Here are key findings from the 2018 ACFE Fraud Report. The survey is titled the 2018 Report to the Nations.
Every two years the Association of Certified Fraud Examiners (ACFE) issues a fraud report based on hundreds of actual fraud cases. The report provides great insights into how fraud occurs (the method), the persons stealing (the fraudster), and the damage (the amount of losses).
If you are an auditor (internal or external), then you need to be familiar with the findings in this report. Understanding how theft occurs will enable you to detect and prevent it in the future.
Here are key points from the report.
You can download the full ACFE Report to the Nations here. It's free.
I have been a member of the Association of Certified Fraud Examiners since 2004. Why? Because I want to be a better auditor. And I have found that the ACFE has given me a much greater understanding of how fraud happens and how to prevent it. The organization has made me a much better auditor. Consider joining this organization. (You can join without becoming a Certified Fraud Examiner (CFE), though I recommend doing that as well. Learn more about becoming a CFE.) You'll be glad you did.
For more information about fraud, see White Collar Crime is Knocking at Your Door. There you will see a list of fraud-related articles that I have written.
Also check out my book on Amazon: The Little Book of Local Government Fraud Prevention. While the book focuses on governments, there is plenty of information relevant to all organizations.
You'll receive my free 10-day course with examples of frauds and how to prevent them in your organization. You'll also receive my periodic newsletter. (You can unsubscribe at any time.)
Charles Hall is a practicing CPA and Certified Fraud Examiner. For the last thirty years, he has primarily audited governments, nonprofits, and small businesses.He is the author of The Little Book of Local Government Fraud Prevention and Preparation of Financial Statements & Compilation Engagements. He frequently speaks at continuing education events.Charles is the quality control partner for McNair, McLemore, Middlebrooks & Co. where he provides daily audit and accounting assistance to over 65 CPAs. In addition, he consults with other CPA firms, assisting them with auditing and accounting issues.
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