Fraud Facts: Tips

Fraud Facts: Tips
May 8, 2018 Diana Dettwyler
Finding Fraud in Companies and Organizations

2018 Report to the Nations. Copyright 2018 by the Association of Certified Fraud Examiners, Inc.

Tips are the most common initial detection method for discovering fraud in an organization.

According to The 2018 Report to the Nations, tips rank first at 40%, internal audits rank second at 15%, and management review is last at 13% for finding fraud.

What’s even more interesting is that employees provide over half of tips. But don’t discount outside tips as a source of information. Outside parties also report nearly a third of all fraud.

If an organization has a hotline, the number of cases detected by a tip is even larger at 46%.

We find this global study on occupational and fraud abuse valuable. As financial investigators, we love it when we find no evidence, but in this case we did.

Read about our case study here.