Professional Documents
Culture Documents
Corruption Fraud
Corruption Fraud
FRAUD
Corruption
Corruption
Forms of corruption
Bribery
Kickbacks
Illegal gratuities
Economic extortion
Collusion
Bribery
Bribery may be defined as the offering, giving,
receiving, or soliciting of corrupt payments (i.e.,
items of value paid to procure a benefit contrary to
the rights of others) to influence an official act or
business decision.
Classifications
Official bribery - refers to the corruption of a
public official to influence an official act of government.
Commercial bribery - refers to the
corruption of a private individual to gain a
commercial or business advantage
Kickback
Kickback is form of negotiated bribery in
which a commission is paid to the bribe-taker in
exchange for the services rendered.
Illegal Gratuities
Economic Extortion
Extortion is defined as the obtaining of
property from another, with the other partys
consent induced by wrongful use of actual or
threatened force or fear.
Economic Extortion
To constitute extortion, the threat must be the
controlling reason that the victim gives up a right or
property.The following types of
threats
can
constitute extortion:
Physical harm
Property damage
Disgracing a person
Public exposure
Collusion
Collusion refers to an agreement between two
or more individuals to commit an act designed to
deceive or gain an unfair advantage.
Poor recordkeeping
Conflict of Interest
A conflict of interest occurs when an employee or
agent (someone who is authorized to act on behalf
of a principal) has an undisclosed personal or
economic interest in a matter that could
influence his professional role.
her/his
A conflict ofSources:
interest
exists
whenManual,http://www.business-antisomeone,
corruption.com/about/about-corruption/vocabulary.aspx#Patronage
Conflict of Interest
An agent is any person who, under the law, owes
a duty of loyalty to a principal or employer.
Agents include officers, directors, and employees of
a corporation; public officials; trustees; brokers;
independent contractors; attorneys; and
accountants.
Purchase schemes
Sales schemes
Delayed billings
Business diversions
Resource diversions
supervisions
Financial disclosures
Disguised Purchases
The need or use of the item is falsely
described.The intent of the expenditure is to
enrich the employees lifestyle
Source: Fraud Risk Assessment: Building a Fraud Audit Program-Leonard W. Vona Google Books
Bid Rigging
Bid rigging is a form of fraud in which a
commercial contract is promised to one party
even though for the sake of appearance several
other parties also present a bid.
Bid Pooling
Patronage
Patronage - the use of state resources to
reward individuals for their electoral support.
Identity Fraud
Identity theft
Identity Fraud
Source: http://www.actionfraud.police.uk/fraud_protection/identity_fraud
Charity Fraud
Charity fraud is the act of using deception to get
money from people who believe they are making
donations to charities. Often a person or a group of
people will make material representations that they are
a charity or part of a charity and ask prospective donors
for contributions to the non-existent charity. Charity
fraud not only includes fictitious charities but also
deceitful business acts. Deceitful
business acts include businesses accepting donations
and not using the money for its intended purposes
Source: en.wikipedia.org/wiki/Charity_fraud
Source: http//securityintelligence.com/disaster-fraud-criminals-capitalizing-oncatastrophes/
Health Care
Fraud
Pharmaceuticals
Impostor Provider
False Diagnoses
Double Billing