Monday, November 26, 2007

Fraud can happen to any size business

Protect yourself by understanding, identifying risks and not letting your personal feelings get in the way

Think of corporate fraud and most likely you'll recall big names in the news — executives who bilked companies and investors of millions of dollars.

But corporate fraud happens to businesses of all sizes, including small businesses and even nonprofit organizations.

And it happens in a lot of scenarios — from stealing cash or equipment to working with an outside vendor to steal from the company.

According to a study last year by the Association of Certified Fraud Examiners, occupational fraud and abuse caused a median loss of $159,000. Nearly one-quarter of the cases caused at least $1 million in losses and nine caused losses of $1 billion or more.

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