Page 686 - ACFE Fraud Reports 2009_2020

Most Common Schemes by Industry
Identifying the most common fraud schemes within industries can help organizations design controls to guard
against their most significant threats. In Figure 20, we show the most common occupational fraud schemes in
industries with at least 50 reported cases. The risks are shaded from yellow to red, with darker variants represent-
ing higher-risk areas. For example, in the health care industry, corruption represents the highest risk (40% of cases),
followed by billing schemes (33% of cases).

FIG. 20 What are the most common occupational fraud schemes in various industries?

Cash larceny Cash on hand Check and payment tampering Corruption Expense reimbursements Financial statement fraud Register disbursements Skimming
Billing Noncash Payroll
INDUS TR Y Cases
Banking and financial 364 8% 10% 18% 9% 40% 8% 10% 10% 2% 2% 10%
services
Government and public 189 18% 5% 9% 4% 48% 17% 4% 17% 17% 0% 7%
administration

Manufacturing 177 23% 5% 6% 8% 50% 20% 18% 23% 10% 2% 8%

Health care 145 33% 10% 10% 14% 40% 22% 14% 24% 15% 6% 10%

Energy 89 24% 6% 7% 6% 66% 11% 9% 25% 6% 1% 9%

Retail 89 22% 15% 15% 11% 37% 17% 6% 20% 11% 7% 15%

Insurance 82 24% 2% 5% 9% 43% 16% 11% 9% 5% 2% 6%

Education 82 30% 9% 13% 18% 30% 22% 7% 17% 13% 1% 22%

Construction 77 22% 13% 12% 17% 47% 9% 25% 13% 13% 4% 13%

Transportation and
warehousing 64 13% 5% 9% 5% 52% 9% 3% 23% 6% 0% 19%

Technology 63 24% 0% 5% 6% 46% 13% 13% 22% 11% 0% 0%

Telecommunications 62 5% 2% 3% 2% 56% 5% 6% 31% 2% 0% 5%

Food service and
hospitality 59 22% 20% 10% 12% 39% 8% 8% 25% 12% 10% 14%

Services (professional) 54 37% 0% 9% 20% 26% 24% 15% 11% 22% 2% 11%

Real estate 52 25% 13% 12% 21% 48% 17% 15% 12% 8% 4% 27%

LESS RISK MORE RISK

30 Victim Organizations Report to the Nations