Framework for Fraud Case Analysis

Fraud Case 1
Framework for Fraud Case Analysis

Fraud Case 2
Table of Contents
A: Facts of the Case.........................................................................................................................3
B: Theoretical Analysis...................................................................................................................3
C: Red Flags and Lessons Learned..................................................................................................3
D: Risk Analysis..............................................................................................................................4
E: Best Practices in Fraud & Corruption Prevention & Response..................................................4
F: Action Plan..................................................................................................................................4
G: Conclusion..................................................................................................................................5
References:......................................................................................................................................6

Fraud Case 3
A: Facts of the Case
Fraud can be defined as an illegal activity that is committed by individual intentionally within an
organization. In the given case, Mr. Thow was identified as guilty. He was the fraudster in given
case. He has been involved in several frauds like skimming of cash, misuse of company asset,
and misappropriation of asset and fraud of financial statement. In the given case, Mr. Thow was
found guilty in all these frauds. Victims in this fraud are the investors who invested money in the
company and creditors from different countries like National commercial bank of Jamaica and
Berkshire investment. Along with this, investors and customer of his own company also are
influenced by this fraud (Cohen, et. al., 2012). According to section 380, under the Canadian
criminal court, Mr. Thow was found guilty. According to this law, Mr. Thow can be held liable
for maximum sentenced of 14 and minimum 7 years prison from the panel of judges.
B: Theoretical Analysis
There are several theories that can be applied to the given case study.
1. Low hanging fruit theory- This theory covers high-risk fraud such as accounting issues
and financial misstatement. In the given case, Mr. Thow also did the same, as he
manipulated financial statement did fraud with the investors and creditors (Gottschalk,
2012).
2. Rotten apple theory- This tells that one rotten apple can spoil all the apples in the barrel.
In the given case, Mr. Thow treats him as NCBJ director or owner of the company and
did fraud. He can spoil the culture and brand image of entire organization negatively.