It might seem obvious that not all fraud can be prevented. However the ability of an organisation to detect, investigate and recover fraud, while establishing a real deterrent, is critical.
In the light of an increasingly regulated environment and with the growing number of complex transactions internal and external auditors faced with the challenge of detecting fraud have turned to automated programmes. IDEA is often used to find fraudulent transactions from among the mass of innocent transactions in which they are concealed. Skilled consultancy using state of the art tools allied with many years experience can make it possible to find the needles within the haystacks.
Using IDEA we have been able assist many organisations who have found themselves in situations similar to these. Unfortunately the highly sensitive nature of these assignments and the confidentiality agreements we are routinely required to sign preclude detailed anaylsis of these case histories and identification of clients.
Using IDEA to analyse accounting data revealed account balance discrepancies
Data mining techniques revealed under reporting of sales to the parent company allowing the diversion of funds
Initial analysis showed variations on prices paid for goods
Further investigation uncovered collusion between buyers and suppliers
Resulting in inflated prices being paid for stock
Data mining techniques were used to reconstruct closing stock figures over an extended period
Revealed the misappropriation of stock