Page 241 - ACFE Fraud Reports 2009_2020

Behavioral Red Flags Present During Fraud Scheme 24

Complained about 3.0% Financial
3.8%
lack of authority 3.9% Statement Fraud
3.6%
Excessive family / peer 4.0%
4.2%
pressure for success 4.2% Corruption
4.3%
Instability in life 5.1%
5.3%
circumstances 4.9% Asset
4.9%
Excessive pressure from 6.5% 23.2% Misappropriation
within organization 4.5% 6.5%
8.1% All Cases
Refusal to take vacations 6.8%
7.1%
6.8%
Complained about 4.0% 5.7%
8.0%
inadequate pay 7.3%
Past employment- 7.1% 9.9%
8.2%
related problems 7.9%
8.1%
Past legal problems 9.0% 11.8%
8.7%
10.1%
Addiction problems 13.7%
14.6%
13.3%
16.2%
Irritability, suspiciousness, 14.1%
or defensiveness 13.6%
13.7%
Unusually close association 17.2% 34.6%
with vendor / customer 14.1%
15.2%
11.1%
Divorce / family problems 15.6% 18.0%
17.1%
Control issues, unwillingness 25.3%
27.0%
to share duties 18.1%
18.7%
30.3%
Wheeler-dealer attitude 19.5% 34.2%
20.3%
26.3%
Financial difficulties 27.8% 36.2%
34.1%
41.4%
Living beyond means 39.2%
41.0%
38.6%
0% 10% 20% 30% 40% 50%
24 The sum of percentages for each scheme type exceeds 100 percent because in several cases the perpetrator exhibited more than one behavioral red flag.

65

2008 Report to the Nation on occupational Fraud and abuse