How to detect fraud in the workplace

On November 5, the John Molson Executive Centre will offer a half-day seminar entitled “Preventing and Detecting Fraud and Corruption.” Given recent corruption scandals in Canada and in Quebec, this is a timely offering.

Concordia NOW sat down with the seminar’s instructor, Dominic Peltier-Rivest, a professor of fraud prevention and detection in the Department of Accountancy, to learn more about the course.

Why is this an important topic for managers?

Peltier-Rivest: Occupational fraud and corruption cause enormous negative consequences for victim organizations, investors and society in general. My research, and that of the Association of Certified Fraud Examiners (ACFE) shows that one quarter of all occupational fraud cases in Canada trigger losses of more than $1 million dollars each. Furthermore, corruption cases account for nearly 40 per cent of all fraud cases in Canada.

This seminar will explain the importance of preventing and detecting fraud and corruption to limit the damages and consequences faced by organizations and individuals. Through presentations of relevant research findings, real examples and group discussions of recent corruption cases, the seminar will help in deterring fraud and corruption, while it improves internal controls, enhances the likelihood of detection, and reduces opportunities to perpetrate fraud and corruption.

What sorts of fraud are managers most likely to have to face?

Peltier-Rivest: According to recent ACFE statistics, the most frequent fraud schemes in Canada are corruption, billing schemes, and fraudulent expense reimbursements.

What can be done to prevent fraud?

There are a number of corporate governance mechanisms and internal controls and policies that can be implemented. But first, managers need to understand the characteristics of fraud and corruption and also understand why and how occupational fraud and corruption are perpetrated.

This seminar will help shed light on the consequences of corruption and will introduce participants to the controls that should be implemented to prevent and detect corruption. We will also spend time on analysis of common red flags of corruption and demonstrate how an effective fraud predictors framework and corruption prevention model can help organizations.

How is this seminar unique? Is it different in approach than other seminars that have fraud detection as their subject?

Peltier-Rivest: This seminar is different and unique because it specifically deals with corruption. It will cover both preventive governance mechanisms as well as more technical tools such as the analysis of corruption’s red flags. This seminar uses both recent research findings as well as recent corruption cases. Much of the content is based on my research paper entitled “A Model for Preventing Corruption”, which I have presented at numerous conferences around the world.

Register for the Preventing and Detecting Fraud and Corruption public seminar.