Essays on Defrauding

Introduction

According to Trevino & Nelson (2011, p. 35), fraud does not happen as a coincidence. To be specific, fraud in organizations is usually premeditated and has to happen in the right conditions and members of the organization in authority often set these conditions. As such, identifying the root causes of fraud, which is called fraud deterrence, should be one of the priorities of corporate governance. Since fraud has been a common menace in the history of organizational management, various strategies, government regulations, and acts have been developed to prevent the occurrence of fraud (Giroux, 2013, p. 32). These procedures cover ...

Cases of fraud usually take place in both huge firms as well as small firms, and in this case, we will focus on Mamtek, which was a small firm. There are various reasons that usually led to cases of fraud in the various firms. Most of the fraud cases usually involve manipulating the various stakeholders for personal gain. Such decisions to commit fraud are usually for personal gains or to achieve performance within short durations rather than following the right procedures which would bring positive results in the long run. Mamtek was a Hong Kong based manufacturing firm that ...

The two companies in the case study present a clear situation where the False Claim Act is applicable. Indeed, it should, however, be noted that the issues emanating are far beyond the False Claim and border on even greater criminal offenses such as murder, causing grievous bodily harm and torts like negligence and strict liability. However, for purposes of this paper, the discussion shall be limited to the application of the False Claim Act, otherwise, known as the Lincoln Law. In the ensuing discussion, the paper shall capture the application of the Act, the mistakes committed by both companies, the ...

In 2012, the federal government recovered in excess of $3.8 billion (including $2.2 billion from a leading pharmaceutical company) in judgments and settlements under the False Claims Act, 31 U.S.C. §§ 3729-33 (the “FCA”, “PL 99–562” or the “Act”). This was until then, the second largest haul. By the close of 2012, in excess of $17 billion had been similarly recovered in the preceding five years. In January 2013, more than 846 cases were pending, of which whistleblowers filed 752. The increasing number of quit tam cases is a testament to the increased investment in the same by whistleblowers as well ...

Introduction

The United States has adopted a culture that promotes whistle blowing in most industries. Research indicates that organizations without proper mechanisms for reporting unethical behavior report twice as high fraud related losses compared to those that do not. Johnston (2005) stated that over 40% of all fraud cases in such companies are detected by whistleblowers in comparison to 4% by internal audits, 11% through external audits, 1% by accident, and 18% through internal controls. This shows that the whistle blowers are important and therefore should be protected by the law. However, while the whistleblower protection laws are written to protect ...

Identity theft is a fraud-related crime that primarily involves an individual accessing and at the same time misusing another person’s identifying information (Morton, 2014). In this case, the information might even include pin numbers, credit card information as well as social security numbers. This information might be accessed through illegal and unauthorized access to government and even financial institution or through identity theft. As an attorney, I would charge Gorski as an identity thief since the cards in the briefcase contain identities of other individuals. Counterfeiting is another crime that involves goods and services that appear as if they ...

The Enron Crisis reveled in October 2001 is one of the greatest auditing scandals in the history of the United States of America (USA). It involved Enron Corporations which traces its history to 1985 when it as born from the Houston Natural Gas InterNorth (Fusaro and Ross, 2001). This followed the decision of Kenneth Lay to amalgamate the two firms to form one big corporation which have a dominant control over the energy market in Texas. Despite its enormous growth, Enron’s troubles began after hiring Jeffery Skilling as one of its topmost officers who were at the helm of ...

Introduction

The US healthcare system is currently at the state where undoubtedly, it needs to be reformed. According to Dewar (2010), “The concern over the future of health care revolves around three broad issues: cost, quality, and access. As private health insurance declines and the number of uninsured people steadily rise, emerging public consensus is that the system is in need of reform. Gaps in coverage, combined with the upward trend in medical care spending over the past several decades, add to the commonly-held belief that the U.S. healthcare system is in crisis. Many are concerned over access to care ...

American citizens pay a relatively large percentage of their paycheck towards taxes and social security. Some people feel that the percentage that goes towards taxes and social security is too high, but others feel that paying taxes is a social necessity, and that taxes should be paid to help people who are struggling. Social security is a program that is primarily designed to assist the elderly with their retirement, although there are a variety of different programs that are classified as “social security.” In the United States, social security programs are usually funded through payroll taxes. To understand the various nuances of social ...

Executive Summary

This case study focuses on identifying fraudulent issues taking place in the given four situation of Forensic Accounting. It identifies the issue on hand for every situation and goes further to discuss the in details the presence of elements such as coercion, collusion, and concealment. Nevertheless, the paper utilizes the fraud triangle to explain how the fraudulent acts are committed. The conclusion for each situation discusses the possible ways of addressing the issues being identified.

Introduction

Fraud have been on rise in forensic Accounting creating path for more investigations in order to identify ways in which these frauds arise and ...