NCJ Number
102066
Date Published
1985
Length
109 pages
Annotation
This manual instructs auditors in the detection and investigation of criminal fraud.
Abstract
An overview of the nature and history of fraud auditing distinguishes between classic and fraud auditing and discusses auditor liability for fraud detection. The discussion of what a fraud auditor should know encompasses offender profiles; organizational, cultural, and motivational incentives for fraud; when, where, and how fraud is most likely to occur in account books and financial statements; and how to discern, detect, and document such frauds. The review of the auditor skills required to detect and investigate fraud addresses the assessment of internal controls, the design of scenarios for potential fraud losses due to specific internal control weaknesses, the identification of questionable financial data and transactions, and skills required to collect and interpret evidence of a crime. Detailed discussions focus on steps and skills in detecting criminal fraud in account books and the investigation of such frauds. Both pessimistic and optimistic scenarios are developed for future trends in fraud, followed by a summary of tools, tips, and techniques for auditing, summary of tools, tips, and techniques for auditing, investigating, deterring, detecting, and preventing fraud in account books. Case studies are presented for instructive purposes.