Page 661 - ACFE Fraud Reports 2009_2020

Use of targeted anti-fraud controls
has increased over last decade Certain fraud risks

were more likely in
small businesses

A lack of internal controls
Hotline contributed to nearly than in largE

Anti-fraud policy organizations:

Fraud training for
employees
Fraud training for
managers/executives 1/3 of frauds

Billing fraud 2X higher
Payroll 2X higher
The presence of anti-fraud controls Check and payment

is associated with lower fraud losses tampering 4X higher
and quicker detection

MORE THAN HALF of all occupational
Owners/executives frauds came from these four departments:
committed only 20% of
occupational frauds, but they
caused the largest losses
OPERATIONS 15%
Owner/Executive
$600,000

MALE FEMALE Manager ACCOUNTING 14%
$150,000 $85,000 $150,000
Median loss Median loss
Employee EXECUTIVE/UPPER
Men committed 72% $60,000 MANAGEMENT 12%
of all occupational fraud,
and also caused
larger losses than women
SALES 11%

46% of victim
organizations declined
80% of Fraudsters to refer cases to 42% OF 26% OF
law enforcement OCCUPATIONAL OCCUPATIONAL
FRAUDSTERS WERE
FACED SOME FORM OF because FRAUDSTERS WERE EXPERIENCING FINANCIAL
INTERNAL DISCIPLINE FROM INTERNAL DISCIPLINE LIVING BEYOND THEIR MEANS DIFFICULTIES
THE VICTIM ORGANIZATION WAS SUFFICIENT

Key Findings Report to the Nations 5