This paper concentrates on the primary theme of write TWO paragraphs post that, as a forensic accounting professional, addresses strategies for prevention, detection, investigation, and minimizing the risk of this particular fraud scheme. *Review the uploaded chapters if you need.. in which you have to explain and evaluate its intricate aspects in detail. In addition to this, this paper has been reviewed and purchased by most of the students hence; it has been rated 4.8 points on the scale of 5 points. Besides, the price of this paper starts from £ 40. For more details and full access to the paper, please refer to the site.
Money laundering” Employee fraud case with references links. Please review the case study from file that is uploaded and check the links, then follow these instructions: write TWO paragraphs post that, as a forensic accounting professional, addresses strategies for prevention, detection, investigation, and minimizing the risk of this particular fraud scheme.
*Review the uploaded chapters if you need..
2-After that, write a ONE paragraph a brief summary of this case in the bottom and how it applies to, and illustrates, your posting. Consider how succinct and illustrative your case study is and how well it enhances your posting on a particular scheme.
The Case Study:
Kiting is an employee fraud scheme that involves writing bad checks from one bank account to another, and taking advantage of the float time between check clearing to cover up the transaction. The way a perpetrator is able to commit this fraud is by opening two separate bank accounts at separate banks. They will place an initial deposit in one of the accounts (Bank A). From there, they will write a bad check from that account to the other bank account (Bank B) that claims a large amount. Bank B will then immediately credit their account when the check is deposited, not knowing yet that there are not sufficient funds from Bank A. This will provide the fraudster with available funds that will never actually be received. Then, before the bank actually discovers that the check was bad, the perpetrator will write a check from Bank B back to Bank A for the same amount that was deposited in order to cancel out the transaction. Ultimately, the perpetrator will continue to write bad checks back and forth between the banks, while basically maintaining an interest free loan.
A major check kiting scheme that went uncovered for over 3 years targeted major top-tier institutions including JP Morgan Chase, Bank of America, US bank and Wells Fargo. The scheme lasted from February 2010 until October of 2013. This fraud involved 15 perpetrators and ultimately resulted in a loss of $15 million. A way that companies can detect this type of fraud is through an investigation of the cut-off bank statement. Short time lags between deposits and withdrawals can indicate this type of fraudulent activity, as well as checks and deposits in the same dollar amount. Other suspicious activity that could indicate kiting is frequent customer requests for account balance information, such as collected and cleared items