（2006）Using Transactional Analysis for Effective Fraud Detection.pdfVIP

Using Transactional Analysis for Effective Fraud Detection Date: 20th April 2006 Nishith Seth Seth Services Fraud Issues Impact Cost Indirect costs: image, morale Direct costs: 6% revenue loss each year = $660 billion in U.S. (ACFE) Compliance/Standards Sarbanes-Oxley VICTIMS OF ECONOMIC CRIME SAS 99 Western Europe 34 34 Central Eastern Europe 37 Global tollGlobal toll 37 South Central America 38 38 North America 41 41 Asia Pacific 39 39 Africa 51 51 % respondents PricewaterhouseCoopers Economic Crime Survey 2003 Detection of Fraud Detection through Controls Best approach for detection: internal controls (EY Global Survey 2003) Often overridden or not properly understood Gaps in controls occur in interfaces between applications or systems Inadequate internal controls rated second highest factor contributing to fraud (KPMG Fraud Survey 2003) Management override rated third Factors relating t