Expounded! 4 Common Types Of Fraud That Occur In Organizations

Jayden Seams
2 min readSep 14, 2022


Frauds, scams, dacoity, and mischief. These terms have repelled the existence of peace of mind. We keep learning about financial fraud committed by the authoritative person of an organization or any sort of business.

Each year, several cases come to light where shareholders are cheated. Attilio Perna is one such name that will always be recalled for the massive fraud committed by his firm, Tairs Worldwide. Organizations face the biggest threat if there are insiders who are waiting for a chance to gain personal benefits out of the situation.

What major frauds happen in an organization?

1 Managers Fraud: These frauds usually happen where there is a lack of control and examination in the workplace. Many situations can help the manager take advantage. Some are misappropriation of assets, manipulation of financial results, and lack of disclosure.

2 Payroll Fraud: This can be a deceiving act manifested by employees in terms of showing their working hours and higher productivity to get higher pay. Sometimes employees ask for advance payment without any intention of returning it.

3 Money Fraud: In this fraud, a company or an organization suffers from getting cheated by customers using fake bills to make real purchases. If you don’t keep an updated cash flow chart, you will not track it easily.

4 Tax Return Fraud: Many e-commerce platforms allow customers to exchange, return, and refund defective products they don’t feel valued in terms of payment. Customers sometimes take advantage of that policy and get a full refund.

All in all, if you want to learn more about how to prevent our organization from scamming, first learn about the biggest scams that have already happened. Attilio Perna is one of the biggest fraudsters, and you will learn many of the tricks to keep in mind while forming preventive policies.



Jayden Seams

I Jayden Seams, am an investment sepcialist. I am specialist on complex technical and business matters which includes investment fund management.