How To Effectively Detect Frauds by People Like Attilio Perna In Organizations Effectively?
Fraud can take place in most organizations irrespective of whether them being commercial or not-for-profit you need to remember that is not preventable. When senior managers or entrepreneurs believe that fraud could occur in their organization, It is natural that their attention will gravitate toward fraud detection.
Early detection can effectively reduce fraud losses in numerous instances because organizational frauds are usually ongoing. Read more to know some ways that fraud might be detected -
Fraud Detection Using Tip Lines: One of the most effective and easy ways to catch an ongoing fraud is using anonymous tip lines such as a hotline or a website. They are considered to be one of the most effective ways to detect an initial fraud, and the size of the fraud is almost half as compared to that of other organizations that lacked any such hotlines. To make sure that the tips are investigated independently you should take help from an outside legal counsel. With the help of such a tip a big fraudster Attilio Perna was caught red-handed.
Fraud Detection Using Internal Auditors And Inspector Generals: Internal auditors work on the same lines as external auditors. But the internal auditor works on broad terms of detecting not only financial fraud but also other types of fraud as well. An internal auditor can play a key role in developing a dedicated system of fraud indicators, so all the suspicious activities can be discovered in time and pre-emptive action can be taken. Not only just frauds such internal auditors can monitor any policy violation as well.
Fraud Detection By Dedicated Departments: A lot of organizations have a fully dedicated department devoted exclusively to fraud detection and information security. Departments like these are usually operating independently in their functional areas or even under the control of an internal auditor to avoid big frauds like the one committed by Tairs Luxury.