Don’t let anyone to break into your moneybox!

Fraud is an act of illegal gain.

We all are victims of fraudulent practices, i.e. lost resources, decrease productivity, lower morale, reputational losses, and of course financial losses.

There is broad range of frauds:

• it can be an asset misappropriation (theft, payroll fraud, false expense reimbursement, false invoicing), 
• corruption (bribes, illegal facilitating payments, conflict of interest, gifts), 
• financial statement fraud, etc. 

Prevent from fraud for your and our common benefit

Fraud is a broad concept that refers generally to any intentional act committed to secure an unfair or unlawful gain.

We all play significant role in preventing company from fraud. Any fraud causes serious harm to companies finances and reputation. If Company loses, we all lose! Company has less money for investments, trainings and our development.

It is not true that fraud happens only with fake invoices. Financial fraud typically falls into 4 broad categories:

Fraudulent financial reporting which occurs in the event of improper revenue recognition, overstatement of assets or understatement of liabilities.

Misappropriation of assets which is a result of either internal of external theft (and may happen in case of cyberattack), or can be result of posting fault invoice, directing money to different bank account or paying “ghost” employees, or suppliers.

Expenditures and liabilities for improper purposes which is usually a bribery registered under improper payment scheme or other payments to suppliers for goods or services never received.

Fraudulently obtained revenue and assets, and costs and expenses avoided, these happen when a company commits a fraud against its employees or third parties, or when it improperly avoids an expense, such as taxes. 

Be careful and don’t become part of fraudulent events

Be watchful and be alerted in case you see any of the below red flags: