How is Fraud Detected?

Most fraud is detected by tips from others or by accident. Therefore organizations should take tips seriously. Organizations should consider the establishment of a Hotline for individuals to make anonymous tips to the risk of fraud, especially in light of the Sarbanes-Oxley legislature. This internal control has become an increasingly greater used resource to increase the tips of fraud for employees that have detailed knowledge of the organizations.

From the 2006 Association of Certified Fraud Examiners Report to the Nation

See the full report at: http://www.acfe.com/documents/2006-rttn.pdf