FRAUD

What is fraud? Group 2

Types of fraud
Who and why? Alicia Nazwa Haryono
Computer fraud
Preventing and detecting fraud &
Sohridayani
abuse Mohamad Gilang Mohi
WHAT IS FRAUD?
Fraud is gaining an unfair advantage over another
person. Legally, for an act to be fraudulent there must
be:
Fraud Is Divided Into Three Groups, Which Is :
Who Perpetrates Fraud and Why?

• PRESSURES

• OPPORTUNITY

• RATIONALIZATION
 COMPUTER FRAUD
Computer fraud is any fraud Computer Fraud Classifications
that requires computer
technology to perpetrate it.
Examples include:

• Unauthorized theft, use,

access, modification,
copying, or destruction of
software, hardware, or
data
• Theft of assets covered up
by altering computer
records
• Obtaining information or
tangible property illegally
using computers
 Preventing and Detecting Fraud and Abuse
To prevent fraud, organizations must create a climate
that makes fraud less likely, increases the difficulty of
committing it, improves detection methods, and reduces
the amount lost if a fraud occurs.
MAKE FRAUD LESS LIKELY TO IMPROVE DETECTION METHODS
OCCUR • Develop and implement a fraud risk assessment program that
• Create an organizational culture that evaluates both the likelihood and the magnitude of fraudulent
stresses integrity and commitment to activity and assesses the processes and controls that can deter
ethical values and competence. and detect the potential fraud.
• Require oversight from an active, • Create an audit trail so individual transactions can be traced
involved, and independent audit through the system to the financial statements and financial
committee of the board of directors. statement data can be traced back to individual transactions.

INCREASE THE DIFFICULTY OF REDUCE FRAUD LOSSES

COMMITTING FRAUD
• Develop and implement a strong system
of internal controls.
• Segregate the accounting functions of
authorization, recording, and custody.
• Maintain adequate insurance.
• Develop comprehensive fraud contingency,
disaster recovery, and business continuity plans.
• Store backup copies of program and data files in a
secure off-site location.
 THANK YOU
TERIMA KASIH
ODUWOLO