Corporate Fraud Prevention and Detection
In the most recent Report to the Nations, issued by the Association for Certified Fraud Examiners, it was estimated that the typical organization loses 5% of its revenues to fraud each year. According to the report, the median loss caused by the occupational fraud cases was $140,000 with more than 1/5 of the cases reflecting losses of at least $1 million and the frauds going undetected for an average of 18 months.
There are several things businesses can do to enhance their business fraud prevention programs. Among them are:
- Implement an anonymous fraud reporting system
- Develop and implement hiring controls
- Perform thorough background checks and rehire testing
- Put strong company policies in place that control and cross-reference potential fraud areas
- Segregate duties and give clear lines of responsibility
- Require proper documentation consistently
- Conduct independent surprise audits of systems
- Create physical safeguards and security controls
- Maintain effective personnel policies, including rotation of assignments and mandatory vacations
- Enforce policies (and cases of fraud) with strict repercussions and/or punishment
With Certified Fraud Examiners on our team, we review internal controls, systems and procedures and make suggestions and recommendations for improvements to prevent occupational fraud and financial loss. We are the only CPA firm in Atlanta to provide the Red Flag Reporting service, an anonymous fraud reporting hotline. As a part of our business fraud prevention services, our assurance team works with us to help you move quickly to uncover and analyze any suspected fraud, assess damages, and provide effective support.
If you need more information about our corporate fraud investigation services, just fill out the form on this page. A member of our team will be in touch.