Does anyone know what would be some of the reason(s) that companies are unable to detec fraudulent practices?
2007-02-02 08:14:07 · 1 answers · asked by Munch_101 1 in Business & Finance ➔ Corporations
The people working at the company are stealth in their committing of the frauds so they don't get caught. Many types of fraud can go undetected and can only be caught by a good auditor. examples:
Payroll manager can setup a new employee (a fake employee with the same name as her 10 year old son) if certain controls aren't in place and start paying them.
An accounts payable manager can setup a new vendor (fake vendor) and submit and pay the vendor invoices that go to the AP manager's freind who splits the dough..
There are hundreds of ways to do it. I catch them all the time for a living.
2007-02-02 08:44:38 · answer #1 · answered by Brad S 2 · 0⤊ 0⤋