Page 347 - ACFE Fraud Reports 2009_2020

Detection Method by Scheme Type

42.1% Asset
Tip 54.1% Misappropriation Cases
41.9%
6.7% 15.0%
Management Review 12.4% Corruption
6.7% Cases
14.0%
Internal Audit 14.3% Financial Statement
14.3% Fraud Cases
7.4%
By Accident 4.3%
4.8%
5.3%
Account Reconciliation 0.9%
3.8%
Detection Method External Audit 1.9% 5.7%
4.5%
Document Examination
2.2%
3.3%
3.3%
2.6%
Notified by Police
4.8%
14.3%
2.0%
Surveillance/Monitoring 0.9%
1.9%
1.7%
Confession 0.9%
1.9%
1.1%
Other 0.7%
1.9%
1.0%
IT Controls 1.3%
1.0%
0% 10% 20% 30% 40% 50% 60%
Percent of Cases
Detection Method by Region

The following table shows how frauds were detected based on the region in which they occurred. The findings
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are in line with our 2010 Report, in that tips were the most common detection method by a wide margin in each
region. Management review and internal audit consistently came in either second or third in every region. Also
similar to our 2010 Report, Africa had the highest percentage of cases detected by tip at 53% (up from 50% in
2010). Internal audit was one of the most diverse detection methods across regions, uncovering as few as 10%
of cases in Africa and as many as 23% in Europe.

Detection Method by Region
All Cases United Asia Europe Africa Canada Latin America and Oceania
States the Caribbean
Tip 43.3% 43.1% 43.6% 42.9% 52.7% 38.6% 43.2% 42.9%
Management Review 14.6% 14.0% 14.2% 15.8% 15.2% 17.5% 10.8% 20.0%
Internal Audit 14.4% 11.7% 19.6% 23.3% 9.8% 14.0% 13.5% 14.3%
By Accident 7.0% 7.8% 4.4% 3.8% 4.5% 10.5% 10.8% 8.6% 2012 REPORT TO THE NATIONS on occupational FRAUD and abuse |
Account Reconciliation 4.8% 5.1% 3.4% 2.3% 6.3% 5.3% 8.1% 8.6%
Document Examination 4.1% 5.1% 2.0% 4.5% 3.6% 3.5% 5.4% 0.0%
External Audit 3.3% 3.5% 3.9% 3.8% 0.9% 1.8% 0.0% 2.9%
Notified by Police 3.0% 3.8% 2.9% 3.0% 0.9% 0.0% 2.7% 0.0%
Surveillance/Monitoring 1.9% 2.2% 1.5% 0.0% 2.7% 5.3% 0.0% 0.0%
Confession 1.5% 1.9% 1.0% 0.8% 0.9% 0.0% 2.7% 2.9%
Other 1.1% 1.3% 1.0% 0.0% 0.9% 1.8% 0.0% 0.0%
IT Controls 1.1% 0.6% 2.5% 0.0% 1.8% 1.8% 2.7% 0.0%

4 See Appendix for a list of countries included in each region.
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