Salami Fraud (1) by M. E. Kabay‚ PhD‚ CISSP Associate Professor‚ Computer Information Systems Norwich University‚ Northfield VT The recent disclosure that WorldCom concealed almost $4 billion of expenses as if they were asset acquisitions and thus falsified its accounting reminds me of the very opposite kind of fraud – one that involves lots of little thefts instead of one gigantic theft. In the _salami fraud_‚ criminals steal money or resources a tiny bit at a time. Two different etymologies are
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CHAPTER ONE 1.0 Introduction This chapter will cover the background of the study‚ the statement of the problem‚ the purpose of the study‚ the objectives‚ the research questions‚ and the scope‚ the significance of the study and the structure of the report. 1.1 Background of the Study According to Hector Perela‚ (2009)‚ Internal auditing function with other intervention mechanisms like financial reporting and external audit to helps maintain cost-efficient contracting between owners and managers. It
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Running head: Article Review Shawn Detamore Davenport University January 29‚ 2012 Payroll fraud schemes happen when an employee generates overcompensation for themselves. There are three types of payroll fraud schemes; ghost employees‚ bonus and commission schemes and falsified hours and salary (Shields‚ 2009). This type of fraud accounts for 17% of fraud that is committed in organizations (Shields‚ 2009). Back in May of 2009‚ a payroll manager and a retired employee of the Detroit Public
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Expectation Gap and Corporate Fraud: Is Public Opinion Reconcilable with Auditors’ Duties? Jeffrey Cohena‚ Yuan Dingb‚ Cédric Lesagec‚* and Hervé Stolowyc b Carroll School of Management at Boston College‚ USA China-Europe International Business School (CEIBS)‚ Shanghai‚ China c HEC Paris‚ France a This draft – October 28‚ 2010 – Please do not cite or circulate without permission – Comments welcome Acknowledgments. Cédric Lesage and Hervé Stolowy acknowledge the financial support of the
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Five Governmental Organizations to Report a Scam in the United States The United States takes fraud very seriously and the majority of its government organizations dedicate time and specific teams to investigate and combat fraud from occurring within the government and governmental agencies. If you work within one of these sectors‚ you usually can safely report a scam under the protection of a whistleblower policy. If you witness this as a normal citizen‚ you can feel secure with the same protection
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Seminar 7.1: Ethics‚ Fraud Risk and Communication Libby Jones – Chief Accountant Group 6 Marsee Weston – Fixed Asset Manager Overview Scott Smyth – Cash/Debt & Investment Manager Scenario 1 Cathy Elgin – Accounting Assistant (A/R) Scenario 2 Bob Thomas – Accounting Assistant (A/P) Scenario 3 Nora Stewart – Accounting Assistant (A/P) Scenario 4 Scenario 5 Chuck Sanchez – Accounting Assistant (Payroll) Past Fraud Cases 3 4 Combining
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Impact and Prevention of Inventory Fraud The root of this problem lies within the organizations’ employees. Honest employees are a valuable asset‚ since the theft of inventory costs US companies a great deal of money every year. Perpetrators of this act may rationalize their behavior as not being criminal‚ so where does it begin or where does it stop? There is no easy solution or one way to combat inventory fraud‚ but companies can take measures to prevent this from occurring. Also‚ Organizations
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cash fund‚ but kept the excess funds for himself” (Chief Financial Officer Plead Guilty). Additionally‚ Solo attempted to hide the embezzlement by‚ falsifying the financial records of the company; destroying records of the checks; and hiding the fraud from outside auditors hired by the company to review its finances. Because of his actions‚ “Solo faces a maximum sentence of 20 years in prison and
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December of 2008‚ captivating the events of Chess Records. The movie stars Adrien Brody‚ Beyonce Knowles-Carter‚ and Jeffrey Wright playing the creator of the record label‚ and two of the main artists apart of Chess Records. The movie grossed a total 8.8 million‚ with a budget of 12 million‚ and went on to be nominated for three Grammy awards‚ and one Golden Globe‚ winning the Best Traditional R&B Vocal Performance Grammy award for Beyonce’s performance in the song At Last. With such a stellar performance
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curtailed by my need to find employment ASAP this summer (student financial aid eligibility expired two quarters early from taking too many courses and now I’ve maxed out a handful of credit cards). So I found myself unable to complete this paper as intended… In January 2002 after more than 23 years in Nebraska and a year stint teaching/traveling in China‚ I finally finished my undergraduate studies at the University of Nebraska and promptly fled the Great Plains for the Elusive Eden. After the
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