crime, analyzing crime rates since the start of the financial crisis and over an extensive time period (7 years). Crime statistics were taken from the Greek Police. Repeated measures analyses of variance were performed to reveal potential differences in criminality for the years 2008, 2010, 2012 and 2014. There was a significant increase in global criminality rate per 100,000 residents (Wilks' Lambda=0.32, F (3,11)=7.93, p=0.004). There was a significant increase in illegal gun possession (Wilks' Lambda=0.16, F (3,11)=18.68, p=0.001), fraud (Wilks' Lambda=0.10, F (3,11)=32.35, p=0.001), extortion (Wilks' Lambda=0.38, F (3,11)=4.45, p=0.040), and beggary (Wilks' Lambda=0.33, F (3,11)=6.22, p=0.014). A reversed U shape was found for homicides, thefts and robberies, with rates peaking in 2010 and 2012 before dropping off in 2014. Narcotics and sexual exploitation crime rates remained unchanged. Surprisingly, the incidence of rape decreased (Wilks' Lambda=0.42, F (3,11)=5.14, p=0.018). Our results are in agreement with the results of previous broader studies as well as with criminological theories according to which in times of economic stress an increase in both property crimes and violent crimes is expected. As predicted, an increase in financial crime was observed (e.g. fraud and extortions) as well as petty crime related to financial hardship like beggary. Concerns regarding the escalation of white-collar crimes in times of economic downturns that have been raised in the literature warrant further investigation.

A systematic approach to study electoral fraud

DEFF Research Database (Denmark)

Leemann, Lucas; Bochsler, Daniel

2014-01-01

, we propose a more encompassing approach, testing for several empirical implications of different possible forms of fraud. To illustrate this approach we rely on a case of electoral irregularities in one of the oldest democracies: In a Swiss referendum in 2011, one in twelve municipalities irregularly...

Looking at Debit and Credit Card Fraud

Science.gov (United States)

Porkess, Roger; Mason, Stephen

2012-01-01

This article, written jointly by a mathematician and a barrister, looks at some of the statistical issues raised by court cases based on fraud involving chip and PIN cards. It provides examples and insights that statistics teachers should find helpful. (Contains 4 tables and 1 figure.)

PENGARUH PERILAKU TIDAK JUJUR DAN KOMPETENSI MORAL TERHADAP KECURANGAN AKADEMIK (ACADEMIC FRAUD MAHASISWA AKUNTANSI

Directory of Open Access Journals (Sweden)

Dyon Santoso

2017-02-01

Full Text Available The objectives of this research is to analyze and provide empirical proves about the influences of dishonesty behavior dan moral competence towards academic fraud of accounting students. The variable used in the research are dishonesty behavior and moral competence. The population of the research is the accounting students from Trisakti University, Bina Nusantara University, and Indonesia Banking School. 242 respondents has been involved as sampels in the research. Data used in the research consist of primary data collected using a questionaire.  Multiple regression analysis will be used in the data analysis to test the hypotheses, and the data will be tested using the 20 version of SPSS The result of the test shows us that dishonesty behavior is proven to have an effect on the academic fraud of accounting students. While moral competence has not shown an effect on the academic fraud of accounting students. Key words : Dishonesty Behavior, Moral Competence, Academic Fraud

PERAN E-PROCUREMENT TERHADAP PENCEGAHAN FRAUD PADA PENGADAAN BARANG/JASA PEMERINTAH DAERAH DI PULAU LOMBOK

Directory of Open Access Journals (Sweden)

Luh Putu Resti Mega Artantri

2016-06-01

Full Text Available Penelitian ini bertujuan untuk mengetahui peran e-procurement terhadap pencegahan fraud pada pengadaan barang/jasa pemerintah daerah di pulau Lombok. Kelompok responden merupakan seluruh anggota kelompok kerja Unit Layanan Pengadaan (ULP dan anggota Layanan Pengadaan Secara Elektronik (LPSE yang berjumlah 108 orang. Penelitian ini dianalisis menggunakan model struktural dengan pendekatan Partial Least Squares (PLS. Hasil penelitian ini mengungkapkan bahwa e-procurement memiliki peran untuk menekan fraud pada pengadaan barang/jasa pemerintah daerah di Pulau Lombok. E-procurement mampu meningkatkan transparansi dan akuntabilitas pada pengadaan barang/jasa sehingga celah kecurangan dapat dikurangi. Implikasi penelitian ini dapat menegaskan peran penting e-procurement sebagai inovasi dalam pengadaan barang/jasa dalam upaya untuk mencegah fraud pada pengadaan barang/jasa. Koordinasi lintas sektoral antara pemerintah daerah dengan aparat penegak hukum diperlukan untuk mendukung peran e-procurement dalam upaya pencegahan fraud pada pengadaan barang/jasa.

Internet Fraud: Information for Teachers and Students

Science.gov (United States)

Nkotagu, Gabriel Hudson

2011-01-01

Internet fraud takes a number of forms with the responsible individuals changing tactics rapidly to avoid detection. The perpetrators rely on telemarketing, emails, as well as presenting themselves personally to unsuspecting people. The evolution of internet marketing as well as ecommerce and the ease of connectivity create increasing…

Gendered alternative to cyber fraud participation: an assessment of ...

African Journals Online (AJOL)

Gendered alternative to cyber fraud participation: an assessment of technological driven crime in Lagos State, Nigeria. Ajibade Ebenezer Jegede, Ayotunde Oluwadamilola Elegbeleye, Elizabeth Ibunkunoluwa Olowookere, Bankole Roberts Olorunyomi ...

Competencia política y fraude electoral en Chile, 1912-1925

OpenAIRE

Ponce de León Atria, Macarena

2015-01-01

Este artículo busca comprender las complejidades de la competencia electoral por el poder político en Chile en los inicios de su institucionalización. El fraude, sobre todo el cohecho, junto a la rotativa ministerial durante la llamada República Parlamentaria (1891-1925) han sido argumentos recurrentes en la historiografía para probar la crisis política del período. Este artículo cambia el foco sobre el parlamentarismo y el tipo de fraude, e intenta probar que, entre las diversas estrategias ...

Deteksi Fraud Menggunakan Metode Model Markov Tersembunyi Pada Proses Bisnis

Directory of Open Access Journals (Sweden)

Andrean Hutama Koosasi

2017-03-01

Full Text Available Model Markov Tersembunyi merupakan sebuah metode statistik berdasarkan Model Markov sederhana yang memodelkan sistem serta membaginya dalam 2 (dua state, state tersembunyi dan state observasi. Dalam pengerjaan tugas akhir ini, penulis mengusulkan penggunaan metode Model Markov Tersembunyi untuk menemukan fraud didalam sebuah pelaksanaan proses bisnis. Dengan penggunaan metode Model Markov Tersembunyi ini, maka pengamatan terhadap elemen penyusun sebuah kasus/kejadian, yakni beberapa aktivitas, akan diperoleh sebuah nilai peluang, yang sekaligus memberikan prediksi terhadap kasus/kejadian tersebut, sebuah fraud atau tidak. Hasil ekpserimen ini menunjukkan bahwa metode yang diusulkan mampu memberikan prediksi akhir dengan evaluasi TPR sebesar 87,5% dan TNR sebesar 99,4%.

A holistic approach to food safety risks: Food fraud as an example.

Science.gov (United States)

Marvin, Hans J P; Bouzembrak, Yamine; Janssen, Esmée M; van der Fels-Klerx, H J; van Asselt, Esther D; Kleter, Gijs A

2016-11-01

Production of sufficient, safe and nutritious food is a global challenge faced by the actors operating in the food production chain. The performance of food-producing systems from farm to fork is directly and indirectly influenced by major changes in, for example, climate, demographics, and the economy. Many of these major trends will also drive the development of food safety risks and thus will have an effect on human health, local societies and economies. It is advocated that a holistic or system approach taking into account the influence of multiple "drivers" on food safety is followed to predict the increased likelihood of occurrence of safety incidents so as to be better prepared to prevent, mitigate and manage associated risks. The value of using a Bayesian Network (BN) modelling approach for this purpose is demonstrated in this paper using food fraud as an example. Possible links between food fraud cases retrieved from the RASFF (EU) and EMA (USA) databases and features of these cases provided by both the records themselves and additional data obtained from other sources are demonstrated. The BN model was developed from 1393 food fraud cases and 15 different data sources. With this model applied to these collected data on food fraud cases, the product categories that thus showed the highest probabilities of being fraudulent were "fish and seafood" (20.6%), "meat" (13.4%) and "fruits and vegetables" (10.4%). Features of the country of origin appeared to be important factors in identifying the possible hazards associated with a product. The model had a predictive accuracy of 91.5% for the fraud type and demonstrates how expert knowledge and data can be combined within a model to assist risk managers to better understand the factors and their interrelationships. Copyright © 2016 Elsevier Ltd. All rights reserved.

Creating and Using a Computer Networking and Systems Administration Laboratory Built under Relaxed Financial Constraints

Science.gov (United States)

Conlon, Michael P.; Mullins, Paul

2011-01-01

The Computer Science Department at Slippery Rock University created a laboratory for its Computer Networks and System Administration and Security courses under relaxed financial constraints. This paper describes the department's experience designing and using this laboratory, including lessons learned and descriptions of some student projects…

6 CFR 13.27 - Computation of time.

Science.gov (United States)

2010-01-01

... 6 Domestic Security 1 2010-01-01 2010-01-01 false Computation of time. 13.27 Section 13.27 Domestic Security DEPARTMENT OF HOMELAND SECURITY, OFFICE OF THE SECRETARY PROGRAM FRAUD CIVIL REMEDIES § 13.27 Computation of time. (a) In computing any period of time under this part or in an order issued...

An Analysis on Combating Vat Fraud in The European Union Using New IT Technologies

Directory of Open Access Journals (Sweden)

Lixăndroiu R.

2009-12-01

Full Text Available European VAT fraud has been growing at an alarming rate [2]. The level of VAT losses for one year is between €60bn and €100bn for all member states. This level of fraud has created an urgent need for Europe to address the issue of the reform of the VAT system.

Using Nuclear Techniques to Combat Food Fraud

International Nuclear Information System (INIS)

Frew, Russell; Cannavan, Andrew

2015-01-01

Horse meat in your beef burger. Melamine in milk powder. Dilution of your superior-quality honey, whiskey, fruit juice or rice with inferior substitutes. Reports of food fraud make regular headlines in the media, but how big is the problem? It is very difficult to say because one of the objectives of the deception perpetrated on consumers is to avoid detection, but an estimate by the World Customs Organisation puts the cost of food fraud at US $49 billion annually. There are many different types of food fraud, but two have particular food safety implications; economically motivated adulteration (EMA), and substitution. A Federal Register Notice 2 of a 2009 FDA Open Meeting defines EMA as “The fraudulent, intentional substitution or addition of a substance in a product for the purpose of increasing the apparent value of the product or reducing the cost of its production, i.e., for economic gain. EMA includes dilution of products with increased quantities of an already-present substance (e.g., increasing inactive ingredients of a drug with a resulting reduction in strength of the finished product, or watering down of juice) to the extent that such dilution poses a known or possible health risk to consumers, as well as the addition or substitution of substances in order to mask dilution.” The investment by producers in technology to ensure safety and quality should result in higher prices and greater market access for their produce. The higher prices, however, provide the motivation for fraudsters. When a fraudster puts a genuine producer’s label on a cheaper product to pass it off as the higher quality article the result is, at the very least, a loss of sale for the genuine producer. If the consumer has a bad experience with the item, brand damage will result and possibly even liability for recall or response

IDENTITY FRAUD: Prevalence and Links to Alien Illegal Activities

National Research Council Canada - National Science Library

2002-01-01

To discuss the significance of "identity fraud"-a term that encompasses a broad range of illegal activities based on fraudulent use of identifying information of a real person or of a fictitious person...

Software agent Technology: A Framework for Minimizing Fraud in ...

African Journals Online (AJOL)

Software agent Technology: A Framework for Minimizing Fraud in Postpaid Billing Systems. ... Journal of Research in National Development ... to the traditional Object-oriented Software engineering methodology was used to come up with this ...

Value-added tax fraud in the European Union

NARCIS (Netherlands)

Aronowitz, A.A.; Laagland, D.C.G.; Paulides, G.

1996-01-01

Questions addressed in this project included:What are the existing control mechanisms and how do they operate? What public bodies are responsible for the fight against Value Added Tax (VAT) fraud and what are their competencies? What are the possibilities to exchange information between member

Perception of Communication Network Fraud Dynamics by Network ...

African Journals Online (AJOL)

In considering the implications of the varied nature of the potential targets, the paper identifies the view to develop effective intelligence analysis methodologies for network fraud detection and prevention by network administrators and stakeholders. The paper further notes that organizations are fighting an increasingly ...

Faktor-Faktor yang Berhubungan dengan Fraud Pengadaan Barang/Jasa di Lembaga Publik

Directory of Open Access Journals (Sweden)

Nashirotun Nisa Nurharjanti

2017-07-01

Full Text Available The purpose of this study was to test whether the variable quality of the procurement committee of goods/services, quality of the patners goods/ services, systems and procedures for procurement of goods/services, ethical procurement of goods/services, environmental goods/services, and risk assessment have an influence on the procurement fraud goods/services in University. This study using survey method by distributing questionnaires in Asset Management and Maintenance Directorate of the University with the involvement of officials making commitments (PPK totaling 3, the committee procurement of goods/services amounted to 22 people, and committee work proceeds amounted to 25 examiners. The gathered data was analyzed using multiple regressions in SPSS software. The result showed that the quality of procurement commite, supplier’s quality, procurement system and procedure, and risk assesment had negatively influenced toward fraud in the procurement goods/services.  Meanwhile, the procurement ethics and frameworks did not have influenced toward fraud in the procurement goods/services

Faktor-Faktor yang Berhubungan dengan Fraud Pengadaan Barang/Jasa di Lembaga Publik

Directory of Open Access Journals (Sweden)

Nashirotun Nisa Nurharjanti

2017-08-01

Full Text Available The purpose of this study was to test whether the variable quality of the procurement committee of goods/services, quality of the patners goods/ services, systems and procedures for procurement of goods/services, ethical procurement of goods/services, environmental goods/services, and risk assessment have an influence on the procurement fraud goods/services in University. This study using survey method by distributing questionnaires in Asset Management and Maintenance Directorate of the University with the involvement of officials making commitments (PPK totaling 3, the committee procurement of goods/services amounted to 22 people, and committee work proceeds amounted to 25 examiners. The gathered data was analyzed using multiple regressions in SPSS software. The result showed that the quality of procurement commite, supplier’s quality, procurement system and procedure, and risk assesment had negatively influenced toward fraud in the procurement goods/services. Meanwhile, the procurement ethics and frameworks did not have influenced toward fraud in the procurement goods/services.

Financial Key Ratios

OpenAIRE

Tănase Alin-Eliodor

2014-01-01

This article focuses on computing techniques starting from trial balance data regarding financial key ratios. There are presented activity, liquidity, solvency and profitability financial key ratios. It is presented a computing methodology in three steps based on a trial balance.

BUDAYA CARI UNTUNG SEBAGAI PEMICU TERJADINYA FRAUD: SEBUAH STUDI ETNOGRAFI

Directory of Open Access Journals (Sweden)

Dewi Syahrina

2017-04-01

Full Text Available Penelitian ini bertujuan untuk mengetahui budaya yang memicu terjadinya fraud pada realisasi keuangan negara. Penelitian dilakukan pada instansi pemerintah daerah di Provinsi ABC. Metode etnografi ala Spradley dipilih untuk menemukan budaya pemicu tersebut. Hasil penelitian menunjukkan bahwa budaya yang memicu terjadinya fraud adalah budaya cari untung, yang terlihat dari kebiasaan “memanfaatkan” kebutuhan instansi, kebiasaan menyalahgunakan kewenangan yang dimiliki, dan kebiasaan menyiasati beberapa ketentuan keuangan negara pada PMK 113/PMK.05/2012 dan PMK 65/PMK.02/2015 untuk kepentingan pribadi maupun kelompok. Hasil penelitian ini memberikan informasi berupa bentuk-bentuk penyiasatan yang dilakukan, sehingga dapat dijadikan dasar sebagai bahan pertimbangan untuk perubahan atau perbaikan kebijakan dan peraturan yang disiasati tersebut

An Investigation of the Influence of the Worldwide Governance and Competitiveness on Accounting Fraud Cases: A Cross-Country Perspective

Directory of Open Access Journals (Sweden)

Rabeea Sadaf

2018-02-01

Full Text Available This article examines how worldwide governance, global competiveness, and other institutional determinants have influenced the number of accounting fraud cases in several countries. The researchers have focused more closely on the importance of ‘good governance’ as one of the indicators of development objectives in itself. The institutional perspective is employed to explain the complexity of frauds in different societies which can be compatible for the purposes of international judgments in order to increase the effectiveness of previous forensic accounting theories. In this paper, a linear regression model is tested where governance, competitiveness, and other institutional variables are associated with a measure of accounting fraud cases. From our results, we can merely claim that an increased level of controlled corruption and political stability might reduce the number of fraud cases in various countries, while more effective and independent governance services with a higher freedom of expression seemed to increase them. The existence of accounting crimes also appeared to be a suitable proxy of better competitiveness. Anglo-Saxon countries have more stated fraud cases than other countries, attributed, perhaps, to the finest commercial courts with the most professional and least corrupt judges in the world, with centuries of precedent cases and experience in dealing with fraud. Moreover, we believe that a better understanding of fraud detection is a potentially important element in forensic accounting analytics in the success of governance policies to enhance development and reduce the risk of bankruptcies related to the reported fraud cases of enterprises.

Epistemically Virtuous Risk Management: Financial Due Diligence and Uncovering the Madoff Fraud

OpenAIRE

de Bruin, Boudewijn; Luetge, Christoph; Jauernig, Johanna

2014-01-01

The chapter analyses how Bernard Madoff’s Ponzi scheme was uncovered by Harry Markopolos, an employee of Rampart Investment Management, LLC, and the contribution of so-called epistemic virtues to Markopolos’ success. After Rampart had informed the firm about an allegedly highly successful hedge fund run by Madoff, Markopolos used qualitative and quantitative methods from financial due diligence to examine Madoff’s risks, returns and strategy, ultimately to conclude that Madoff was running a l...

Financial Statements Analysis

OpenAIRE

Tănase Alin-Eliodor

2014-01-01

This article focuses on analyzing of a consolidated financial statements of a hypothetically SME. The interpretation of the financial position and performances is based on the more than 40 financial key ratios computed by using financial data from consolidated income statement, consolidated financial position and cash flow. However additional data from notes to financial statements are provided.

THE EFFECT OF INDIVIDUAL MORALITY AND INTERNAL CONTROL ON THE PROPENSITY TO COMMIT FRAUD: EVIDENCE FROM LOCAL GOVERNMENTS

Directory of Open Access Journals (Sweden)

Novita Puspasari

2016-05-01

Full Text Available This paper aims to examine the influence of individual morality and internal controls on individuals’ propensity to commit accounting fraud at the local government level. This is a quasi-experimental research paper. Individual morality and internal controls are hypothesized to be having an interaction with each other in influencing the propensity to commit accounting fraud. Individuals who have low levels of moral principles are hypothesized to have the tendency to commit accounting fraud in the absence of any internal controls. To test this, a 2x2 factorial experiment was conducted involving 57 students from the Masters in Economics Development programme at Gadjah Mada University. The result shows that there is an interaction between individual morality and internal controls. The absence of internal controls does not cause an individual with high moral principles to commit accounting fraud. However, individuals with low morality levels tend to commit accounting fraud when internal controls are absent.

European Funds Fraud: The Impact on the Process of Absorption of Structural and Cohesion Funds in Romania

Directory of Open Access Journals (Sweden)

Dumitru BELDIMAN

2016-06-01

Full Text Available The increase of the degree of absorption of European funds offered to Romania by the European Union represents one of its main objectives in the present and future situation. One of the main reasons that the funds are so important is the fact that, taking into consideration the microeconomic and macroeconomic situation that Romania is in, it represents an alternative financing mechanism of the economy that Romania can benefit in very advantageous conditions. Even under these conditions Romania- within 2007-2013 period of programming – couldn’t benefit from it by attracting as many structural and cohesion funds as possible, at least in comparison to other member states. In our opinion, that of the authors’ one of the reasons that led to such a low rate of absorption, alongside with the low administrative capacity of the state is the excessive bureaucracy, an inefficient legislative framework which is not harmonized with the European one, the lack of experience in using and administrating of European funds, the beneficiaries’ incapacity to sustain the financial support of the project (to assure the co-financing of the project, a low involvement of Romanian banking institutions in the process of supporting the beneficiaries of European funds. Another cause is the European funds fraud that happened in Romania. In the present article, the authors have decided to analyze the influence of European funds fraud on the degree of absorption of structural and cohesion funds in Romania.

75 FR 26196 - Publication of OIG Updated Special Fraud Alert on Telemarketing by Durable Medical Equipment...

Science.gov (United States)

2010-05-11

... DEPARTMENT OF HEALTH AND HUMAN SERVICES Office of Inspector General Publication of OIG Updated Special Fraud Alert on Telemarketing by Durable Medical Equipment Suppliers AGENCY: Office of Inspector...) 205-0007. SUPPLEMENTARY INFORMATION: In our publication of the OIG Updated Special Fraud Alert on...

Fragmentos de uma fraude: o caso Binjamin Wilkomirski

Directory of Open Access Journals (Sweden)

Pollyanna Gomes dos Santos

2010-10-01

Full Text Available A partir da diferenciação entre plágio, fraude e estratégia ficcional, objetiva-se, neste ensaio, analisar a construção de textos literários que tenham uma possível conotação entre escrita e crime. Como afirma Anatol Rosenfeld, a fraude literária é tão antiga quanto a própria literatura. Um dos títulos escolhidos para esta pesquisa é Fragmentos: memórias de uma infância 1939-1948, de Binjamin Wilkomirski. No livro, o autor-narrador relata que foi prisioneiro de campos de concentração e sobrevivente da Segunda Guerra Mundial. Após o enorme sucesso que o livro alcançou e apreciações positivas por parte de críticos literários em todo o mundo, descobriu-se, enfim, que sua história não era verdadeira.

PENGARUH FAKTOR KULTUR ORGANISASI, MANAJEMEN, STRATEGI, KEUANGAN, AUDITOR DAN PEMERINTAHAN TERHADAP KECENDERUNGAN KECURANGAN AKUNTANSI

Directory of Open Access Journals (Sweden)

Eka Fransiska Firdaus

2016-02-01

Full Text Available Accounting  fraud,  where  the  financial  reports  are  reported  not  in  compliance  with  the generally accepted accounting principles can undermines the credibility of the financial reporting system. Indeed the effects of accounting fraud can be devastating for investors. The objectives of the research is to explain the effect of organization culture, managerial, strategic, financial ratios, auditor factors and governance factors to the tendency of accounting fraud. The research population was 805 companies listed in the Indonesian Stock Exchange (IDX. The research samples were 125 public companies consisting 12 fraud firms and 113 non- fraud  firms.  Binary  logistic  regression  was  used  to  test  the  hypothesis.  The  results showed that number of related party transactions, firm size, and auditor's unqualified opinion affected the tendency of accounting fraud significantly. Current asset composition in total asset, capital turnover, aquitition, financial leverage, CEO age, CEO MBA, KAP, professional accountant and good corporate governance, These results advance the understanding of accounting fraud.

DMFCA Model as a Possible Way to Detect Creative Accounting and Accounting Fraud in an Enterprise

Directory of Open Access Journals (Sweden)

Jindřiška Kouřilová

2013-05-01

Full Text Available The quality of reported accounting data as well as the quality and behaviour of their users influence the efficiency of an enterprise’s management. Its assessment could therefore be changed as well. To identify creative accounting and fraud, several methods and tools were used. In this paper we would like to present our proposal of the DMFCA (Detection model Material Flow Cost Accounting balance model based on environmental accounting and the MFCA (Material Flow Cost Accounting as its method. The following balance areas are included: material, financial and legislative. Using the analysis of strengths and weaknesses of the model, its possible use within a production and business company were assessed. Its possible usage to the detection of some creative accounting techniques was also assessed. The Model is developed in details for practical use and describing theoretical aspects.

A Blockchain-Based Approach Towards Overcoming Financial Fraud in Public Sector Services

OpenAIRE

Hyvärinen, Hissu; Risius, Marten; Friis, Gustav

2017-01-01

In financial markets it is common for companies and individuals to invest into foreign companies. To avoid the double taxation of investors on dividend payment – both in the country where the profit is generated as well as the country of residence – most governments have entered into bilateral double taxation treaties, whereby investors can claim a tax refund in the country where the profit is generated. Due to easily forgeable documents and insufficient international exchange of information ...

Financial Health Indicators: An Analysis Of Financial Statement Information To Determine The Financial Health Of DOD Contractors

Science.gov (United States)

2016-12-01

examples of fraud risk factors, including the opportunity for top management to commit fraud due to ineffective monitoring of management as a result of...Jefferson Davis Highway, Suite 1204, Arlington, VA 22202-4302, and to the Office of Management and Budget, Paperwork Reduction Project (0704-0188...Officer COGS Cost of Goods Sold COSO Committee of Sponsoring Organizations DOD Department of Defense FAR Federal Acquisition Regulations GAAP

El fraude fiscal en España. Una estimación con datos de contabilidad nacional

OpenAIRE

Pulido Alba, Emilio José

2014-01-01

[ES]Análisis del fraude fiscal en España atendiendo a tres pilares fundamentales: analizar las causas, proponer soluciones y cuantificar su magnitud. Todo el estudio culmina con el núcleo de la tesis cuyo objetivo es ofrecer una magnitud del fraude fiscal en los dos impuestos que más aportan a los ingresos tributarios, el IVA y el IRPF. Pretendemos ofrecer un índice de fraude fiscal lo más real posible para cada uno de estos dos impuestos y, para ello, la metodología a utilizar se basa en...

A Research on the Responsibility of Accounting Professionals to Determine and Prevent Accounting Errors and Frauds: Edirne Sample

Directory of Open Access Journals (Sweden)

Semanur Adalı

2017-09-01

Full Text Available In this study, the ethical dimensions of accounting professionals related to accounting errors and frauds were examined. Firstly, general and technical information about accounting were provided. Then, some terminology on error, fraud and ethics in accounting were discussed. Study also included recent statistics about accounting errors and fraud as well as presenting a literature review. As the methodology of research, a questionnaire was distributed to 36 accounting professionals residing in Edirne city of Turkey. The collected data were then entered to the SPSS package program for analysis. The study revealed very important results. Accounting professionals think that, accounting chambers do not organize enough seminars/conferences on errors and fraud. They also believe that supervision and disciplinary boards of professional accounting chambers fulfill their responsibilities partially. Attitude of professional accounting chambers in terms of errors, fraud and ethics is considered neither strict nor lenient. But, most accounting professionals are aware of colleagues who had disciplinary penalties. Most important and effective tool to prevent errors and fraud is indicated as external audit, but internal audit and internal control are valued as well. According to accounting professionals, most errors occur due to incorrect data received from clients and as a result of recording. Fraud is generally made in order to get credit from banks and for providing benefits to the organization by not showing the real situation of the firm. Finally, accounting professionals state that being honest, trustworthy and impartial is the basis of accounting profession and accountants must adhere to ethical rules.

17 CFR 31.3 - Fraud in connection with certain transactions in silver or gold bullion or bulk coins, or other...

Science.gov (United States)

2010-04-01

... 17 Commodity and Securities Exchanges 1 2010-04-01 2010-04-01 false Fraud in connection with... Commodity and Securities Exchanges COMMODITY FUTURES TRADING COMMISSION LEVERAGE TRANSACTIONS § 31.3 Fraud... fraud or deceit upon any person, in, or in connection with (1) an offer to make or the making of, any...

Force, fraud, and coercion : Bridging from knowledge of intercountry adoption to global surrogacy

OpenAIRE

Smith Rotabi, K.

2014-01-01

This report discusses concerns raised by participants of Thematic Area 4 (Force, Fraud and Coercion) of the International Forum on Intercountry Adoption and Global Surrogacy held in August 2014. There has been a significant body of research on intercountry adoption practices over the past 30 years; force, fraud, and coercion have been identified in a small but important component of the literature. However, this knowledge in intercountry adoption has not yet truly bridged into research in glo...

Force, fraud, and coercion : Bridging from knowledge of intercountry adoption to global surrogacy

OpenAIRE

Smith Rotabi, Karen; Cheney, Kristen

2014-01-01

textabstractThis report discusses concerns raised by participants of Thematic Area 4 (Force, Fraud and Coercion) of the International Forum on Intercountry Adoption and Global Surrogacy held in August 2014. There has been a significant body of research on intercountry adoption practices over the past 30 years; force, fraud, and coercion have been identified in a small but important component of the literature. However, this knowledge in intercountry adoption has not yet truly bridged into res...

32 CFR 516.68 - Program Fraud Civil Remedies Act (PFCRA).

Science.gov (United States)

2010-07-01

... AUTHORITIES AND PUBLIC RELATIONS LITIGATION Remedies in Procurement Fraud and Corruption § 516.68 Program... the capability of the government to deter and recover losses from false, fictitious or fraudulent...

perception of communication network fraud dynamics by network ...

African Journals Online (AJOL)

ES Obe

work fraud dynamics by network administrators and stakeholders. In considering ... cyber crime within the last two years. How- ever, two-thirds of the ... ˆ increased exposure to unpredictable fi- nancial losses ... The intentions of the customers are reflected ..... 'There is a 95% confidence that the differ- ence between the ...

The Road from Foolishness to Fraud

Science.gov (United States)

Park, R. L.

2000-12-01

Ancient beliefs in demons and magic still sweep across the modern landscape, but they are now dressed in the language and symbols of science. This is pseudoscience. At least in the beginning, its practitioners may believe it to be science, just as witches and faith healers may truly believe they can call forth supernatural powers. What may begin as honest error, however, has a way of evolving through almost imperceptible steps from self-delusion to fraud.

Pengaruh Faktor Kultur Organisasi, Manajemen, Strategi, Keuangan, Auditor dan Pemerintahan terhadap Kecenderungan Kecurangan Akuntansi

OpenAIRE

Firdaus, Eka Fransiska; Suryandari, Erni

2008-01-01

Accounting fraud, where the financial reports are reported not in compliance with the generally accepted accounting principles can undermines the credibility of the financial reporting system. Indeed the effects of accounting fraud can be devastating for investors. The objectives of the research is to explain the effect of organization culture, managerial, strategic, financial ratios, auditor factors and governance factors to the tendency of accounting fraud. The research populati...

Fraude douanière. Réflexion à travers le cas du District d’Abidjan/Customs fraud. Consideration based on the Abidjan District case

Directory of Open Access Journals (Sweden)

Bamba Ladji

2017-04-01

Full Text Available Cet article soutient la thèse selon laquelle l’apparition de la fraude douanière à Abidjan est générée par des opérateurs économiques véreux. Ce qui est à la base d’insécurité économique, politique et sociale au sein de jeune État comme la Côte D’Ivoire. Les douanes sont chargées d’appliquer du fait de leur présence aux frontières, de leur implication dans les opérations d’importation et d’exportation, de dédouanement, les normes techniques et les droits de protection intellectuelle. Les douanes gèrent les mouvements de fond et la législation des médicaments, etc. Elles assument des missions de surveillance qu’elles assurent sur l’ensemble du territoire (les marchandises dangereuses pour la santé, la sécurité ou la moralité publique, les marchandises contrefaites, les marchandises prohibées au titre d’engagements internationaux, les marchandises faisant l’objet de courants de fraude internationale. Certaines des marchandises dites sensibles relèvent de la catégorie des marchandises fortement taxées à l’entrée (article 7 désignées par arrêté du ministre de l’Économie et des Finances comme étant celles pour lesquelles l’ensemble des droits de douane, prélèvements et taxes diverses applicables à l’importation représente plus de 20 % de leur valeur, ou de la catégorie des marchandises prohibées (article 38. Ainsi cet article a pour objectif de décrire la fraude douanière telle qu’elle s’effectue présentement à Abidjan. Nous allons montrer le fait que les fraudeurs s’adaptent aux structures en place, il est donc intéressant de comprendre le modus operandi des fraudeurs et leurs stratégies d’adaptation. This article supports the argument that the appearance of customs fraud in Abidjan is generated by unethical traders. What is the basis of economic insecurity, and social policy in the young state like Côte d’Ivoire? Customs are responsible for enforcing the fact

Understanding the types of fraud in claims to South African medical schemes.

Science.gov (United States)

Legotlo, T G; Mutezo, A

2018-03-28

Medical schemes play a significant role in funding private healthcare in South Africa (SA). However, the sector is negatively affected by the high rate of fraudulent claims. To identify the types of fraudulent activities committed in SA medical scheme claims. A cross-sectional qualitative study was conducted, adopting a case study strategy. A sample of 15 employees was purposively selected from a single medical scheme administration company in SA. Semi-structured interviews were conducted to collect data from study participants. A thematic analysis of the data was done using ATLAS.ti software (ATLAS.ti Scientific Software Development, Germany). The study population comprised the 17 companies that administer medical schemes in SA. Data were collected from 15 study participants, who were selected from the medical scheme administrator chosen as a case study. The study found that medical schemes were defrauded in numerous ways. The perpetrators of this type of fraud include healthcare service providers, medical scheme members, employees, brokers and syndicates. Medical schemes are mostly defrauded by the submission of false claims by service providers and syndicates. Fraud committed by medical scheme members encompasses the sharing of medical scheme benefits with non-members (card farming) and non-disclosure of pre-existing conditions at the application stage. The study concluded that perpetrators of fraud have found several ways of defrauding SA medical schemes regarding claims. Understanding and identifying the types of fraud events facing medical schemes is the initial step towards establishing methods to mitigate this risk. Future studies should examine strategies to manage fraudulent medical scheme claims.

Finding You on the Internet: an approach for finding on-line presences of people for fraud risk analysis

OpenAIRE

Been, Henry; van Keulen, Maurice

2014-01-01

Fraud risk analysis on data from formal information sources, being a ‘paper reality', suffers from blindness to false information. Moreover, the very act of providing false information is a strong indicator for fraud. The technology presented in this paper provides one step towards the vision of harnessing real-world data from social media and internet for fraud risk analysis. We introduce a novel iterative search, monitor, and match approach for finding on-line presences of people. A real-wo...

Credit card fraud detection using neural network and geolocation

Science.gov (United States)

Gulati, Aman; Dubey, Prakash; MdFuzail, C.; Norman, Jasmine; Mangayarkarasi, R.

2017-11-01

The most acknowledged payment mode is credit card for both disconnected and online mediums in today's day and age. It facilitates cashless shopping everywhere in the world. It is the most widespread and reasonable approach with regards to web based shopping, paying bills, what's more, performing other related errands. Thus danger of fraud exchanges utilizing credit card has likewise been expanding. In the Current Fraud Detection framework, false exchange is recognized after the transaction is completed. As opposed to the current system, the proposed system presents a methodology which facilitates the detection of fraudulent exchanges while they are being processed, this is achieved by means of Behaviour and Locational Analysis(Neural Logic) which considers a cardholder's way of managing money and spending pattern. A deviation from such a pattern will then lead to the system classifying it as suspicious transaction and will then be handled accordingly.

Deterring Online Advertising Fraud through Optimal Payment in Arrears

Science.gov (United States)

Edelman, Benjamin

Online advertisers face substantial difficulty in selecting and supervising small advertising partners: Fraud can be well-hidden, and limited reputation systems reduce accountability. But partners are not paid until after their work is complete, and advertisers can extend this delay both to improve detection of improper partner practices and to punish partners who turn out to be rule-breakers. I capture these relationships in a screening model with delayed payments and probabilistic delayed observation of agents’ types. I derive conditions in which an advertising principal can set its payment delay to deter rogue agents and to attract solely or primarily good-type agents. Through the savings from excluding rogue agents, the principal can increase its profits while offering increased payments to good-type agents. I estimate that a leading affiliate network could have invoked an optimal payment delay to eliminate 71% of fraud without decreasing profit.

Transformation of fraud activities in procurement system in Indonesia

Science.gov (United States)

Setiani, N.; Huda, S. N.; Pulungan, R.; Winarko, E.

2017-03-01

E-procurement has been applied in Indonesia since 2008 through the adoption of Electronic Procurement System (SPSE). The purpose of the use of SPSE in the procurement process is to improve the efficiency of goods or services procurement. In the bidding process, intensive communication and data exchange between providers and organizers are urgently needed. Through SPSE, the frequency of face to face meetings between providers and the committee can be reduced. This is expected to minimize potential fraud behaviors in the goods or services procurement conducted through the tender process. There exists a transformation of activities in the procurement through SPSE from the tender process that was previously done manually. In this paper, we analyze this transformation between manual procurement process and SPSE-based procurement process. The result of the analysis is exploited for investigating the possibility of fraud behavior transformations in every phase of e-procurement activities.

NEW FOOD FRAUDS IN SEAFOOD CHAIN: TUB GURNARD OR PANGASIUS?

Directory of Open Access Journals (Sweden)

M. C. Campagna

2011-04-01

Full Text Available The present study reports a case of food fraud occurred in the Lazio region. Using the Isoelectrofocusing we revealed the substitution of tub-gurnard, with the less valuable commercial fish, pangasius.

Independent Auditor's Approach to the Concept of Fraud in Accounting Standards

Directory of Open Access Journals (Sweden)

Handan Bulca

2015-07-01

Full Text Available Control in the field of standards, quality and safety can be increased fraud and error reduction is envisaged. In parallel with these changes, the conditions in the Official Gazette dated 14 March 2014 to companies that provide audit is mandatory. With the implementation of auditing standards and corporate companies will become more transparent. Information users more secure thanks to the information reaching these standards will be able to make healthy decisions. The study also has redefined the concept of independent auditors and the audit process should follow an independent auditor, is also indicated. The focus of the study of the risk of fraud and cheating, Independent Auditing Standards Number 240 constitutes in terms of views.

Specialized Accounting Expert Evidence on Economic and Financial Crimes: Analysis of the DMG Case

OpenAIRE

Ramírez, Maricela; Universidad Pedagógica y Tecnológica de Colombia.; Robayo-Nieto, Natalia; Universidad Pedagógica y Tecnológica de Colombia; Parra-Castiblanco, Lina María; Universidad Pedagógica y Tecnológica de Colombia.

2016-01-01

Generally, in the cases related to economic and financial fraud crimes defined in the Code of Criminal Procedure the performance of accounting experts is necessary, as to assist the justice system. Thus, the appointed professional creates an expert report of its evidence analysis and research work, and comes before the court in a public oral trial as to be questioned and cross-examined. In this context, this study –derived from formal research activities– will determine the requirements of th...

45 CFR 30.3 - Antitrust, fraud, exception in the account of an accountable official, and interagency claims...

Science.gov (United States)

2010-10-01

... of antitrust laws, or to any debt involving fraud, presentation of a false claim, or... violation or fraud, a false claim, misrepresentation, or other criminal activity or misconduct, the Secretary shall refer the debt to the Office of the Inspector General for review. (3) Upon the determination...

Pengaruh Good Corporate Governance Terhadap Pencegahan Fraud Di Bank Perkreditan Rakyat (Studi Pada Bank Perkreditan Rakyat Di Surabaya

Directory of Open Access Journals (Sweden)

Sitti Fitratul Jannah

2016-05-01

Full Text Available BPR memiliki kecenderungan lebih berisiko tersandung permasalahan karena jumlahnya lebih banyak daripada bank umum. Pernyataan ini didukung dengan banyaknya jumlah BPR yang dilikuidasi, yaitu sebanyak 70 BPR dari tahun 2005-2016 dengan hampir 70% alasan dilikuidasi adalah tindakan fraud oleh manajemen. Penelitian ini bertujuan untuk mengetahui pengaruh penerapan prinsip-prinsip Good Corporate Governance terhadap pencegahan fraud BPR di Surabaya yang listing di Bank Indonesia. Jenis penelitian yang dilakukan adalah penelitian dengan pendekatan kuantitatif. Populasi penelitian terdiri dari seluruh karyawan (kecuali bagian keamanan dan kebersihan BPR di Surabaya yang listing di Bank Indonesia sebanyak 186 karyawan. Sampel diambil dengan menggunakan total sampling sehingga total sampel sama dengan jumlah populasi yaitu sebanyak 186 karyawan. Hasil penelitian menunjukkan bahwa Good corporate governance berpengaruh positif terhadap pencegahan fraud BPR di Surabaya yang listing di Bank Indonesia. Penerapan prinsip Good corporate governance oleh Bank Perkreditan Rakyat di Surabaya menunjukkan nilai yang sangat tinggi yang berarti penerapan Good corporate governance sudah sangat baik. Begitu pula pencegahan fraud BPR di Surabaya juga menunjukkan nilai yang sangat tinggi yang berarti pencegahan fraud BPR di Surabaya juga telah dilakukan dengan sangat baik.

Shedding light on food fraud: spectrophotometric and spectroscopic methods as a tool against economically motivated adulteration of food

Science.gov (United States)

Petronijević, R. B.; Velebit, B.; Baltić, T.

2017-09-01

Intentional modification of food or substitution of food ingredients with the aim of gaining profit is food fraud or economically motivated adulteration (EMA). EMA appeared in the food supply chain, and following the global expansion of the food market, has become a world-scale problem for the global economy. Food frauds have involved oils, milk and meat products, infant formula, honey, juices, spices, etc. New legislation was enacted in the last decade in order to fight EMA. Effective analytical methods for food fraud detection are few and still in development. The majority of the methods in common use today for EMA detection are time consuming and inappropriate for use on the production line or out of the laboratory. The next step in the evolution of analytical techniques to combat food fraud is development of fast, accurate methods applicable using portable or handheld devices. Spectrophotometric and spectroscopic methods combined with chemometric analysis, and perhaps in combination with other rapid physico-chemical techniques, could be the answer. This review discusses some analytical techniques based on spectrophotometry and spectroscopy, which are used to reveal food fraud and EMA.

Analysis of Possibilities of Detectnig the Manipulation of Financial Statements in Terms of the IFRS and Czech Accounting Standards

Directory of Open Access Journals (Sweden)

Zita Drábková

2015-01-01

Full Text Available The main objective of financial statements is to give information. The diversity of interests and objectives of individual groups of users and creators of financial statements presents the risk of manipulation of financial statements in the context of true and fair view as defined in the national accounting legislation. The paper is concerned with the different possibilities of detecting the manipulation of financial statements in terms of the Czech Accounting Standards and IFRS. The paper analyzes the selected risk detection models of the manipulation of financial statements using creative accounting methods, off-balance sheet financing methods and accounting frauds in specific case studies of selected accounting unit in terms of Czech accounting standards. Based on the analysis and comparison of the results thereof, the paper presents and evaluates the alternatives of users of financial statements to evaluate the risk of manipulation of financial statements beyond the scope of a fair and true view. The evaluation further includes a comparison of uses of these models with respect to the International Financial Reporting Standards.

¿Qué es el fraude electoral? Su naturaleza, sus causas y consecuencias

OpenAIRE

Lehoucq, Fabrice

2007-01-01

La primera de las tres conclusiones de este estudio es que el fraude puede adoptar una amplia gama de formas, desde las violaciones de procedimiento a la ley electoral (con o sin la intención de alterar los resultados) hasta el abierto uso de la violencia en contra de los votantes. Segunda, aun cuando la manipulación del voto es parte integral de la competencia electoral, rara vez desempeña un papel decisivo. En todo caso, el fraude debilita la estabilidad política, ya que puede ser crucial c...

76 FR 21902 - Privacy Act of 1974; Report of a New System of Records

Science.gov (United States)

2011-04-19

..., Information and Systems Management Services (ISMS), U.S. Department of Health and Human Services, Parklawn... Privacy Act of 1974; the Federal Information Security Management Act of 2002; the Computer Fraud and Abuse... for integrating acquisition with financial management (one interface between HCAS and UFMS) and other...

41 CFR 105-55.003 - Antitrust, fraud, tax, interagency claims, and claims over $100,000 excluded.

Science.gov (United States)

2010-07-01

... apply to any debt based in whole or in part on conduct in violation of the antitrust laws or to any debt... antitrust laws or any claim involving fraud, the presentation of a false claim, or misrepresentation on the... 41 Public Contracts and Property Management 3 2010-07-01 2010-07-01 false Antitrust, fraud, tax...

17 CFR 39.7 - Fraud in connection with the clearing of transactions on a derivatives clearing organization.

Science.gov (United States)

2010-04-01

... 17 Commodity and Securities Exchanges 1 2010-04-01 2010-04-01 false Fraud in connection with the clearing of transactions on a derivatives clearing organization. 39.7 Section 39.7 Commodity and Securities Exchanges COMMODITY FUTURES TRADING COMMISSION DERIVATIVES CLEARING ORGANIZATIONS § 39.7 Fraud in connection...

CERN’s anti-fraud policy – the outcome of fraud investigations

CERN Multimedia

HR Department

2014-01-01

In the framework of CERN’s anti-fraud policy and in accordance with Operational Circular No. 10, entitled “Principles and procedures governing investigation of fraud”, published in January 2013, a number of fraudulent activities involving several members of the personnel, suppliers and contractors’ staff were investigated by the Internal Audit Service between April and August 2013.   In August 2013, the facts established by the Internal Audit Service were reported to the Director-General, who decided to pursue disciplinary action, for which the Joint Advisory Disciplinary Board (JADB) was consulted. The JADB heard all impugned members of the personnel, thoroughly examined each individual case, analysed the findings and made recommendations to the Director-General in March 2014. It found, in particular, conflicts of interest and fraudulent activities in violation of CERN's Procurement Rules. Sanctions were recommended by the JADB in all cases, rangi...

iBGP: A Bipartite Graph Propagation Approach for Mobile Advertising Fraud Detection

Directory of Open Access Journals (Sweden)

Jinlong Hu

2017-01-01

Full Text Available Online mobile advertising plays a vital financial role in supporting free mobile apps, but detecting malicious apps publishers who generate fraudulent actions on the advertisements hosted on their apps is difficult, since fraudulent traffic often mimics behaviors of legitimate users and evolves rapidly. In this paper, we propose a novel bipartite graph-based propagation approach, iBGP, for mobile apps advertising fraud detection in large advertising system. We exploit the characteristics of mobile advertising user’s behavior and identify two persistent patterns: power law distribution and pertinence and propose an automatic initial score learning algorithm to formulate both concepts to learn the initial scores of non-seed nodes. We propose a weighted graph propagation algorithm to propagate the scores of all nodes in the user-app bipartite graphs until convergence. To extend our approach for large-scale settings, we decompose the objective function of the initial score learning model into separate one-dimensional problems and parallelize the whole approach on an Apache Spark cluster. iBGP was applied on a large synthetic dataset and a large real-world mobile advertising dataset; experiment results demonstrate that iBGP significantly outperforms other popular graph-based propagation methods.

The effect of government internal auditors moral reasoning and situational pressure on the tendency to commit fraud when auditing: An experimental study

Directory of Open Access Journals (Sweden)

Novita Puspasari

2015-12-01

Full Text Available This study aims to examine the effect of government internal auditors moral levels and situational pressures on the tendency to commit fraud when conducting audit. Based on the hypothesis, despite the situational pressures, the government internal auditors who have a high moral level will not commit fraud at the time of auditing. Meanwhile, the government internal auditors who have a low moral level will com-mit fraud at the time of auditing when there is situational pressure. To test the hypothesis, a 22 factorial experiment is conducted involving 68 students of STAR-BPKP of Jenderal Soedirman University. The results indicate that the government internal auditors who have a high moral level will not commit fraud in the time of auditing despite some situational pressures. Meanwhile, the government internal auditors who have a low moral level will commit fraud at the time of auditing either there is a situational pressure or not. The implications of this study are to streng-then the supervisory system for the internal auditors at the time of auditing, to provide protection for whistle- blowers who report the presence of fraud committed by auditors, and to be consistent in giving reward to professional auditors and pu-nishment to auditors who are convicted of fraud at the time of auditing.

Prevenção a Fraudes em Empresas Industriais de Autopeças na Região do ABCFraud Prevention in the Auto Parts Industry in the ABC RegionPrevención de Fraudes en Empresas Industriales de Autopiezas en la Región del ABC

Directory of Open Access Journals (Sweden)

OLIVA, Eduardo de Camargo

2006-09-01

Full Text Available RESUMONos últimos anos, os casos de fraudes têm ocupado os meios de comunicação. O que pode contribuir para esta situação é a velocidade das mudanças no ambiente organizacional e os controles internos não estarem conseguindo acompanhar a mesma velocidade, aumentando assim o potencial de práticas de atos ilícitos. Por outro lado, o avanço tecnológico contribui para a informatização, possibilitando melhoria na detecção das fraudes. Esta investigação se propôs a verificar como as empresas praticam a prevenção às fraudes e, para tanto, efetuou-se um levantamento de campo junto as empresas de auto-peças da região do ABC a partir de um critério de estratificação tendo por base a lista do Sindipeças. Como resultado verificou-se que são utilizados alguns controles internos. Porém, o assunto fraude ainda não é tratado com a transparência e cuidados necessários e as empresas necessitariam incorporá-lo como risco inerente ao negócio.ABSTRACTFor many years the fraud cases have been occupying the communication means. One fact that could contribute for this situation are the changes in the organizations are quick and the internal controls tend not follow the same quickness, increasing the practice potential of illicit acts. On the other hand, the technological improvement contributes for information technology, which improves the fraud detection. This investigation had as purpose to verify how the companies practice fraud prevents. For that, it was done a search in some automobile part companies in the ABC region. It was used the stratification criterion, using as basis the Sindipeças list. As result, it was verified that the companies use some internal For many years the fraud cases have been occupying the communication means. One fact that could contribute for this situation are that the changes in the organizations are quick and the internal controls tend not follow the same quickness, increasing the potential practice

Detector de fraude académico

OpenAIRE

Aranda de Miguel, Jorge

2014-01-01

RESUMEN: En la actualidad, el fraude académico constituye un serio problema para toda la comunidad universitaria. Herramientas de detección automatizadas pueden ser de gran utilidad para los docentes a la hora de detectar estos casos. El objeto de estudio de este proyecto es tratar de conocer la mejor manera de resolver el problema de la detección del plagio, así como conocer y explicar las diversas técnicas conocidas que existen para analizar el lenguaje humano y lenguajes de programación...

Establishing Proactive Auditor Responsibilities in Relation to Fraud: The Role of the Courts and Professional Bodies in Denmark

DEFF Research Database (Denmark)

Holm, Claus; Langsted, Lars Bo; Seehausen, Jesper

2012-01-01

Over the years, there has been considerable discussion about the extent and exact nature of the responsibilities of the auditor to detect fraud. The purpose of our study is to examine how the courts and professional bodies in a principle-based legal system respond to the change in the audit...... promulgations introducing proactive responsibilities in relation to fraud. We observe the outcome of actual fraud cases in which the court system and professional bodies in Denmark establish the responsibilities of auditors. The data set includes all publicized cases in the period 1996–2006. We find...

Exploring fraud and abuse in National Health Insurance Scheme ...

African Journals Online (AJOL)

This study explored patterns of fraud and abuse that exist in the National Health Insurance Scheme (NHIS) claims in the Awutu-Effutu-Senya District using data mining techniques, with a specific focus on malaria-related claims. The study employed quantitative research approach with survey design as a strategy of enquiry.

PENGARUH FAKTOR KULTUR ORGANISASI, MANAJEMEN, STRATEGI, KEUANGAN, AUDITOR DAN PEMERINTAHAN TERHADAP KECENDERUNGAN KECURANGAN AKUNTANSI

OpenAIRE

Eka Fransiska Firdaus; Erni Suryandari

2016-01-01

Accounting  fraud,  where  the  financial  reports  are  reported  not  in  compliance  with  the generally accepted accounting principles can undermines the credibility of the financial reporting system. Indeed the effects of accounting fraud can be devastating for investors. The objectives of the research is to explain the effect of organization culture, managerial, strategic, financial ratios, auditor factors and governance factors to the tendency of accounting fraud. The research populati...

Expanding the Navy’s Managers Internal Control Program’s (MICP) Capability to Prepare for External Financial Audits

Science.gov (United States)

2015-06-01

omissions due to fraud, illegal acts, and corruption; and the risk of management override ( COSO , 2013d). Effective internal controls are an important...the Department is well managed . In 2013, The Committee of Sponsoring Organizations of the Treadway Commission ( COSO ) added 17 principles to the five...Commission’s ( COSO ) 17 Principles, Office of Financial Operations (FMO), Managers ’ Internal Control Program, Managers ’ Internal Control Manual. 15. NUMBER OF

Finding You on the Internet: an approach for finding on-line presences of people for fraud risk analysis

NARCIS (Netherlands)

Been, Henry; van Keulen, Maurice

Fraud risk analysis on data from formal information sources, being a ‘paper reality', suffers from blindness to false information. Moreover, the very act of providing false information is a strong indicator for fraud. The technology presented in this paper provides one step towards the vision of

BIRDNEST: Bayesian Inference for Ratings-Fraud Detection

OpenAIRE

Hooi, Bryan; Shah, Neil; Beutel, Alex; Gunnemann, Stephan; Akoglu, Leman; Kumar, Mohit; Makhija, Disha; Faloutsos, Christos

2015-01-01

Review fraud is a pervasive problem in online commerce, in which fraudulent sellers write or purchase fake reviews to manipulate perception of their products and services. Fake reviews are often detected based on several signs, including 1) they occur in short bursts of time; 2) fraudulent user accounts have skewed rating distributions. However, these may both be true in any given dataset. Hence, in this paper, we propose an approach for detecting fraudulent reviews which combines these 2 app...

Online credit card fraud prediction based on hierarchical temporal ...

African Journals Online (AJOL)

This understanding gave birth to the Hierarchical Temporal Memory (HTM) which holds a lot of promises in the area of time-series prediction and anomaly detection problems. This paper demonstrates the behaviour of an HTM model with respect to its learning and prediction of online credit card fraud. The model was ...

77 FR 28225 - Sentencing Guidelines for United States Courts

Science.gov (United States)

2012-05-11

... the period that the fraud occurred and the average price of the security or commodity during the 90... relates to securities fraud and similar offenses, and the second directive relates to mortgage fraud and financial institution fraud. Securities Fraud and Similar Offenses Section 1079A(a)(1)(A) of the Act directs...

75 FR 54699 - Sentencing Guidelines for United States Courts

Science.gov (United States)

2010-09-08

... securities fraud offenses and financial institution fraud offenses; and any other crime legislation enacted... Affordable Care Act, Public Law 111-148, regarding health care fraud offenses; the directives in section...

41 CFR 102-38.50 - What must we do when an executive agency suspects violations of 40 U.S.C. 559, fraud, bribery, or...

Science.gov (United States)

2010-07-01

... executive agency suspects violations of 40 U.S.C. 559, fraud, bribery, or criminal collusion in connection... an executive agency suspects violations of 40 U.S.C. 559, fraud, bribery, or criminal collusion in.... 559, fraud, bribery, or criminal collusion in connection with the disposal of personal property, the...

Poster: Report Fraud Waste and Abuse to the EPA OIG Hotline

Science.gov (United States)

The EPA OIG hotline receives complaints of fraud, waste, and abuse in EPA and U.S. Chemical Safety Board programs and operations including mismanagement or violations of law, rules, or regulations by EPA employees or program participants.

76 FR 14637 - State Medicaid Fraud Control Units; Data Mining

Science.gov (United States)

2011-03-17

...] State Medicaid Fraud Control Units; Data Mining AGENCY: Office of Inspector General (OIG), HHS. ACTION... and analyzing State Medicaid claims data, known as data mining. To support and modernize MFCU efforts... (FFP) in the costs of defined data mining activities under specified conditions. In addition, we...

29 CFR 2580.412-9 - Meaning of fraud or dishonesty.

Science.gov (United States)

2010-07-01

... 29 Labor 9 2010-07-01 2010-07-01 false Meaning of fraud or dishonesty. 2580.412-9 Section 2580.412-9 Labor Regulations Relating to Labor (Continued) EMPLOYEE BENEFITS SECURITY ADMINISTRATION, DEPARTMENT OF LABOR TEMPORARY BONDING RULES UNDER THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974...

Boardroom strategies for managing risks and preventing frauds

OpenAIRE

Coulson-Thomas, Colin

2017-01-01

Directors are expected to be entrepreneurial while at the same time exercising prudent control. Enterprise and control are two sides of the directorial coin. Considers whether risk management professionals should do more in support of creativity, innovation, enterprise and entrepreneurship before turning to some cyber security and fraud control issues and dilemmas relating to data security breaches, the internet of things, protecting customer communications, and data sharing with collaborator...

Valuing the human health damage caused by the fraud of Volkswagen

International Nuclear Information System (INIS)

Oldenkamp, Rik; Zelm, Rosalie van; Huijbregts, Mark A.J.

2016-01-01

Recently it became known that Volkswagen Group has been cheating with emission tests for diesel engines over the last six years, resulting in on-road emissions vastly exceeding legal standards for nitrogen oxides in Europe and the United States. Here, we provide an estimate of the public health consequences caused by this fraud. From 2009 to 2015, approximately nine million fraudulent Volkswagen cars, as sold in Europe and the US, emitted a cumulative amount of 526 ktonnes of nitrogen oxides more than was legally allowed. These fraudulent emissions are associated with 45 thousand disability-adjusted life years (DALYs) and a value of life lost of at least 39 billion US dollars, which is approximately 5.3 times larger than the 7.3 billion US dollars that Volkswagen Group has set aside to cover worldwide costs related to the diesel emissions scandal. - Highlights: • Health damages from Volkswagen's emission fraud are estimated in the USA and Europe. • Combined health damages in the USA and Europe are estimated at 45 thousand DALYs. • Health damages will further increase to 119 thousand DALYs if cars are not recalled. • Combined health costs in the USA and Europe are estimated at 39 billion US dollars. • Costs will further increase to 102 billion US dollars if cars are not recalled. - The diesel emission fraud committed by Volkswagen Group has led to substantial unforeseen emissions of nitrogen oxides and subsequent health damage costs in Europe and the US.

Suing One's Sense Faculties for Fraud: 'Justifiable Reliance' in the ...

African Journals Online (AJOL)

The law requires that plaintiffs in fraud cases be 'justified' in relying on a misrepresentation. I deploy the accumulated intuitions of the law to defend externalist accounts of epistemic justification and knowledge against Laurence BonJour's counterexamples involving clairvoyance. I suggest that the law can offer a ...

17 CFR 1.1 - Fraud in or in connection with transactions in foreign currency subject to the Commodity Exchange...

Science.gov (United States)

2010-04-01

... 17 Commodity and Securities Exchanges 1 2010-04-01 2010-04-01 false Fraud in or in connection with... Securities Exchanges COMMODITY FUTURES TRADING COMMISSION GENERAL REGULATIONS UNDER THE COMMODITY EXCHANGE ACT Definitions § 1.1 Fraud in or in connection with transactions in foreign currency subject to the...

Health Care Fraud: Characteristics, Sanctions, and Prevention. Briefing Report to the Honorable William V. Roth, Jr., U.S. Senate.

Science.gov (United States)

General Accounting Office, Washington, DC. Accounting and Financial Management Div.

At the request of Senator William Roth, Jr., the General Accounting Office (GAO) reviewed Medicare and Medicaid fraud investigations that agency inspectors general referred to the Department of Justice for prosecution to identify characteristics of alleged fraud against the government and to determine actions taken against those caught defrauding…

THE RESPONSIBILITY FOR PREVENTING AND DETECTING ACCOUNTING FRAUDS FROM THE VIEWPOINT OF SELF-REGULATORY AGENCIES IN TURKEY: DE JURE STATUS AND DE FACTO APPLICATION

Directory of Open Access Journals (Sweden)

Canol KANDEMİR

2013-07-01

equitable manner. Moreover, their final decisions and their reasoning behind could give critical hints to both the researchers and financial information users about the probable suspects of frauds, the fraud schemes self-regulatory agencies particularly want the liable parties to prevent and detect the penal aspects of accounting frauds, the primary responsibilities for detecting and preventing frauds, and the audit expectation gap. Besides these authorities have a material impact on setting and implementing relevant standards, codes, and other regulations. Therefore a research study was conducted in order for testing whether there is a statistically significant relationship between a series of variables some of which involve auditing-related factors and accounting frauds, and it is consequently found out that the Turkish self-regulatory agency imposed the primary responsibility for both preventing and detecting frauds upon the same party, the client company and its management. The findings of the research might also imply the absence of an audit-expectation gap in Turkey.

28 CFR 104.71 - Procedures to prevent and detect fraud.

Science.gov (United States)

2010-07-01

... 28 Judicial Administration 2 2010-07-01 2010-07-01 false Procedures to prevent and detect fraud. 104.71 Section 104.71 Judicial Administration DEPARTMENT OF JUSTICE (CONTINUED) SEPTEMBER 11TH VICTIM COMPENSATION FUND OF 2001 Measures To Protect the Integrity of the Compensation Program § 104.71 Procedures to...

Task performance fraud risk assessment on forensic accountant and auditor knowledge and mindset in Nigerian public sector

Directory of Open Access Journals (Sweden)

Oluwatoyin Muse Johnson Popoola

2014-10-01

Full Text Available This paper discusses task performance fraud risk assessment and forensic accountant and auditor knowledge and mindset in the Nigerian public sector. The aim of the study is to examine the fraud risk assessment in the Nigerian public sector through the efficient utilisation of forensic accountant and auditor knowledge and mindset. The effect will enhance the corporate governance and accountability practices among public sector accountants and auditors in Nigeria

A fraud prevention policy: Its relevance and implication at a university of technology in South Africa

Directory of Open Access Journals (Sweden)

Amelia Rorwana

2015-08-01

Full Text Available Using research grants administrators and their clients (academic researchers as the lens, this paper investigated the relevance and implication of a fraud prevention policy at a University of Technology (UoT in South Africa. The paper adopted a quantitative approach in which closed-ended questions were complemented by open-ended questions in the survey questionnaire in the attempt to capture the perceptions of both research grants administrators and their clients on the relevance and implications of a fraud and irregularity prevention policy. The results indicate that both research grants administrators (71.4 %, and their clients (73% do not know if UoTx has a fraud and irregularity policy. While only 36% of research grants administrators indicated that they would feel safe reporting deceitful activities, a slight majority (59% of the clients reported same. With regards to the steps to follow to report fraudulent activity, it was noted that while all (100% the research grants administrators noted that they were clueless, ironically an overwhelming majority of their clients indicated otherwise. Notwithstanding, both research grants administrators and their clients (93% and 95% respectively concurred that a fraud prevention policy was necessary for UoTx. The implication is that having phenomenal controls that are not effectively publicized, monitored or worse still overridden by someone are useless.

Reduce Fraud Risk in Your District with Stronger Internal Controls

Science.gov (United States)

Okrzesik, Daryl J.; Nuehring, Bert G.

2011-01-01

Internal accounts offer schools a faster, more convenient way to handle the income and expenses that result from student fees, school clubs and organizations, field trips, fund-raising, and similar activities. But this convenience also incurs the added risk of fraud. Fortunately, there are proven ways to strengthen internal controls and reduce…

Uncovering document fraud in maritime freight transport based on probabilistic classification

NARCIS (Netherlands)

Triepels, Ron; Feelders, A. F.; Daniels, Hennie

2015-01-01

Deficient visibility in global supply chains causes significant risks for the customs brokerage practices of freight forwarders. One of the risks that freight forwarders face is that shipping documentation might contain document fraud and is used to declare a shipment. Traditional risk controls are

Uncovering Document Fraud in Maritime Freight Transport Based on Probabilistic Classification

NARCIS (Netherlands)

Triepels, Ron; Feelders, A.J.; Daniels, Hennie

2015-01-01

Deficient visibility in global supply chains causes significant risks for the customs brokerage practices of freight forwarders. One of the risks that freight forwarders face is that shipping documentation might contain document fraud and is used to declare a shipment. Traditional risk controls are

Internal Audit as a Tool for Combating Economic Fraud. Case Study of the Misappropriation Process of Company’s Assets

Directory of Open Access Journals (Sweden)

Michał Falkowski

2010-12-01

Full Text Available The paper deals with the problem of economic fraud and the role of Internal Audit as a tool for preventing it. As the economic downturn intensifies, the possibility of disputes and other difficulties arises more frequently. More often employees and contracting parties try to shift their own losses on to other economic entities. When internal rules are broken or either are not established, organizations are exposed to risks and problems that they are often not used to dealing with. As the analyzed case study showed threats of an economic fraud can come also from inside the company. Embezzlement concerning expense reimbursement is one of the most “popular” ways to steal money from inside the company. To prevent such situations from happening Internal Audit Unit has to perform assurance and consulting actions to deter this particular and any other type of fraud. When the actual fraud occurs an important element, is the properly divide roles between an internal auditor and the forensic specialist who is adequately prepared to lead the investigation, find evidence, and bring fraudsters to justice.

Fraud by using a check | Azarian | Journal of Fundamental and ...

African Journals Online (AJOL)

If someone used check as a tool to fraud and looting of property of others, should they just be subject to check law, and according to the provisions of the law are prosecuted? Are crook people the same as honorable merchants that due to some unwanted changes and fluctuations in the market and social conditions

Achieving Business Excellence by Optimizing Corporate Forensic Readiness

Directory of Open Access Journals (Sweden)

Gojko Grubor

2017-02-01

Full Text Available In order to improve their business excellence, all organizations, despite their size (small, medium or large one should manage their risk of fraud. Fraud, in today’s world, is often committed by using computers and can only be revealed by digital forensic investigator. Not even small or medium-sized companies are secure from fraud. In the light of recent financial scandals that literary demolished not just economies of specific countries but entire world economy, we propose in this paper an optimal model of corporative computer incident digital forensic investigation (CCIDFI by using adopted mathematic model of the greed MCDM – multi-criteria decision-making method and the Expert Choice software tool for multi-criteria optimization of the CCIDFI readiness. Proposed model can, first of all, help managers of small and medium-sized companies to justify their decisions to employ digital forensic investigators and include them in their information security teams in order to choose the optimal CCIDFI model and improve forensic readiness in the computer incident management process that will result with minimization of potential losses of company in the future and improve its business quality.

A support vector machine approach to detect financial statement fraud in South Africa: A first look

CSIR Research Space (South Africa)

Moepya, SO

2014-04-01

Full Text Available Auditors face the difficult task of detecting companies that issue manipulated financial statements. In recent years, machine learning methods have provided a feasible solution to this task. This study develops support vector machine (SVM) models...

Organizacijų vidinė kontrolė : klastočių rizikos valdymas

OpenAIRE

Bičiulaitis, Ramūnas

2000-01-01

The article is focusing on the analysis of financial fraud which is detected in the accounting books of Lithuanian companies. The study could be divided into three main parts: definitions and situation review, description of fraud methodologies, and the last part provides description of the basic elements of sound internal control system and its importance. The first part of the article describes the two possible kinds of misstatements of financial statements: mistake and fraud. The analysis ...

After Halliburton: Event Studies and Their Role in Federal Securities Fraud Litigation

NARCIS (Netherlands)

J.E. Fisch (Jill); J.B. Gelbach (Jonah); J.M. Klick (Jonathan)

2016-01-01

markdownabstractEvent studies have become increasingly important in securities fraud litigation after the Supreme Court’s decision in Halliburton II. Litigants have used event study methodology, which empirically analyzes the relationship between the disclosure of corporate information and the

Computational intelligence paradigms in economic and financial decision making

CERN Document Server

Resta, Marina

2016-01-01

The book focuses on a set of cutting-edge research techniques, highlighting the potential of soft computing tools in the analysis of economic and financial phenomena and in providing support for the decision-making process. In the first part the textbook presents a comprehensive and self-contained introduction to the field of self-organizing maps, elastic maps and social network analysis tools and provides necessary background material on the topic, including a discussion of more recent developments in the field. In the second part the focus is on practical applications, with particular attention paid to budgeting problems, market simulations, and decision-making processes, and on how such problems can be effectively managed by developing proper methods to automatically detect certain patterns. The book offers a valuable resource for both students and practitioners with an introductory-level college math background.

Prediction of food fraud type using data from Rapid Alert System for Food and Feed (RASFF) and Bayesian network modelling

NARCIS (Netherlands)

Bouzembrak, Y.; Marvin, H.J.P.

2016-01-01

Because food fraud can harm human health and erode consumer trust, it is imperative that it is detected at an early stage. Therefore the aim of this study was to predict the expected food fraud type for imported products for which the product category and country of origin are known in order to

Text mining to detect indications of fraud in annual reports worldwide

NARCIS (Netherlands)

Fissette, Marcia Valentine Maria

2017-01-01

The research described in this thesis examined the contribution of text analysis to detecting indications of fraud in the annual reports of companies worldwide. A total of 1,727 annual reports have been collected, of which 402 are of the years and companies in which fraudulent activities took place,

Análisis de la auditoría forense cómo método de prevención del fraude en las Cooperativas de Ahorro y Crédito del Distrito Metropolitano de Quito en el 2012-2013

OpenAIRE

Sarango Condolo, María Yolanda; Tipán Chancusig, Patricia Alexandra

2014-01-01

In the present investigation seeks to understand the Forensic Audit as prevention of fraud, starting from basic concepts, methods and tools used this new branch of the audit for the detection, prevention and monitoring of financial crimes, the same that have increased in recent years and which has been used to forensic audit as control system, control and investigación.Una once understood and studied the basics of this audit we will focus the situational analysis of the ivas Cooperat Savings ...

Using Benford’s Law to detect data error and fraud: An examination of companies listed on the Johannesburg Stock Exchange

Directory of Open Access Journals (Sweden)

A Saville

2014-06-01

Full Text Available Accounting numbers generally obey a mathematical law called Benford’s Law, and this outcome is so unexpected that manipulators of information generally fail to observe the law. Armed with this knowledge, it becomes possible to detect the occurrence of accounting data that are presented fraudulently. However, the law also allows for the possibility of detecting instances where data are presented containing errors. Given this backdrop, this paper uses data drawn from companies listed on the Johannesburg Stock Exchange to test the hypothesis that Benford’s Law can be used to identify false or fraudulent reporting of accounting data. The results support the argument that Benford’s Law can be used effectively to detect accounting error and fraud. Accordingly, the findings are of particular relevance to auditors, shareholders, financial analysts, investment managers, private investors and other users of publicly reported accounting data, such as the revenue services

77 FR 32645 - Revision of Performance Standards for State Medicaid Fraud Control Units

Science.gov (United States)

2012-06-01

... familiar with, and adhere to, policies and procedures. To determine whether a Unit meets this standard, OIG... provide training on the elements of successful fraud referrals and receive training on the role and...

Nature, form and content of deceit as a way of committing fraud in the sphere of motor transport

Directory of Open Access Journals (Sweden)

Villi A. Maslov

2014-01-01

Full Text Available Objective to realize the specifics of deceit as a means of committing fraud in the sphere of transport to define the general concept of deceit. Methods the dialectical method of cognition systemic logicallegal and comparative legal methods. Results the conclusion is proved that the delusion of the victim is not a sign of deceit because deceit is the behavior activity of the deceiver and delusion is the mental state of the deceived that occurs as the result of the deceiverrsquos activity. Attention is drawn to the key characteristic according to which the fraudulent actions in transport fraud can be divided into two groups the deceits about the external objective factors and the deceits about the internal subjective factors. Scientific novelty the traditional provisions of fraud in the context of road transport fraud are viewed which need a more detailed legal interpretation. Deceit in transport are grouped on a feature basis reflecting the typical kinds of deceit. The most complete from the terminological point of view definition of deceit is formulated. Practical value the results can be used in scientific and law enforcement activities in particular can be included in educationalmethodical literature for use in the preparation of practitioners and scientificpedagogical personnel in the field of jurisprudence.

Use of forensic accounting techniques in the detection of fraud in ...

African Journals Online (AJOL)

This study investigated the extent of use of forensic accounting techniques in the detection of fraud in tertiary institutions in Anambra State, Nigeria. One research question guided the study and one null hypothesis was tested. Related literature pertinent to the study was reviewed which exposed the need for the study.

Growth of electoral fraud in non-democracies: the role of uncertainty

Czech Academy of Sciences Publication Activity Database

Vorobyev, Dmitriy

-, č. 420 (2010), s. 1-40 ISSN 1211-3298 R&D Projects: GA MŠk LC542 Grant - others:MŠk(CZ) SVV-2010-261801 Institutional research plan: CEZ:MSM0021620846 Keywords : election * voting * fraud * learning Subject RIV: AH - Economics http://www.cerge-ei.cz/pdf/wp/Wp420.pdf

Declining financial capacity in patients with mild Alzheimer disease: a one-year longitudinal study.

Science.gov (United States)

Martin, Roy; Griffith, H Randall; Belue, Katherine; Harrell, Lindy; Zamrini, Edward; Anderson, Britt; Bartolucci, Alfred; Marson, Daniel

2008-03-01

The objective of this study was to investigate change over time in financial abilities in patients with mild Alzheimer disease (AD). The authors conducted a prospective 1-year longitudinal study at a large southern U.S. metropolitan-area medical school university. Participants included healthy older adults (N=63) and patients with mild AD (N=55). The authors conducted a standardized performance measure of financial capacity. Performance was assessed on 18 financial tasks, nine domains of financial activity, and overall financial capacity. Capacity outcomes classifications (capable, marginally capable, or incapable) for domains and overall performance were made using cut scores referenced to comparison group performance. At baseline, patients with mild AD performed significantly below healthy older adults on 16 of 18 tasks, on all nine domains, and on overall financial capacity. At one-year follow up, comparison group performance was stable on all variables. In contrast, patients with mild AD showed substantial declines in overall financial capacity, on eight of nine domains, and on 12 of 18 tasks. Similarly, the proportion of the mild AD group classified as marginally capable and incapable increased substantially over one year for the two overall scores and for five financial domains. Financial capacity is already substantially impaired in patients with mild AD at baseline and undergoes rapid additional decline over one year. Relative to the comparison group, overall financial capacity performance in the AD group declined 10%, from approximately 80% of the comparison group performance at baseline to 70% at follow up. Financial skills showed differential rates of decline on both simple and complex tasks. Of clinical and public policy interest was the declining judgment of patients with mild AD regarding simple fraud schemes. The study supports the importance of prompt financial supervision and planning for patients newly diagnosed with AD.

Reducing Error, Fraud and Corruption (EFC) in Social Protection Programs

OpenAIRE

Tesliuc, Emil Daniel; Milazzo, Annamaria

2007-01-01

Social Protection (SP) and Social Safety Net (SSN) programs channel a large amount of public resources, it is important to make sure that these reach the intended beneficiaries. Error, fraud, or corruption (EFC) reduces the economic efficiency of these interventions by decreasing the amount of money that goes to the intended beneficiaries, and erodes the political support for the program. ...

Getting Something for Nothing: Trump, Fraud, and the Tea Party

Science.gov (United States)

Bordelon, David

2017-01-01

David Bordelon identifies himself as one of the majority of Americans who voted to keep Trump out of office. In this article he discusses his confusion by the Tea Party's fixation on welfare fraud, and inability to recognize it in President Trump's behavior. The author says that he can only hope that his confusion will be shared, and progress to…

7 CFR 1773.9 - Disclosure of fraud, illegal acts, and other noncompliance.

Science.gov (United States)

2010-01-01

..., the auditor must design the audit to provide reasonable assurance of detecting fraud that is material... UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE (CONTINUED) POLICY ON AUDITS OF RUS BORROWERS RUS Audit... statements, auditors should apply audit procedures specifically directed to ascertaining whether an illegal...

Modelling Financial-Accounting Decisions by Means of OLAP Tools

Directory of Open Access Journals (Sweden)

Diana Elena CODREAN

2011-03-01

Full Text Available At present, one can say that a company’s good running largely depends on the information quantity and quality it relies on when making decisions. The information needed to underlie decisions and be obtained due to the existence of a high-performing information system which makes it possible for the data to be shown quickly, synthetically and truly, also providing the opportunity for complex analyses and predictions. In such circumstances, computerized accounting systems, too, have grown their complexity by means of data analyzing information solutions such as OLAP and Data Mining which help perform a multidimensional analysis of financial-accounting data, potential frauds can be detected and data hidden information can be revealed, trends for certain indicators can be set up, therefore ensuring useful information to a company’s decision making.

Two barriers to realizing the benefits of biometrics: a chain perspective on biometrics and identity fraud as biometrics' real challenge

Science.gov (United States)

Grijpink, Jan

2004-06-01

Along at least twelve dimensions biometric systems might vary. We need to exploit this variety to manoeuvre biometrics into place to be able to realise its social potential. Subsequently, two perspectives on biometrics are proposed revealing that biometrics will probably be ineffective in combating identity fraud, organised crime and terrorism: (1) the value chain perspective explains the first barrier: our strong preference for large scale biometric systems for general compulsory use. These biometric systems cause successful infringements to spread unnoticed. A biometric system will only function adequately if biometrics is indispensable for solving the dominant chain problem. Multi-chain use of biometrics takes it beyond the boundaries of good manageability. (2) the identity fraud perspective exposes the second barrier: our traditional approach to identity verification. We focus on identity documents, neglecting the person and the situation involved. Moreover, western legal cultures have made identity verification procedures known, transparent, uniform and predictable. Thus, we have developed a blind spot to identity fraud. Biometrics provides good potential to better checking persons, but will probably be used to enhance identity documents. Biometrics will only pay off if it confronts the identity fraudster with less predictable verification processes and more risks of his identity fraud being spotted. Standardised large scale applications of biometrics for general compulsory use without countervailing measures will probably produce the reverse. This contribution tentatively presents a few headlines for an overall biometrics strategy that could better resist identity fraud.

Security for small computer systems a practical guide for users

CERN Document Server

Saddington, Tricia

1988-01-01

Security for Small Computer Systems: A Practical Guide for Users is a guidebook for security concerns for small computers. The book provides security advice for the end-users of small computers in different aspects of computing security. Chapter 1 discusses the security and threats, and Chapter 2 covers the physical aspect of computer security. The text also talks about the protection of data, and then deals with the defenses against fraud. Survival planning and risk assessment are also encompassed. The last chapter tackles security management from an organizational perspective. The bo

Objective - oriented financial analysis introduction

Directory of Open Access Journals (Sweden)

Dessislava Kostova – Pickett

2018-02-01

Full Text Available The practice of financial analysis has been immeasurably strengthened in recent years thanks to the ongoing evolution of computerized approaches in the form of spreadsheets and computer-based financial models of different types. These devices not only relieved the analyst's computing task, but also opened up a wide range of analyzes and research into alternative sensitivity, which so far has not been possible. The main potential for object-oriented financial analysis consists in enormously expanding the analyst's capabilities through an online knowledge and information interface that has not yet been achieved through existing methods and software packages.

Computer Forensics for Graduate Accountants: A Motivational Curriculum Design Approach

OpenAIRE

Grover Kearns

2010-01-01

Computer forensics involves the investigation of digital sources to acquire evidence that can be used in a court of law. It can also be used to identify and respond to threats to hosts and systems. Accountants use computer forensics to investigate computer crime or misuse, theft of trade secrets, theft of or destruction of intellectual property, and fraud. Education of accountants to use forensic tools is a goal of the AICPA (American Institute of Certified Public Accountants). Accounting stu...

Molecular assay to fraud identification of meat products.

Science.gov (United States)

Doosti, Abbas; Ghasemi Dehkordi, Payam; Rahimi, Ebrahim

2014-01-01

Detection of species fraud in meat products is important for consumer protection and food industries. A molecular technique such as PCR method for detection of beef, sheep, pork, chicken, donkey, and horse meats in food products was established. The purpose of this study was to identification of fraud and adulteration in industrial meat products by PCR-RFLP assay in Iran. In present study, 224 meat products include 68 sausages, 48 frankfurters, 55 hamburgers, 33 hams and 20 cold cut meats were collected from different companies and food markets in Iran. Genomic DNA was extracted and PCR was performed for gene amplification of meat species using specific oligonucleotid primers. Raw meat samples are served as the positive control. For differentiation between donkey's and horse's meat, the mitochondrial DNA segment (cytochrome-b gene) was amplified and products were digested with AluI restriction enzyme. Results showed that 6 of 68 fermented sausages (8.82%), 4 of 48 frankfurters (8.33%), 4 of 55 hamburgers (7.27%), 2 of 33 hams (6.6%), and 1 of 20 cold cut meat (5%) were found to contain Haram (unlawful or prohibited) meat. These results indicate that 7.58% of the total samples were not containing Halal (lawful or permitted) meat and have another meat. These findings showed that molecular methods such as PCR and PCR-RFLP are potentially reliable techniques for detection of meat type in meat products for Halal authentication.

76 FR 7239 - Proposed Privacy Act Systems of Records

Science.gov (United States)

2011-02-09

... property interests, identity theft or fraud, or harm to the security or integrity of this system or other... notice of a proposed system of records entitled, ``Treasury/DO .225 --TARP Fraud Investigation...: Supervisory Fraud Specialist, Office of Financial Stability, 1500 Pennsylvania Avenue, NW., Washington, DC...

The 419 codes as business unusual: the advance fee fraud online ...

African Journals Online (AJOL)

The 419 codes as business unusual: the advance fee fraud online discourse. A Adogame. Abstract. No Abstract. International Journal of Humanistic Studies Vol. 5 2006: pp. 54-72. AJOL African Journals Online. HOW TO USE AJOL... for Researchers · for Librarians · for Authors · FAQ's · More about AJOL · AJOL's Partners ...

Contracting Processes, Internal Controls, and Procurement Fraud: A Knowledge Assessment

Science.gov (United States)

2015-04-30

entails the tone at the top. Management’s integrity and ethical behavior sets the tone for the organization (COSO, 2013). A weak control environment can...the collusion category of fraud schemes are kickbacks, bribery , and deliberate split purchases. Kickbacks involve government officials receiving...something of value such as money from a contractor for personal gain in exchange for providing a favor such as submitting false invoices. Bribery

Corporate Fraud and Internal Control: A Framework for Prevention. By Richard E. Cascarino, Wiley, 2013; 388 Pages. Price £50.00 / €60.00, ISBN 978-1-1183-0156-2

Directory of Open Access Journals (Sweden)

Shu-Kun Lin

2013-02-01

Full Text Available The publication Corporate Fraud and Internal Control contains essential guidance for companies to examine and improve their fraud programs: Corporate governance legislation has become increasingly concerned with the ongoing resilience of organizations and, particularly, with their ability to resist corporate fraud from the lowest levels to the upper echelons of executive management. It has become unacceptable for those responsible for corporate governance to claim, "I didn't know". Corporate Fraud and Internal Control focuses on the appropriateness of the design of the system of internal controls in fraud risk mitigation, as well as the mechanisms to ensure effective implementation and monitoring on an ongoing basis. 

78 FR 65515 - Supplemental Nutrition Assistance Program: Trafficking Controls and Fraud Investigations...

Science.gov (United States)

2013-11-01

... initiated unless the State agency has sufficient documentary evidence to substantiate fraud. The final... taken to an ADH or prosecuted without sufficient documentary evidence--which is gathered during the... determined to be not significant and was reviewed by the Office of Management and Budget (OMB) in conformance...

78 FR 51649 - Supplemental Nutrition Assistance Program: Trafficking Controls and Fraud Investigations

Science.gov (United States)

2013-08-21

... initiated unless the State agency has sufficient documentary evidence to substantiate fraud. The final... taken to an ADH or prosecuted without sufficient documentary evidence--which is gathered during the... determined to be not significant and was reviewed by the Office of Management and Budget (OMB) in conformance...

Quantum computational finance: Monte Carlo pricing of financial derivatives

OpenAIRE

Rebentrost, Patrick; Gupt, Brajesh; Bromley, Thomas R.

2018-01-01

Financial derivatives are contracts that can have a complex payoff dependent upon underlying benchmark assets. In this work, we present a quantum algorithm for the Monte Carlo pricing of financial derivatives. We show how the relevant probability distributions can be prepared in quantum superposition, the payoff functions can be implemented via quantum circuits, and the price of financial derivatives can be extracted via quantum measurements. We show how the amplitude estimation algorithm can...

Automatic Detection of Online Recruitment Frauds: Characteristics, Methods, and a Public Dataset

Directory of Open Access Journals (Sweden)

Sokratis Vidros

2017-03-01

Full Text Available The critical process of hiring has relatively recently been ported to the cloud. Specifically, the automated systems responsible for completing the recruitment of new employees in an online fashion, aim to make the hiring process more immediate, accurate and cost-efficient. However, the online exposure of such traditional business procedures has introduced new points of failure that may lead to privacy loss for applicants and harm the reputation of organizations. So far, the most common case of Online Recruitment Frauds (ORF, is employment scam. Unlike relevant online fraud problems, the tackling of ORF has not yet received the proper attention, remaining largely unexplored until now. Responding to this need, the work at hand defines and describes the characteristics of this severe and timely novel cyber security research topic. At the same time, it contributes and evaluates the first to our knowledge publicly available dataset of 17,880 annotated job ads, retrieved from the use of a real-life system.

Who is Reading the Data on Your Old Computer?

Directory of Open Access Journals (Sweden)

Vivienne Mee

2008-03-01

Full Text Available Researchers at Rits Information Security performed a study in how the Irish population disposes of their old computers. How would you dispose of your old computer, or how would the company you work for dispose of their old computers?The majority of Irish homeowners, would bring their old computers to local civic amenity centres, give it away to a relative or sell it on to another party.Some organisations would give their old equipment to a staff member, as a gift gesture, others may simply discard in the local civic amenity site.What is wrong with the methods currently being used for discarding of our old PCs?With this question in mind, Rits Information Security embarked on a study to highlight the problems home users, and corporate users face when discarding retired PCs.In this paper, Rits Information Security describes research in which a number of hard disks were taken from computers after they had been released for resale on Irish online auction sites. The research that was undertaken involved an analysis of the disks to determine if any information remained on these disks, and whether the information could be easily recovered using commonly available tools and techniques.From this analysis, a number of disks could be traced to specific organisations, including large financial institutions, various consultancy firms, numerous small trade organisation, auctioneers, and insurance brokers. In addition to these, a number of computers were found to have originated from the home environment.The results indicate that careless disposal of computers and storage media in the Republic of Ireland is a significant problem. Very few of the disks tested had undergone a thorough or efficient cleansing process. The level of information that could be recovered from the majority of the disks tested would have proven useful for corporate espionage, identity theft, blackmail, and fraud.

FINANCIAL INSTABILITY IN ROMANIA

Directory of Open Access Journals (Sweden)

Cristian, IONESCU

2014-11-01

Full Text Available The aim of this paper is to empirically study the concept of financial stability in Romania, from both a monetary policy perspective and a financial perspective. In this paper, I also compute an aggregate index of financial stability, for the period 2008-2013, explaining the correlations between several extremely important macroeconomic and sectorial variables and financial stability. The article also debates the aspect of policy instruments that aim to promote, highlighting the undertaken measures and also giving some measures recommendations, pointing out the main pillars: crises management; cross-sectoral challenges; banking sector; securities markets and capital markets; insurance sector; pensions sector; access to financial services.

Use of molecular biology techniques in the detection of fraud meat in ...

African Journals Online (AJOL)

Microsoft

2015-02-04

Feb 4, 2015 ... respect to economic and sanitary issues. ... products with Tsp509I and AluI restriction enzymes. .... specific PCR assay was found to be rapid and cost ... produced specific fragments of about 195 bp for ruminant ... industries. ... Fraud identification in industrial meat ... Application of an indirect ELISA and a.

Preventing the threat of credit-card fraud: Factors influencing cashiers' identification-checking behavior.

Science.gov (United States)

Downing, Christopher; Howard, E Henry; Goodwin, Christina; Geller, E Scott

2016-01-01

Two studies examined factors influencing cashiers' identification (ID)-checking behavior in order to inform the development of interventions to prevent credit-card fraud. In both studies, research assistants made credit purchases in various stores and noted the cashiers' ID-checking behavior. In the first study, the store type, whether the cashier swiped the credit/debit card, the amount of the purchase, and whether the credit/debit card was signed significantly influenced ID-checking behavior. In the second study, an A-B-A design was used to evaluate the impact of a "Check my ID" prompt placed on the credit/debit card. The prompt increased cashiers' ID-checking behavior from 5.9% at Baseline to 10.3% during the Intervention. When the prompt was removed, the cashiers' ID-checking behavior decreased to 7.2%. Implications for further intervention research to prevent credit-card fraud are discussed.

75 FR 39603 - Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Order Approving...

Science.gov (United States)

2010-07-09

... related to fraud or securities laws violations; \\10\\ (4) a government authority or regulator has provided... related to fraud or securities laws violations; \\14\\ (4) a government authority or regulator has provided... potentially violating an anti-fraud rule of the Federal securities laws and stated that where it has actual...

The potential to reduce the risk of manipulation of financial statements using the identification models of creative accounting

Directory of Open Access Journals (Sweden)

Zita Drábková

2013-01-01

Full Text Available Explanatory power of accounting information is the key question for deciding of users of financial statements. A whole range of economic indicators is available to the users of financial statements to measure the firm productivity. When the accounting statements (and applied methods are manipulated, the economic indicators may reveal clearly different results. The users of financial statements should have the possibility to assess the risk of manipulation of accounting statements in time considering potential risk of accounting fraud. The aim of this paper was based on the synthesis of knowledge from the review of literature, the CFEBT model analysis and Beneish Model proposing a convenient model for identifying risks of manipulation of financial statements. The paper summarizes the outcomes of possibilities and limits of manipulated financial statements and their identification. The testing hypothesis is assessing whether there is a close relation of a loss and an increase in the cash flow in 3–5 years time; whether the sum of the amounts for 3–5 year’s time would reveal the same results respectively. The hypothesis was verified on the accounting statements of the accounting entities of prepared case studies respecting the true and fair view of accounting based on Czech accounting standards.

Functional High Performance Financial IT

DEFF Research Database (Denmark)

Berthold, Jost; Filinski, Andrzej; Henglein, Fritz

2011-01-01

at the University of Copenhagen that attacks this triple challenge of increased performance, transparency and productivity in the financial sector by a novel integration of financial mathematics, domain-specific language technology, parallel functional programming, and emerging massively parallel hardware. HIPERFIT......The world of finance faces the computational performance challenge of massively expanding data volumes, extreme response time requirements, and compute-intensive complex (risk) analyses. Simultaneously, new international regulatory rules require considerably more transparency and external...... auditability of financial institutions, including their software systems. To top it off, increased product variety and customisation necessitates shorter software development cycles and higher development productivity. In this paper, we report about HIPERFIT, a recently etablished strategic research center...

Outlier detection in healthcare fraud: A case study in the Medicaid dental domain

NARCIS (Netherlands)

van Capelleveen, Guido Cornelis; Poel, Mannes; Mueller, Roland; Thornton, Dallas; van Hillegersberg, Jos

Health care insurance fraud is a pressing problem, causing substantial and increasing costs in medical insurance programs. Due to large amounts of claims submitted, estimated at 5 billion per day, review of individual claims or providers is a difficult task. This encourages the employment of

Force, fraud, and coercion : Bridging from knowledge of intercountry adoption to global surrogacy

NARCIS (Netherlands)

K. Smith Rotabi (Karen); K.E. Cheney (Kristen)

2014-01-01

textabstractThis report discusses concerns raised by participants of Thematic Area 4 (Force, Fraud and Coercion) of the International Forum on Intercountry Adoption and Global Surrogacy held in August 2014. There has been a significant body of research on intercountry adoption practices over the

Computer technology and the surgeon: what the resident needs to ...

African Journals Online (AJOL)

Though a compliment to the surgeon, it has its problems including overwhelming information requiring careful scrutiny; computer fraud, hacking and viruses; copyright laws; the 'threat' of a well-informed patient population; and the risk of over dependence. Surgery in Nigeria and most of African is yet to maximize its benefits.

General Consideration on Legal Tax Evasion vs. Tax Fraud

Directory of Open Access Journals (Sweden)

Octavia-Daniela Steriopol

2010-12-01

Full Text Available The article is a brief overview of tax evasion as a complex social and economicphenomenon, of utmost importance, that today’s states confront with; its consequences seek to limitas much as possible, by legal and fiscal means, the eradication, which, at this point, is virtuallyimpossible. Tax evasion can be analysed from two points of view, the legal and the illegal aspect ofthe phenomenon or the fiscal fraud. The “fiscal paradises” had a very important role in the last years’activity.

Paying for Likes? Understanding Facebook like fraud using honeypots

OpenAIRE

De Cristofaro, E.; Friedman, A.; Jourjon, G.; Kaafar, M. A.; Shafiq, M. Z.

2014-01-01

Facebook pages offer an easy way to reach out to a very large audience as they can easily be promoted using Facebook's advertising platform. Recently, the number of likes of a Facebook page has become a measure of its popularity and profitability, and an underground market of services boosting page likes, aka like farms, has emerged. Some reports have suggested that like farms use a network of profiles that also like other pages to elude fraud protection algorithms, however, to the best of ou...

Paying for Likes? Understanding Facebook Like Fraud Using Honeypots

OpenAIRE

De Cristofaro, Emiliano; Friedman, Arik; Jourjon, Guillaume; Kaafar, Mohamed Ali; Shafiq, M. Zubair

2014-01-01

Facebook pages offer an easy way to reach out to a very large audience as they can easily be promoted using Facebook's advertising platform. Recently, the number of likes of a Facebook page has become a measure of its popularity and profitability, and an underground market of services boosting page likes, aka like farms, has emerged. Some reports have suggested that like farms use a network of profiles that also like other pages to elude fraud protection algorithms, however, to the best of ou...

Knowledge Management of Web Financial Reporting in Human-Computer Interactive Perspective

Science.gov (United States)

Wang, Dong; Chen, Yujing; Xu, Jing

2017-01-01

Handling and analyzing to web financial data is becoming a challenge issue in knowledge management and education to accounting practitioners. eXtensible Business Reporting Language (XBRL), which is a type of web financial reporting, describes and recognizes financial items by tagging metadata. The goal is to make it possible for financial reports…

Fraud and Corruption Control at Education System Level: A Case Study of the Victorian Department of Education and Early Childhood Development in Australia

Science.gov (United States)

Bandaranayake, Bandara

2014-01-01

This case describes the implementation of a fraud and corruption control policy initiative within the Victorian Department of Education and Early Childhood Development (the Department) in Australia. The policy initiative was administered and carried out by a small team of fraud control officials, including the author of this article, in the…

Generative adversarial network based telecom fraud detection at the receiving bank.

Science.gov (United States)

Zheng, Yu-Jun; Zhou, Xiao-Han; Sheng, Wei-Guo; Xue, Yu; Chen, Sheng-Yong

2018-06-01

Recently telecom fraud has become a serious problem especially in developing countries such as China. At present, it can be very difficult to coordinate different agencies to prevent fraud completely. In this paper we study how to detect large transfers that are sent from victims deceived by fraudsters at the receiving bank. We propose a new generative adversarial network (GAN) based model to calculate for each large transfer a probability that it is fraudulent, such that the bank can take appropriate measures to prevent potential fraudsters to take the money if the probability exceeds a threshold. The inference model uses a deep denoising autoencoder to effectively learn the complex probabilistic relationship among the input features, and employs adversarial training that establishes a minimax game between a discriminator and a generator to accurately discriminate between positive samples and negative samples in the data distribution. We show that the model outperforms a set of well-known classification methods in experiments, and its applications in two commercial banks have reduced losses of about 10 million RMB in twelve weeks and significantly improved their business reputation. Copyright © 2018 Elsevier Ltd. All rights reserved.

Towards a Fraud-Prevention Framework for Software Defined Radio Mobile Devices

Directory of Open Access Journals (Sweden)

Brawerman Alessandro

2005-01-01

Full Text Available The superior reconfigurability of software defined radio mobile devices has made it the most promising technology on the wireless network and in the communication industry. Despite several advantages, there are still a lot to discuss regarding security, for instance, the radio configuration data download, storage and installation, user's privacy, and cloning. The objective of this paper is to present a fraud-prevention framework for software defined radio mobile devices that enhances overall security through the use of new pieces of hardware, modules, and protocols. The framework offers security monitoring against malicious attacks and viruses, protects sensitive information, creates and protects an identity for the system, employs a secure protocol for radio configuration download, and finally, establishes an anticloning scheme, which besides guaranteeing that no units can be cloned over the air, also elevates the level of difficulty to clone units if the attacker has physical access to the mobile device. Even if cloned units exist, the anticloning scheme is able to identify and deny services to those units. Preliminary experiments and proofs that analyze the correctness of the fraud-prevention framework are also presented.

The Forensic Accountants' Skills and Ethics on Fraud Prevention in the Nigerian Public Sector

Directory of Open Access Journals (Sweden)

Lateef Saheed Ademola

2017-12-01

Full Text Available The study investigates the required skills and ethics of the forensic accountant in preventing fraudulent practices in the Nigerian public sector. The primary source of data was utilized for data collection. Using the simple random sampling (SRS, a total of 300 questionnaires were administered; 163 were retrieved. The data obtained was analyzed using SmartPLS - for measurement and structural model. One of the major findings revealed that skills requirement was significant predator of fraud prevention as well as ethics requirement. This means that the higher the skills and ethics of the forensic accountant, the better is the fraud prevention. It is thus, recommended that forensic accounting services should be made statutory in the Nigerian public sector to help in preventing fraudulent practices. Hence the need to create awareness and expand the application of forensic accounting services in Nigerian public sector.

Development of surface enhanced Raman scattering (SERS) spectroscopy monitoring of fuel markers to prevent fraud

Science.gov (United States)

Wilkinson, Timothy; Clarkson, John; White, Peter C.; Meakin, Nicholas; McDonald, Ken

2013-05-01

Governments often tax fuel products to generate revenues to support and stimulate their economies. They also subsidize the cost of essential fuel products. Fuel taxation and subsidization practices are both subject to fraud. Oil marketing companies also suffer from fuel fraud with loss of legitimate sales and additional quality and liability issues. The use of an advanced marking system to identify and control fraud has been shown to be effective in controlling illegal activity. DeCipher has developed surface enhanced Raman scattering (SERS) spectroscopy as its lead technology for measuring markers in fuel to identify and control malpractice. SERS has many advantages that make it highly suitable for this purpose. The SERS instruments are portable and can be used to monitor fuel at any point in the supply chain. SERS shows high specificity for the marker, with no false positives. Multiple markers can also be detected in a single SERS analysis allowing, for example, specific regional monitoring of fuel. The SERS analysis from fuel is also quick, clear and decisive, with a measurement time of less than 5 minutes. We will present results highlighting our development of the use of a highly stable silver colloid as a SERS substrate to measure the markers at ppb levels. Preliminary results from the use of a solid state SERS substrate to measure fuel markers will also be presented.

A Terrorist-fraud Resistant and Extractor-free Anonymous Distance-bounding Protocol

OpenAIRE

Avoine , Gildas; Bultel , Xavier; Gambs , Sébastien; Gerault , David; Lafourcade , Pascal; Onete , Cristina; Robert , Jean-Marc

2017-01-01

International audience; Distance-bounding protocols have been introduced to thwart relay attacks against contactless authentication protocols. In this context, veri-fiers have to authenticate the credentials of untrusted provers. Unfortunately , these protocols are themselves subject to complex threats such as terrorist-fraud attacks, in which a malicious prover helps an accomplice to authenticate. Provably guaranteeing the resistance of distance-bounding protocols to these attacks is a compl...

Advanced Computational Methods for Security Constrained Financial Transmission Rights: Structure and Parallelism

Energy Technology Data Exchange (ETDEWEB)

Elbert, Stephen T.; Kalsi, Karanjit; Vlachopoulou, Maria; Rice, Mark J.; Glaesemann, Kurt R.; Zhou, Ning

2012-07-26

Financial Transmission Rights (FTRs) help power market participants reduce price risks associated with transmission congestion. FTRs are issued based on a process of solving a constrained optimization problem with the objective to maximize the FTR social welfare under power flow security constraints. Security constraints for different FTR categories (monthly, seasonal or annual) are usually coupled and the number of constraints increases exponentially with the number of categories. Commercial software for FTR calculation can only provide limited categories of FTRs due to the inherent computational challenges mentioned above. In this paper, a novel non-linear dynamical system (NDS) approach is proposed to solve the optimization problem. The new formulation and performance of the NDS solver is benchmarked against widely used linear programming (LP) solvers like CPLEX™ and tested on large-scale systems using data from the Western Electricity Coordinating Council (WECC). The NDS is demonstrated to outperform the widely used CPLEX algorithms while exhibiting superior scalability. Furthermore, the NDS based solver can be easily parallelized which results in significant computational improvement.

Financial assurances

International Nuclear Information System (INIS)

Paton, R.F.

1990-01-01

US Ecology is a full service waste management company. The company operates two of the nation's three existing low-level radioactive waste (LLRW) disposal facilities and has prepared and submitted license applications for two new LLRW disposal facilities in California and Nebraska. The issue of financial assurances is an important aspect of site development and operation. Proper financial assurances help to insure that uninterrupted operation, closure and monitoring of a facility will be maintained throughout the project's life. Unfortunately, this aspect of licensing is not like others where you can gauge acceptance by examining approved computer codes, site performance standards or applying specific technical formulas. There is not a standard financial assurance plan. Each site should develop its requirements based upon the conditions of the site, type of design, existing state or federal controls, and realistic assessments of future financial needs. Financial assurances at U.S. Ecology's existing sites in Richland, Washington, and Beatty, Nevada, have been in place for several years and are accomplished in a variety of ways by the use of corporate guarantees, corporate capital funds, third party liability insurance, and post closure/long-term care funds. In addressing financial assurances, one can divide the issue into three areas: Site development/operations, third party damages, and long-term care/cleanup

The Classroom, Board Room, Chat Room, and Court Room: School Computers at the Crossroads.

Science.gov (United States)

Stewart, Michael

2000-01-01

In schools' efforts to maximize technology's benefits, ethical considerations have often taken a back seat. Computer misuse is growing exponentially and assuming many forms: unauthorized data access, hacking, piracy, information theft, fraud, virus creation, harassment, defamation, and discrimination. Integrated-learning activities will help…

Uncovering Document Fraud in Maritime Freight Transport Based on Probabilistic Classification

OpenAIRE

Triepels , Ron; Feelders , Ad; Daniels , Hennie

2015-01-01

Part 4: Data Analysis and Information Retrieval; International audience; Deficient visibility in global supply chains causes significant risks for the customs brokerage practices of freight forwarders. One of the risks that freight forwarders face is that shipping documentation might contain document fraud and is used to declare a shipment. Traditional risk controls are ineffective in this regard since the creation of shipping documentation is uncontrollable by freight forwarders. In this pap...

Plenty of frauds. Increase of delinquency or better customs controls?; Fraudes en stock. Accroissement de la delinquance ou meilleurs controles douaniers?

Energy Technology Data Exchange (ETDEWEB)

D` Erceville, H

1998-12-31

In 1995, the French taxation authorities have identified 1849 violations of law concerning the petroleum products, which correspond to a 53% increase with respect to 1994. The discovery of these frauds has permitted the recovery of 85 millions of French Francs (MFF) of taxes and rights, from which 61.1 MFF correspond to the internal tax on petroleum products (TIPP). In France, the TIPP represents 65% of the customs receipts and about 10% of the gross fiscal receipt of the general budget of the nation. Such delinquency actions can exist at any step of the petroleum file from the production to the storage of petroleum products. (J.S.).

Rôle et responsabilités du réviseur d'entreprises en situation de fraude.

OpenAIRE

Veri, Raphaël

2016-01-01

Rôle et responsabilités du réviseur d'entreprises en situation de fraude. Mémoire réalisé par VERI Raphaël, encadré par le professeur PEIRCE Robert. NOMA : 8843-12-00 Année académique: 2015-2016 Programme d'étude: GEST2 Ce mémoire a été réalisé afin d’étudier le rôle et les responsabilités du réviseur d'entreprises qui détecte une fraude dont il n'est ni l'auteur ni un complice direct. Le premier chapitre est consacré à la définition de la profession de réviseur d’entreprises ainsi que des mi...

Commander’s (Executive officer’s) Guide for Detecting and Deterring Procurement Frauds in Military Unit (Organization) of Armed Forces of Ukraine

Science.gov (United States)

2009-06-01

are control activities which reduce the risks ( COSO ICIF). E. FRAUD MANAGEMENT Why present fraud management separately from internal control? The...challenges that increase the risk of fraudulent activity. a. Decentralization of Management Historically, the Ukrainian Armed Forces combined an inherited...of the Treadway Commission ( COSO ): a process, effected by an entity’s board of directors, management , and other personnel, designed to provide

Computational methods in the pricing and risk management of modern financial derivatives

Science.gov (United States)

Deutsch, Hans-Peter

1999-09-01

In the last 20 years modern finance has developed into a complex mathematically challenging field. Very complicated risks exist in financial markets which need very advanced methods to measure and/or model them. The financial instruments invented by the market participants to trade these risk, the so called derivatives are usually even more complicated than the risks themselves and also sometimes generate new riks. Topics like random walks, stochastic differential equations, martingale measures, time series analysis, implied correlations, etc. are of common use in the field. This is why more and more people with a science background, such as physicists, mathematicians, or computer scientists, are entering the field of finance. The measurement and management of all theses risks is the key to the continuing success of banks. This talk gives insight into today's common methods of modern market risk management such as variance-covariance, historical simulation, Monte Carlo, “Greek” ratios, etc., including the statistical concepts on which they are based. Derivatives are at the same time the main reason for and the most effective means of conducting risk management. As such, they stand at the beginning and end of risk management. The valuation of derivatives and structured financial instruments is therefore the prerequisite, the condition sine qua non, for all risk management. This talk introduces some of the important valuation methods used in modern derivatives pricing such as present value, Black-Scholes, binomial trees, Monte Carlo, etc. In summary this talk highlights an area outside physics where there is a lot of interesting work to do, especially for physicists. Or as one of our consultants said: The fascinating thing about this job is that Arthur Andersen hired me not ALTHOUGH I am a physicist but BECAUSE I am a physicist.

Combating Fraud in Online Social Networks: Detecting Stealthy Facebook Like Farms

OpenAIRE

Ikram, Muhammad; Onwuzurike, Lucky; Farooqi, Shehroze; De Cristofaro, Emiliano; Friedman, Arik; Jourjon, Guillaume; Kaafar, Mohammad Ali; Shafiq, M. Zubair

2015-01-01

As businesses increasingly rely on social networking sites to engage with their customers, it is crucial to understand and counter reputation manipulation activities, including fraudulently boosting the number of Facebook page likes using like farms. To this end, several fraud detection algorithms have been proposed and some deployed by Facebook that use graph co-clustering to distinguish between genuine likes and those generated by farm-controlled profiles. However, as we show in this paper,...

The Influence of IFRS Adoption on Corporate Transparency and Accountability: Evidence from New Zealand

Directory of Open Access Journals (Sweden)

Jude Edeigba

2017-09-01

Full Text Available This study investigates the implications of the gap between International Financial Reporting Standards (IFRS and New Zealand International Financial Reporting Standards (NZIFRS on financial reporting transparency, accountability and corporate fraud. Content analysis of IFRS and NZIFRS was carried out to determine if there are differences between IFRS and NZIFRS. Four IFRS, namely IAS 12, IFRS 13, IFRS 15, IAS 17 and IFRS 16 were analysed on the basis of adoption concessions and Reduced Disclosure Regime (RDR for tier 1 and 2 entities. The findings from these standards led to a review of the associated IFRS to further understand the implications of the standards on financial reporting transparency and decline in incidences of corporate fraud. We found that the difference between IFRS and NZIFRS lies in the financial reporting framework for tier 2 entities. However, we did not find a difference between IFRS and NZIFRS for entities in tier 1 but we identified a decline in incidences of corporate fraud after IFRS was adopted. We further identified the presence of information asymmetry for tier 2 which is capable of retaining Generally Accepted Accounting Principles (GAAPs. These differences may increase the incidence of corporate fraud among the entities in tier 2 of External Reporting Framework. This is due to an excessive concession from IFRS implementation in New Zealand.

WNP-2, securities fraud investigation are fired up

International Nuclear Information System (INIS)

Anon.

1984-01-01

Washington's WNP-2 nuclear plant faces a securities fraud investigation just as it is ready to start operating on schedule. The investigation's outcome and WNP-2's performance will determine whether WNP-1 and WNP-3 will be financed. Angry bondholders who did not receive interest on their investments in January prompted Congressional hearings, at which it was learned that institutional buyers had pulled out of the Washington Public Power Supply System project and unloaded the bonds on thousands of unsuspecting individuals for whom tax-free municipal bonds are inappropriate. Securities Exchange Commission investigators will focus on the initial offering and disclosure by the issuer to determine if the Wall Street unloading was legal

Trusted Insiders Are Committing Fraud and Embezzlement Within Organizations: Is There a Connection to Addiction, as the Motivating Factor for Their Illegal Activities?

Science.gov (United States)

2014-06-01

increase in opioid prescribing has led to parallel increases in opioid addiction and overdose deaths.” Since 1999, it was reported that, “overdose...COMMITTING FRAUD AND EMBEZZLEMENT WITHIN ORGANIZATIONS: IS THERE A CONNECTION TO ADDICTION , AS THE MOTIVATING FACTOR FOR THEIR ILLEGAL ACTIVITIES...INSIDERS ARE COMMITTING FRAUD AND EMBEZZLEMENT WITHIN ORGANIZATIONS: IS THERE A CONNECTION TO ADDICTION , AS THE MOTIVATING FACTOR FOR THEIR ILLEGAL

6 Tip-offs to Rip-offs: Don't Fall for Health Fraud Scams

Science.gov (United States)

... Español Subscribe: FDA Consumer Health Information Bogus product! Danger! Health fraud alert! You’ll never see these ... لعربية | Kreyòl Ayisyen | Français | Polski | Português | Italiano | Deutsch | 日本語 | ف ...

Perceptions of Biometric Experts on Whether or Not Biometric Modalities Will Combat Identity Fraud

Science.gov (United States)

Edo, Galaxy Samson

2012-01-01

Electronic-authentication methods, no matter how sophisticated they are in preventing fraud, must be able to identify people to a reasonable degree of certainty before any credentials are assured (Personix, 2006). User authentication is different from identity verification, and both are separate but vital steps in the process of securing…

Neural fraud detection in credit card operations.

Science.gov (United States)

Dorronsoro, J R; Ginel, F; Sgnchez, C; Cruz, C S

1997-01-01

This paper presents an online system for fraud detection of credit card operations based on a neural classifier. Since it is installed in a transactional hub for operation distribution, and not on a card-issuing institution, it acts solely on the information of the operation to be rated and of its immediate previous history, and not on historic databases of past cardholder activities. Among the main characteristics of credit card traffic are the great imbalance between proper and fraudulent operations, and a great degree of mixing between both. To ensure proper model construction, a nonlinear version of Fisher's discriminant analysis, which adequately separates a good proportion of fraudulent operations away from other closer to normal traffic, has been used. The system is fully operational and currently handles more than 12 million operations per year with very satisfactory results.

PENCEGAHAN PRAKTIK KEJAHATAN EKONOMI DALAM PERDAGANGAN BEBAS – ORIGIN FRAUD DALAM INDUSTRI MEBEL KAYU DI JEPARA

Directory of Open Access Journals (Sweden)

Tri Cahya Utama

2016-03-01

From a unique standpoint, the timber industry in Jepara is deeply rooted to the culture and identity of the natives, making the attempt to separate the discussion between timber industry and the people of Jepara not only  imprudent but virtually impossible. By looking at the statistic in which Jepara’s public education level is assessed to be still below the national standard, and as well bearing to the general fact that the timber actors in Jepara are more focused on product sales rather than important technical aspects such as certification of origin, it should be projected that crimes such as fraud of origin could be easily committed in Jepara. This study is using a comparative advantage theory and theories or models of H-O to investigate how the practice of fraud of origin in Jepara occurs and how to resolve such problem.

Remedies to Fraud in Documentary Letters of Credit: A Comparative Perspective / Opravné Opatrenia Pri Podvodoch S Dokumentárnymi Akreditívami: Komparatívna Perspektíva

Directory of Open Access Journals (Sweden)

Alavi Hamed

2016-06-01

Full Text Available Article 4 of the Unified Customs and Practices of Documentary Letters of Credit establishes the notion of autonomy principle by separating credit from underlying contract between account party and beneficiary. Article 5 by recognizing the autonomy principle confirms that effectuate the payment under credit, banks only deal with documents and not with goods. As a result, while documentary letters of credit are meant to facilitate the process of international trade, their sole dependency on compliance of presented documents to bank by beneficiary to actualize the payment will increase the risk of fraud and forgery in the course of their operation. Interestingly, UCP (currently UCP600 takes a silent status regarding the problem of fraud in international LC operation and leaves the ground open for national laws to provide remedies to affected parties by fraudulent beneficiary. National Laws have different approaches to the problem of fraud in general and fraud in international LC operation in particular which makes the access of affected parties to possible remedies complicated and difficult. Current paper tries to find answer to the questions of (i what available remedies are provided to affected parties in international LC fraud by different legal systems? (ii And what are conditions for benefiting from such remedies under different legal systems? In achieving its objective, paper will be divided in two main parts to study remedies provided by intentional legal frameworks as well as the ones offered by national laws. Part one will study the position of UCP and UNCITRAL Convention on Independent Guarantees and Standby Letters of Credit (UNCITRAL Convention and remedies, which they provide to LC fraud in international trade. Part two in contrary will study available remedies to LC fraud and condition for access them under English and American legal system.

45 CFR 95.705 - Equipment costs-Federal financial participation.

Science.gov (United States)

2010-10-01

... 45 Public Welfare 1 2010-10-01 2010-10-01 false Equipment costs-Federal financial participation... INSURANCE PROGRAMS) Equipment Acquired Under Public Assistance Programs § 95.705 Equipment costs—Federal financial participation. (a) General rule. In computing claims for Federal financial participation...

Computer loss experience and predictions

Science.gov (United States)

Parker, Donn B.

1996-03-01

The types of losses organizations must anticipate have become more difficult to predict because of the eclectic nature of computers and the data communications and the decrease in news media reporting of computer-related losses as they become commonplace. Total business crime is conjectured to be decreasing in frequency and increasing in loss per case as a result of increasing computer use. Computer crimes are probably increasing, however, as their share of the decreasing business crime rate grows. Ultimately all business crime will involve computers in some way, and we could see a decline of both together. The important information security measures in high-loss business crime generally concern controls over authorized people engaged in unauthorized activities. Such controls include authentication of users, analysis of detailed audit records, unannounced audits, segregation of development and production systems and duties, shielding the viewing of screens, and security awareness and motivation controls in high-value transaction areas. Computer crimes that involve highly publicized intriguing computer misuse methods, such as privacy violations, radio frequency emanations eavesdropping, and computer viruses, have been reported in waves that periodically have saturated the news media during the past 20 years. We must be able to anticipate such highly publicized crimes and reduce the impact and embarrassment they cause. On the basis of our most recent experience, I propose nine new types of computer crime to be aware of: computer larceny (theft and burglary of small computers), automated hacking (use of computer programs to intrude), electronic data interchange fraud (business transaction fraud), Trojan bomb extortion and sabotage (code security inserted into others' systems that can be triggered to cause damage), LANarchy (unknown equipment in use), desktop forgery (computerized forgery and counterfeiting of documents), information anarchy (indiscriminate use of

75 FR 2105 - Publication of OIG Updated Special Fraud Alert on Telemarketing by Durable Medical Equipment...

Science.gov (United States)

2010-01-14

... schemes that are used to obtain money from these programs and, when appropriate, issues Special Fraud... Dallas TX, LA, AR, OK, NM 214-767-8406 Kansas City MO, ND, SD, MT, KS, IA, CO, NE, 816-426-4000 UT, WY...

Faktor-Faktor yang Berhubungan dengan Fraud Pengadaan Barang/Jasa di Lembaga Publik

OpenAIRE

Nurharjanti, Nashirotun Nisa

2017-01-01

The purpose of this study was to test whether the variable quality of the procurement committee of goods/services, quality of the patners goods/ services, systems and procedures for procurement of goods/services, ethical procurement of goods/services, environmental goods/services, and risk assessment have an influence on the procurement fraud goods/services in University. This study using survey method by distributing questionnaires in Asset Management and Maintenance Directorate of the Unive...

The detection and prevention of manipulations in the balance sheet and the cash flow statement

Directory of Open Access Journals (Sweden)

Dragomir Dimitrijevic

2015-08-01

Full Text Available Financial statements which consist of objective, real and reliable information represent the key basis for making many business decisions. If, when writing financial statements, certain manipulation techniques are used for displaying the best possible results of transactions, the quality of financial reports will be endangered. Many financial frauds have led to a great mistrust in the system of financial reporting and the profession of accounting and auditing, which are often accused of the emergence of fraud and losing trust in the reliability of financial information by many users and economic decision makers. These are the reasons why the paper discusses the techniques of manipulation in financial statements, especially in balance sheets and cash flow statements, since these forms of manipulation are harder to detect and prevent when compared to manipulations of revenues and expenses in the income statement.

The Excessive Profits of Defense Contractors: Evidence and Determinants

Science.gov (United States)

2012-04-30

UNILEVER NV $112,089,508 292 UL 2000 11 MOOG, INC. $111,608,841 293 MOG.A 3728 11 ALON USA L.P. $111,102,800 296 ALJ 2911 11 COCA - COLA ENTERPRISES...audits and investigations. As a national leader in the fight against procurement fraud, Miller participates in the U.S. Attorney General’s Financial Fraud...Excessive Profits of Defense Contractors: Evidence and Determinants1 Chong Wang—Wang is an assistant professor of financial management in the

Organizational change, and the control the financial statements. The Excandra Company Cia. Ltd. De Machala, Ecuador

Directory of Open Access Journals (Sweden)

Víctor Alberto Betancourt-Gonzaga

2017-04-01

Full Text Available Operability in business economy has a determinant in controlling the financial statements; which to a fractured situation require organizational changes to provide corrective measures asymmetries in the flow of financial consequences of economic assets with which the organization operates; look to change responds to epistemological foundations of economic science to install theoretical vision modalities presenting business issues. The purpose of the study is to systematize an interpretation of the modalities of organizational change in relation to the economy, which makes it functional as a communication control system and resize its use in improving the company in Ecuador. The methodological strategy is based on the literature review, it plays an observation, and critical to the statements of the interviewees and their arguments. Conflicting spaces where make the changes correspond to a lack of staff responsibilities; the failure of the work; breaches of rules as causes of fraud; the interpretation of a manual accounting procedures are an effect of the limits set by the economic practice, is a solution within the relative autonomy of internal control.

Electronic Fraud Detection in the U.S. Medicaid Healthcare Program: Lessons Learned from other Industries

NARCIS (Netherlands)

Travaille, Peter; Mueller, Roland; Thornton, Dallas; van Hillegersberg, Jos

2011-01-01

It is estimated that between $600 and $850 billion annually is lost to fraud, waste, and abuse in the US healthcare system,with $125 to $175 billion of this due to fraudulent activity (Kelley 2009). Medicaid, a state-run, federally-matchedgovernment program which accounts for roughly one-quarter of

Science ethics education part II: changes in attitude toward scientific fraud among medical researchers after a short course in science ethics.

Science.gov (United States)

Vuckovic-Dekic, L; Gavrilovic, D; Kezic, I; Bogdanovic, G; Brkic, S

2012-01-01

To determine the impact of the short science ethics courses on the knowledge of basic principles of responsible conduct of research (RCR), and on the attitude toward scientific fraud among young biomedical researchers. A total of 361 attendees of the course on science ethics answered a specially designed anonymous multiple- choice questionnaire before and after a one-day course in science ethics. The educational course consisted of 10 lectures: 1) Good scientific practice - basic principles; 2) Publication ethics; 3) Scientific fraud - fabrication, falsification, plagiarism; 4) Conflict of interests; 5) Underpublishing; 6) Mentorship; 7) Authorship; 8) Coauthorship; 9) False authorship; 10) Good scientific practice - ethical codex of science. In comparison to their answers before the course, a significantly higher (pscience ethics as sufficient after the course was completed. That the wrongdoers deserve severe punishment for all types of scientific fraud, including false authorship, thought significantly (pscience ethics had a great impact on the attendees, enlarging their knowledge of responsible conduct of research and changing their previous, somewhat opportunistic, behavior regarding the reluctance to react publicly and punish the wrongdoers.

Fraud Prevention A Study In Regional Public Service Agency BLUD For Hospital In Malang Regency Indonesia

Directory of Open Access Journals (Sweden)

Koenta Adji Koerniawan

2017-04-01

Full Text Available This study aims to understand the effect of management perceptions in Regional Public Service Agency BLUD for Hospital in Malang regency Indonesia on the role of the Independent Auditor and their understanding towards Good Governance the General Audit Engagement and its implications for the prevention of corruption. This research is quantitative which placed latent variables General Audit Engagements as intervening variables. Partial Least Square PLS is used to confirm the model created in order to explain the relationship between variables. The results show that the perception of BLUD hospital management on the role of independent auditors and their understanding of good governance to give effect to the implementation of the audit engagement and the implications for the prevention of fraud in BLUDs hospital. This is consistent with the theory of auditing and fraud prevention concepts. JEL Classification M420 K420

12 CFR 1731.2 - Definitions.

Science.gov (United States)

2010-01-01

... AND SOUNDNESS MORTGAGE FRAUD REPORTING § 1731.2 Definitions. For purposes of this part— (a) Director... Association or the Federal Home Loan Mortgage Corporation. (c) Mortgage fraud means a material misstatement... mortgage, including a mortgage associated with a mortgage-backed security or similar financial instrument...

The Relationship Between Accounting Practices and Effects of Financial Crisis in Turkey: A Case Study on an Oil Company

Directory of Open Access Journals (Sweden)

İsmail Erkan Çelik

2016-02-01

Full Text Available Many reasons lie at the base of all financial crises from the past to the present. If we take into consideration the 2008 subprime mortgage crisis, the only reason cannot be mortgage loans. But the mortgage issue continued to advance and created several other problems. Definitely, the source of mortgage loans problem also had many roots. One of the reasons was the lack of correct use of accounting principles and auditing. This is a strong proof and indicator that, there are many accounting based reasons behind the occurrence of the financial crises. Many examples can be given showing moving away from the basic principles of accounting rules and the general accounting concepts. Moreover, institutions being not fully independent, running creative accounting practices, having problems with fair valuation and transparency issues, presenting unreal financial reports, and sharing misleading audit reports are all related to financial crises.Furthermore, specific businesses and people abuse accounting rules, standards and related legislation for the sake of their own interests. Accounting and finance history has shown us that, even audit institutions, credit institutions and rating agencies are getting unfair advantages and generating unethical cash by making intentional accounting and finance errors, which is actually categorized as fraud.The aim of this study is to analyze financial crises and to determine if accounting practices have any relationship with financial crises. The research investigated an oil company’s financial and operational indicators before and after the 2008 financial crises with related tables and figures. Also, an interview was run with the company’s accounting officer. Based on the statements of firm’s accounting officer, correct accounting practices defended firm from several negative effects of the 2008 financial crisis.

The Investigation and Elimination of Public Procurement Fraud in Government Sectors (A Case Study in Indonesia’s Procurement System: Cases from 2006 to 2012)

OpenAIRE

Maulidi, Ach

2017-01-01

This paper offers insights to enhance our understanding of public procurement fraud through analyzing current 173 cases during 2006 to 2012 in Indonesia’s procurement system using various points of view. These insights are synthesized from current research findings and contemporary thinking elaborated by practical knowledge and skills, the aim of which is to produce accurate analysis. The main aim of this paper is to participate in terms of combating procurement fraud by suggesting plausible ...

MODELO MATEMÁTICO DIFUSO PARA LA SELECCIÓN DE CARGAS CON POSIBLE FRAUDE ECONÓMICO EN LA ADUANA GENERAL DE LA REPÚBLICA DE CUBA

Directory of Open Access Journals (Sweden)

Rafael A. Espín Andrade

2008-05-01

Full Text Available El fraude económico en las aduanas del mundo es una realidad cada vez más difícil de controlar, debido a la gran cantidad de cargas que llegan a un país, incluyendo a la cubana. Este trabajo propone un modelo matemático basado en la lógica difusa compensatoria y sistema de expertos para la selección de cargas que llegan del exterior, con el objetivo de detectar posibles fraudes económicos. El modelo fue simulado utilizando MATLAB como herramienta de programación y validado con ayuda de expertos en el tema utilizando predicados de la propia lógica difusa compensatoria. Palabras Clave Fraude económico, lógica difusa compensatoria, sistema experto

ANÁLISES FÍSICO-QUÍMICAS E PESQUISA DE FRAUDE NO LEITE INFORMAL COMERCIALIZADO NO MUNICÍPIO DE MOSSORÓ, RN

Directory of Open Access Journals (Sweden)

Carolina de Gouveia Mendes

2010-06-01

Full Text Available The objective of this work was to analyze the qualityof informal milk commercialized in the city of Mossoró, RN ,by means of physical-chemical analysis and research of fraud.Samples of raw milk commercialized in four neighborhoods ofMossoró were collected during the months of March and April of2006. The collection took place weekly, totaling 32 samples. Thesamples went through physical-chemical analysis (density, fatcontent, total dry extract, solids-non-fat, grade of Dornic acidity,proof of alcohol and freezing point and research of frauds, suchas: addition of water, of conservatives ( hydrogen peroxide, causticsoda, sodium bicarbonate, potassium bicarbonate and restorative(sucrose, starch, chloride. From all the analyzed samples, 50%failed at least one of the physical-chemical tests, by not meetingthe standards of current legislation. 50% of the samples did notmeet the freezing point standard, followed by ESD (40.6%, EST(21.9%, density (18.8% and acidity (6.2%. None of the samplesmet the standard of alcohol proof. From the fraud analysis theaddition of water was are only one found. Most of the milk showedirregularities being unfit for marketing.

The Liability of Colleges and Universities for Fraud, Waste, and Abuse in Federally Funded Grants and Projects.

Science.gov (United States)

Gordon, Steven D.

1992-01-01

Reviews legal and practical aspects of a university's potential liability for fraud, waste, and abuse. Discusses the array of criminal, civil, and administrative sanctions that may be imposed on grantees who engage in fraudulent practices. (84 references) (MLF)

The reliability of financial information of charitable organizations: an exploratory study based on the Benford’s Law

Directory of Open Access Journals (Sweden)

Marco Antonio Figueiredo Milani Filho

2013-08-01

Full Text Available Benford's Law (BL is a logarithmic distribution which is useful to detect abnormal patterns of digits in number sets. It is often used as a primary data auditing method for detecting traces of errors, illegal practices or undesired occurrences, such as fraud and earning management. In this descriptive study, I analyzed the financial information (revenue and expenditure of the registered charitable hospitals located in Ontario and Quebec, which have the majority (71.4% of these organizations within Canada. The aim of this study was to verify the reliability of the financial data of the respective hospitals, using the probability distribution predicted by Benford’s Law as a proxy of reliability. The sample was composed by 1,334 observations related to 339 entities operating in the tax year 2009 and 328 entities in 2010, gathered from the Canada Revenue Agency’s database. To analyze the discrepancies between the actual and expected frequencies of the significant-digit, two statistics were calculated: Z-test and Pearson’s chi-square test. The results show that, with a confidence level of 95%, the data set of the organizations located in Ontario and Quebec have similar distribution to the BL, suggesting that, in a preliminary analysis, their financial data are free from bias.

System Design of the SWRL Financial System.

Science.gov (United States)

Ikeda, Masumi

To produce various management and accounting reports in order to maintain control of SWRL (Southwest Regional Laboratory) operational and financial activities, a computer-based SWRL financial system was developed. The system design is outlined, and various types of system inputs described. The kinds of management and accounting reports generated…

12 CFR 1731.3 - Unsafe and unsound conduct.

Science.gov (United States)

2010-01-01

... DEVELOPMENT SAFETY AND SOUNDNESS MORTGAGE FRAUD REPORTING § 1731.3 Unsafe and unsound conduct. An Enterprise may not require the repurchase of or may not decline to purchase a mortgage, mortgage backed security, or similar financial instrument because of possible mortgage fraud without promptly reporting to the...

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African Journals Online (AJOL)

Prof

2013-09-25

Use of Forensic Accounting Techniques in the Detection of Fraud in ... understanding of the business information, financial reporting system, accounting and ... damage, estimations of internal controls, frauds and others that involve inclusion of ... President Goodluck Jonathan dated September 25, 2013, to the effect that the ...

WAREHOUSE TRANSFERS AND FISCAL FRAUD

Directory of Open Access Journals (Sweden)

Stanciu Dorica

2015-07-01

Full Text Available The fraud and fiscal evasion phenomenon generate indisputable negative effects, which are felt directly on the level of fiscal receipts earnings, determining major distortions in the market’s functioning mechanism. If in the European Union, the contribution of the three large tax categories (direct tax, indirect and social contributions in forming revenue are relatively close, in Romania, fiscal and budget revenue are directly dependent on the indirect tax and duties, especially on VAT and various sales taxes. If there is reductions in the fiscal evasion as to what these taxes are concerned, the premises for creating budget resource needed to fund the economic growth are created. In judicial literature, tax evasion is considered as being the logic result of all defects and inadvertencies of an imperfect legislation, of broken application methods, as well as a lack of foreseeing and lack of skill on the law-maker’s side, with their excessive tax system is as guilty as those who contribute in creating it. Regardless of how this phenomenon is defined, fiscal evasion represents the lack of fulfillment by the taxpayer of his fiscal obligation. The field in which tax evasion acts is as widespread as the different taxes, manifesting especially in the direct and indirect taxes, influencing their efficiency.

Financial Ratio Analysis: the Development of a Dedicated Management Information System

Directory of Open Access Journals (Sweden)

Voicu-Dan Dragomir

2007-01-01

Full Text Available This paper disseminates the results of the development process for a financial analysis information system. The system has been subject to conceptual design using the Unified Modeling Language (UML and has been implemented in object-oriented manner using the Visual Basic .NET 2003 programming language. The classic financial analysis literature is focused on the chain-substitution method of computing the prior-year to current-year variation of linked financial ratios. We have applied this technique on the DuPont System of analysis concerning the Return on Equity ratio, by designing several structural UML diagrams depicting the breakdown and analysis of each financial ratio involved. The resulting computer application offers a flexible approach to the analytical tools: the user is required to introduce the raw data and the system provides both table-style and charted information on the output of computation. User-friendliness is also a key feature of this particular financial analysis application.

Small money, big problems: how an investigation on small Latin American republics shaped the financial market for sovereign debt in the 19th century

Directory of Open Access Journals (Sweden)

José Augusto Ribas Miranda

Full Text Available Abstract In 1875 the British Parliament set up a Committee to investigate frauds on loans underwritten by British and French banks to the Republics of Honduras, Costa Rica, Santo Domingo and Paraguay, reaching an amount of £12 million. The reports of the Committee and the press coverage issue revealed financial malpractices by banks and diplomats in order to induce millionaire defaults at expense of the bondholders, whilst the loan agents were living in luxuriant mansions in southern France. After the investigation, these shoddy practices were exposed to the public, reshaping the loan business for the rest of the century.

Introduction to Financial Projection Models. Business Management Instructional Software.

Science.gov (United States)

Pomeroy, Robert W., III

This guidebook and teacher's guide accompany a personal computer software program and introduce the key elements of financial projection modeling to project the financial statements of an industrial enterprise. The student will then build a model on an electronic spreadsheet. The guidebook teaches the purpose of a financial model and the steps…

RELEVANCE OF RED FLAGS IN THE EVALUATINH THE RISK OF FINANCIAL STATEMENT FRAUD: PERCEPTIONS OF BRAZILIAN INDEPENDENT AUDITORS

OpenAIRE

Dal-Ri Murcia, Fernando; Borba, José Alonso; Schiehll, Eduardo

2008-01-01

The objective of this paper was to identify perceptions of Brazilian auditors regarding the relevance of red flags in evaluating the risk of fraudulent financial reporting. To accomplish this, a questionnaire was designed using six papers as references: American Institute of Certified Public Accountants (2002), Conselho Federal de Contabilidade (1999), Albrecht and Romney (1986), Eining, Jones and Loebbecke, (1997), Bell and Carcacello (2000) and Wells (2005). Together, these works presented ...

DETEKSI KECURANGAN PADA PELAPORAN KEUANGAN

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Satria Yudhia Wijaya

2016-12-01

Full Text Available This study aims to determine the factors that influence the fraud on the government’s financial statements. The study population was work units of the Ministry of Forestry. The sample selection uses purposive sampling method with a total sample of 691 work units vertical in the period of 2010-2012. The data analysis that used to test the hypothesis is a logistic regression analysis technique. The results show that the variable located far from the center, the unit test quotation by BPK and the ratio of IV quarter expenditure partially have positive and significant effect on the possibility of fraud on the government's financial statements. Meanwhile, the variable of work units that has been tested previously by BPK showed negative and significant effect. The variable unit that located far from the center, the unit is tested quotation BPK previously and the ratio of IV quarter expenditure simultaneously has significant effect on the possibility of fraud on the government's financial statements.

COMPUTER MODELING OF FINANCIAL INFORMATION FOR BUSINESS PLANS (XBRL - EXTENSIBLE BUSINESS REPORTING LANGUAGE

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Valeriu LUPU

2017-06-01

Full Text Available The quality of a manager's decision improves based on high quality financial statements, hence the need to find means to increase the quality of financial reporting, specifically to increase the quality of the assurance process. The ultimate aim is to reduce the skepticism of users of financial data and to use XBRL as Internet-based technology to enable electronic preparation and exchange of worldwide financial statements.

Financial Structure and Economic Development in Nigieria

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Ph. D. Olusegun Olowe

2012-05-01

Full Text Available In this study , the measurement of the Nigerian financial interrelation ratio was considered in line with the structure and development of financial system between 1999 and 2008 with a view to examining the incidences of the financial liberalization . The financial intermediation role for Nigeria on current basic prices was computed to determining the extent of stability and /or positive cum negative changes. This is to ensure the involvement of government as well as thedegree of financial institutions’ involvement in the economic growth and development of the country. In essence, the results of this study will be of relevance to formulate and execute policy formulation in its entirety. The result of the study revealed a pure neglect in the country with emphasis on financial intermediation. The earlier we put an enhanced financial structure in place, , the better for the economy.

Plenty of frauds. Increase of delinquency or better customs controls?

International Nuclear Information System (INIS)

D'Erceville, H.

1997-01-01

In 1995, the French taxation authorities have identified 1849 violations of law concerning the petroleum products, which correspond to a 53% increase with respect to 1994. The discovery of these frauds has permitted the recovery of 85 millions of French Francs (MFF) of taxes and rights, from which 61.1 MFF correspond to the internal tax on petroleum products (TIPP). In France, the TIPP represents 65% of the customs receipts and about 10% of the gross fiscal receipt of the general budget of the nation. Such delinquency actions can exist at any step of the petroleum file from the production to the storage of petroleum products. (J.S.)

18 CFR 3c.3 - Reporting fraud, waste, abuse, and corruption and cooperation with official inquiries.

Science.gov (United States)

2010-04-01

..., abuse, and corruption and cooperation with official inquiries. 3c.3 Section 3c.3 Conservation of Power... OF CONDUCT § 3c.3 Reporting fraud, waste, abuse, and corruption and cooperation with official..., abuse, and corruption in Commission programs, including on the part of Commission employees, contractors...

The relevance of financial information and contents of the new audit report for lending decisions of commercial banks

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Marina Trpeska

2017-12-01

Full Text Available This research study examines the importance of financial information and information contained in the ISA’s New Audit Report effective from 2016 for lenders as capital providers. We base our findings on a survey conducted in September of 2016 with corporate loan officers for medium-large corporate clients in Macedonia. The results show that the annual report of the company, except for the management report and notes to the financial statements, has consistently high importance and usability for respondents’ decision making. Various accounting ratios related to liquidity, financial stability and profitability of the company are considered very important and regularly used in credit analysis. However, respondents were not consistent in their shared perceptions regarding high importance of projected profits and historical information on operating cash flows. All loan officers gave high importance to the information found in existent auditor’s report format regardless of the form of expressed opinion. Also, information on key audit matters, additional information on going concern and related auditor’s judgement, procedures related to fraud risk were considered of high importance. Lenders rated as less important the disclosure of the name of engagement partner, auditor’s statement on independence and compliance with ethical requirements and the level of materiality used in the audit.

Satyam’s Manipulative Accounting Methodology Unveiled: An Experience of an Asian Economy

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MADAN LAL BHASIN

2017-01-01

Full Text Available Manipulative accounting practices are perennial and such practices have occurred in all eras, in all countries and affected millions of corporations. Unfortunately, there are few loopholes in accounting and auditing standards, which provide leeway and thus motivate accounting professionals to use aggressively manipulation practices. In fact, manipulative accounting (MA involves the intentional cooking-up of financial records towards a pre-determined target. Every company indeed maneuvers the numbers, to a certain extent, as formally reported in its financial statements (FS to achieve budgetary targets and generously reward senior managers. From Enron, WorldCom to Satyam, it appeared that window-dressing leading to MA is a serious problem that is increasing both in its frequency and severity, which undermines the integrity of financial reports and eroded investors’ confidence. The responsibility of preventing, detecting and investigating financial frauds rests squarely on Board of Directors and they should adopt preventive steps. Despite the raft of CG, and financial disclosure reforms, corporate accounting still remains murky and companies continue to find ways to play ‘hide-and-seek’ game with the system. Satyam computers were once the crown jewel of Indian IT-industry but were brought to the ground by its founders in 2009 as a result of financial manipulations in FS. The present study provides a snapshot of how Mr. Raju (CEO and Chairman mastermind this maze of AM practices? Undoubtedly, Satyam scam is illegal and unethical in which computers were cleverly used to manipulate account books by creating fake invoices, inflating revenues, falsifying the cash and bank balances, showing non-existent interest on fixed deposits, showing ghost employees, and so on. Satyam fraud has shattered the dreams of investors, shocked the government and regulators and led to questioning of the accounting practices of auditors and CG norms in India. Finally

EXPLORATIONS IN QUANTUM COMPUTING FOR FINANCIAL APPLICATIONS

OpenAIRE

Gare, Jesse

2010-01-01

Quantum computers have the potential to increase the solution speed for many computational problems. This paper is a first step into possible applications for quantum computing in the context of computational finance. The fundamental ideas of quantum computing are introduced, followed by an exposition of the algorithms of Deutsch and Grover. Improved mean and median estimation are shown as results of Grover?s generalized framework. The algorithm for mean estimation is refined to an improved M...

Service software engineering for innovative infrastructure for global financial services

OpenAIRE

MAAD , Soha; MCCARTHY , James B.; GARBAYA , Samir; Beynon , Meurig; Nagarajan , Rajagopal

2010-01-01

International audience; The recent financial crisis motivates our re-thinking of the engineering principles for service software and infrastructures intended to create business value in vital sectors. Existing monolithic, inwarddirected, cost insensitive and highly regulated technical and organizational infrastructures for financial services make it difficult for the domain to benefit from opportunities offered by new computing models such as cloud computing, software as a service, hardware a...

76 FR 21373 - Privacy Act of 1974; Report of a New System of Records

Science.gov (United States)

2011-04-15

... Information Security Management Act of 2002; the Computer Fraud and Abuse Act of 1986; the Health Insurance... 1974; the Federal Information Security Management Act of 2002; the Computer Fraud and Abuse Act of 1986... established by State law; (3) support litigation involving the Agency; (4) combat fraud, waste, and abuse in...

Using MSN Money to Perform Financial Ratio Analysis

Science.gov (United States)

Hsu, H. Christine

2010-01-01

In today's information technology world, real time financial data is readily available via many financial websites, such as MSN Money, Google Finance, Yahoo Finance, etc. The incorporation of computer technology in finance classes has become more popular than ever in this information technology rich environment. Mediated classrooms have rapidly…

Preliminary System Design of the SWRL Financial System.

Science.gov (United States)

Ikeda, Masumi

The preliminary system design of the computer-based Southwest Regional Laboratory's (SWRL) Financial System is outlined. The system is designed to produce various management and accounting reports needed to maintain control of SWRL operational and financial activities. Included in the document are descriptions of the various types of system…

Pressure, Dysfunctional Behavior, Fraud Detection and Role of Information Technology in the Audit Process

OpenAIRE

Muhammad Umar; Shinta Megawati Sitorus; Rika Lusiana Surya; Elvia R. Shauki; Vera Diyanti

2017-01-01

This study examines the effect of information technology and pressure such as time budget and task complexity on dysfunctional audit behavior. This study tests whether dysfunctional audit behavior affects fraud detection. Data were gathered from 81 auditors in Jakarta and were analyzed using structure equation model (SEM). The results explain that pressure (time budget and complexity task) have some impacts on dysfunctional audit behavior while information technology does not affect dysfuncti...

Tools for computational finance

CERN Document Server

Seydel, Rüdiger U

2017-01-01

Computational and numerical methods are used in a number of ways across the field of finance. It is the aim of this book to explain how such methods work in financial engineering. By concentrating on the field of option pricing, a core task of financial engineering and risk analysis, this book explores a wide range of computational tools in a coherent and focused manner and will be of use to anyone working in computational finance. Starting with an introductory chapter that presents the financial and stochastic background, the book goes on to detail computational methods using both stochastic and deterministic approaches. Now in its sixth edition, Tools for Computational Finance has been significantly revised and contains:    Several new parts such as a section on extended applications of tree methods, including multidimensional trees, trinomial trees, and the handling of dividends; Additional material in the field of generating normal variates with acceptance-rejection methods, and on Monte Carlo methods...

75 FR 31440 - Privacy Act of 1974; Report of a New System of Records

Science.gov (United States)

2010-06-03

... Information Security Management Act of 2002; the Computer Fraud and Abuse Act of 1986; the E-Government Act of... Information Security Management Act of 2002; the Computer Fraud and Abuse Act of 1986; the E-Government Act of... by State law, or its fiscal agent; (3) support litigation involving the Department; (4) combat fraud...

A System of Deception and Fraud Detection Using Reliable Linguistic Cues Including Hedging, Disfluencies, and Repeated Phrases

Science.gov (United States)

Humpherys, Sean LaMarc

2010-01-01

Given the increasing problem of fraud, crime, and national security threats, assessing credibility is a recurring research topic in Information Systems and in other disciplines. Decision support systems can help. But the success of the system depends on reliable cues that can distinguish deceptive/truthful behavior and on a proven classification…

Financial history and financial economics

OpenAIRE

Turner, John D.

2014-01-01

This essay looks at the bidirectional relationship between financial history and financial economics. It begins by giving a brief history of financial economics by outlining the main topics of interest to financial economists. It then documents and explains the increasing influence of financial economics upon financial history, and warns of the dangers of applying financial economics unthinkingly to the study of financial history. The essay proceeds to highlight the many insights that financi...

Medicaid program; Medicaid Management Information Systems; conditions of approval and reapproval and procedures for reduction of Federal financial participation--HCFA. Final rule.

Science.gov (United States)

1985-07-30

This final rule provides the additional requirements to the conditions and procedures for initial approval and reapproval of Medicaid Management Information Systems (MMIS) that were added by section 1903(r) of the Social Security Act (as amended by section 901 of the Mental Health Systems Act of 1980, Pub. L. 96-398). These provisions are intended to improve States' MMIS, ensure efficient system operations, and make the procedures for detection of fraud, waste, and abuse more effective. In addition, this final rule specifies the procedures we follow in reducing the level of Federal financial participation in State administrative expenditures if a State fails to meet the conditions for initial operation, initial approval, or reapproval of an MMIS.

Firm's health going south. Federal authorities charge HealthSouth, leader Scrushy with 'massive accounting fraud,' systematic betrayal of investors.

Science.gov (United States)

Romano, Michael

2003-03-24

HealthSouth and its chief executive Richard Scrushy, left, find themselves coping with a public relations nightmare after federal officials last week charged the rehabilitation giant with "massive accounting fraud" and a systematic betrayal of tens of thousands of investors.

Financial sector taxation: Financial activities tax or financial transaction tax?

Directory of Open Access Journals (Sweden)

Danuše Nerudová

2011-01-01

Full Text Available The recent financial crises has revealed the need to improve and ensure the stability of the financial sector to reduce negative externalities, to ensure fair and substantial contribution of the financial sector to the public finances and the need to consolidate public finance. All those needs represent substantial arguments for the discussion about the introduction of financial sector taxation. There are discussed in the paper two possible schemes of financial sector taxation – financial transaction tax and financial activities tax. The aim of the paper is to research the possibility of the introduction of financial sector taxation, to discuss the pros and cons of two major candidates on financial sector taxation – financial transaction tax and financial activities tax and to suggest the possible candidate suitable for the implementation on the EU level. Financial transaction tax represents the tool suitable mainly on global level, for only in that case enables generate sufficient financial resources. From EU point of view is considered as less suitable, for it bears the risk of reallocation. Therefore the introduction of financial activities tax on EU level is considered as a better solution for the financial sector taxation in the EU, for financial sector is exempted from value added tax. With respect to the fact, that the implementation would represent the innovative approach to the financial sector taxation, there are no empirical proves and therefore this could be the subject of further research.