Who are your employees really spending money on?
The ACFE reported in 2016 over 83.5% of occupational fraud was related to assets misappropriation. Of the 83.5 % AM cases, expense fraud accounted for 14% with a median loss of $40,000.
Detection methods relied heavily on costly or employee discovery systems. The top 3 detection methods were 1. Tip (39%) 2. Internal audit (16.5%) 3. Management review (13.4%).
Expense fraud has a long life span due to ease of concealment. Concealment methods 1. Create fraudulent document (52.9%) 2. Alter physical document (52.9%) 3. Alter transactions (42.2%).