IntroductionFraud are real risks that as evidenced in the recent past, millions of dollars in cash and in stocks have been lost in fraud scams in both local and international organizations. Pedneault et al. (2012) defines fraud as the activity which takes place within a social setting and has severe repercussions for the economy, organizations and for individuals. The author describes fraud as the opportunistic infection that comes forth when greed meets the opportunity for deception. Albrecht et al. (2011) describes fraud as theft through deception. According to Wells (2011), fraud examination provides a basis for information that is vital in designing fraud prevention programs and strategies.
This informs this report that examines varied case studies related to fraud and answering questions thereof. Case Study 1 from chapter 7 of the txt (Abrecht et al. , 2012, pp. 229-230)More often, examining fraud requires the fraud examiner to not only be vigilant, but also, maintain a low profile to ensure that prior to reporting suspicion of fraud; they have sufficient evidence to support their claims. To ensure that those involved in the fraudulent activities do not get a chance to cover up their scam and erase any evidence trails leading to them hence, making the fraud examination results inconclusive in the long run (Vona, 2011).
For the case study, following the red flags which are the spikes in the number of requests made in Ford’s account, as an agent with the Federal Bureau of investigations I should ensure that the information that I already have remains confidential and that no one, not even the management are aware of the investigations. Since one can never be sure who is involved since, those who carry out fraud have profiles that are not dissimilar from other people.
This will involve establishing from where the account requests are being made from, and identifying a trend or pattern since fraudsters just like serial killers tend to have patterns in carrying out their crimes. Since the fraudsters relied on wire transfers, the next step would be to follow up on trails of all wire transfers suspected to be fraud and get details on the destination accounts. In addition, following up on the location of the communication systems such as emails and telephone numbers used to make the account requests through use of surveillance and gathering electronic evidence using corporate server and centralized backups in order to limit detection.
It is important to keep copies of documents as evidence of suspected fraud to be used when the fraud is confirmed. Interviews will be carried out from people not presently linked to Cummings and Baptiste working inwards to the main suspects. Samocuik et al. (2010) indicates that vulnerability charts are used as a means for the fraud examiner to explicitly establish all the aspects of fraud and for determining fraud hypothesis.
According to Albrecht et al. (2011), vulnerability chart is defined as a chart that coordinates varied elements of possible threat, encompassing missing or stolen assets, people with opportunity for theft, theft investigative techniques, possibilities for concealment, conversion possibilities, red flags, pressures of suspected perpetrators, rationalization by the perpetrators and internal controls, which were compromised to facilitate fraud.