Little Frauds

Talking about fraud is not simple for many reasons. First, fraud can be an everyday issue that is confused on many occasions with opportunism. Secondly, many people think fraud only happens in the voting booths or in the large corporations where the great economic disasters take place. For some governments, people believe that all elections and transactions are pre-determined. Between those who do not believe fraud affects their daily lives and those who are engaged in fraud on a daily basis, there has been little public support to engage in an active discussion on how to eliminate this breach of ethics from our society. Today, it is necessary a social awakening to face those who either little by little, or by a lot have embezzled our economy.

Fraud has no size. There are no small, medium, or big frauds. Fraud is fraud. The impacts and losses may only be measured quantitatively by the monetary amounts, but the qualitative elements of time and emotional burden that all victims face are just as serious no matter the dollar amount. Fraud is immersed, or hidden, in many areas of ​​our society. Obviously, the companies are adopting preventive measures to mitigate this risk in some way to protect themselves. However, every day we see how fraudulent behaviors start when the rules of the most absurd events are broken such as cutting a line or running a stop sign or red light. In these cases, it is possible this conduct does not have measurable impacts or losses, but somehow the mere dishonest attempt to obtain undue advantage from another person or situation, even without generating a crime, is fraud.

Hence, fraud, as a social phenomenon, is not always based on the misappropriation of money but also the misuses of corporate assets as part of such disastrous corporate events. In many cases, the calculation of losses is very difficult to execute. Therefore, whoever borrows money from the petty cash for their personal expenses during the week, is committing the same act of fraud as those who took the money from all the investors and concealed it in tax havens. Clearly, the impact of the losses is very different in both cases due to the scope, method, and amount of money. However, they are both equally immoral.

Media has helped to bring awareness to the most elaborate frauds in our world. In these famous   cases, complex business structures, international transactions, and property increases stand out as the most typical characteristics. Nevertheless, in many cases, the full impact of the fraud and its consequences is impossible to calculate even with the best and most skilled forensic teams. Conversely, most of the frauds that are discovered are not reported. Due to experiencing shame and pain, the victims might not pursue prosecution against their fraudsters. Reporting fraud to the authorities and creating media awareness may prevent the perpetrators from continuing their corrosive practice and saving future potential victims from these crimes.

The so-called small frauds committed every day in several companies affect our community. When all these "small" frauds are added up, the total consequences from these events are incalculable. Perpetrators increase their fortune little by little at the expense of society. They think their behavior has a sense and explanation, and they can live in timeless anonymity with no legal consequences. Sometimes, in certain cases, they can even be admired for their hoaxes. Fraud is fraud, and it has no size. The economic consequences can be measured, but the ethics violation has no price.

Edited by Christopher Bonk

Lack of fraud education, the best opportunity for a perpetrator

Economic crimes are the virus and, in many cases, the biggest disease that a corporation can suffer from. Negligence, indifference, or irresponsibility can all be the seed that causes fraud, collusion, and corruption to develop. Regardless of the cause, in order to know the size and extent of the problem, we must face it directly. 

All of us who work in the administrative, financial, and accounting areas have the immense responsibility of protecting organizations from adverse events. However, many of us were educated solely in the fundamentals of taxes and finance where it was assumed that everyone was operating in an ethical manner; therefore, investigating the signs of economic crimes against the company were in another sphere. Nevertheless, nowadays, we have seen these crime grow rapidly. In many cases, we conclude that the lack of financial knowledge and experience in looking for the telltale signs of crime are some of the primary reasons that accentuate the losses due to fraud.

When we go to the doctor, we hope that some vital signs such as blood pressure, temperature, weight, body mass index, and others, will provide the physician with the first estimation of our health situation. Additional follow-up tests will help the doctor to better define what is happening. If the symptomatology requires it, the doctor will send us to a certain specialist to obtain a more precise diagnosis.

Like a good doctor, we as accountants and managers should forecast cases of fraud. Just as a doctor requires education and experience to help a patient, we have the responsibility to have the education and experience to prevent and detect fraud. Additionally, and in the worst case where fraud is evident, we should have the skills and tools to investigate it.

As a result, the analysis and evaluations of financial statements must be done and updated proactively. We should not expect a legal requirement or negotiation to mandate the review of all past information and the projection of the business' future. 

A good accountant or administrator uses accounting and financial information to detect which data have changed and which do not align with business expectations. In addition, a good accountant must be capable to formulate financial indicators that relate different accounts to detect inappropriate transactions. Likewise, a well-prepared accountant should be experienced in clarifying errors and verifying if there is fraud. A skilled accountant has the corporate facts in his or her head and never loses sight of them. For instance, reviewing those financial indicators on a regular basis helps to evaluate the company's behavior and fix any mistake. Hence, financial analysis and evaluation are the basic tools to find the meaning of an organization's numbers and detect those that are not aligned to the goals of the business. If necessary, a specialist in forensic accounting should be contacted to help complete a full investigation.

A perpetrator or fraudster is perfectly aware of the lack of fraud prevention. It is much more difficult to commit a fraud when there is a professional following up on the company's economic indicators and facts. A white-collar criminal loves the opportunity to commit fraud when accountants and managers are not sufficiently educated and do not have the expertise to detect abnormal situations. Fraudsters prefer companies in which professionals are highly engaged in activities that do not add value to the company and have no education about economic crimes. Consequently, fraudsters always want to help and participate in the simplest activities to hide their crimes.

Today, I invite you to reflect on our role in society and our responsibility as professionals to determine how well we are interpreting the symptoms of corporate financial chaos. It is time to evaluate our financial skills focused on the prevention of fraud through interpreting the vital signs of the organization.

Economic crimes do not let up, and the perpetrators take advantage of our weaknesses on a daily basis. Today, more than ever, expert professionals with holistic thinking are required.

Editor: Christopher Bonk

Perfil creado en Facebook Frank Baniest con las fotos de Kenneth R. Nadle, Jr.,

Perfil creado en Facebook Frank Baniest con las fotos de Kenneth R. Nadle, Jr., quien es un famoso arquitecto

Existen varios perfiles falsos con las mismas fotos en las redes sociales. Este tipo de fotos son muy comunes en varios perfiles con diferentes nombres, lugares y profesiones.

Anexo se encuentra el perfil falso

https://www.facebook.com/FrankBanies112

https://www.facebook.com/Frankbanies113

https://www.facebook.com/Frankbanies119

Por favor compartir esta información, alguien la está necesitando.

Mi misión es promover la prevención y recuperar la dignidad.

A Simple Guide for Good Virtual Love

Are you contemplating the idea of expanding your social circle through the internet? Do you have no time to meet real people, but you have decided to have more friends? Is your soul mate still lost? Have you been thinking about going to social networks to find the love of your life? Have you ventured into the online world to find a partner, but you have not decided on the second step? Or have you decided to take that next step, and now are the victim of the worst online abuse? These and more questions arise when adults decide to venture into new social networks and make two big mistakes: believing that they know everything and feeling ashamed to ask for help.

In the present globalized world, we have shortened physical distances through technology. Yet despite all the time that technology can save, our activities and routines somehow take more time. This leaves many individuals with the only option of interacting through an electronic device.

Technology has many beneficial purposes, but it has been criticized for causing great disruption in our lives. However, ultimately the individual user is responsible for the consequences of their digital actions. 

Seeking the love of our lives is a titanic task that involves time, economic resources, and passion. Technology and social networks can be allies to select and find who will be with us for a while. However, there are also dangers associated with technology. Due to the ability to hide behind a screen, a perpetrator can patiently wait to catch the next victim in his/her network of lies and useless emotions.

Here are some recommendations that I have been collecting in my research on social network fraud and especially romance fraud. The result of these investigations concluded that this type of fraud is a mental abuse with devastating economic and emotional consequences. This type of fraud is not a myth that only happens to naive individuals; anyone can be the next victim.

Unless you want to belong to the group of the most infamous extorted stars, do not risk your reputation. Never allow recordings of any type, and never accept virtual sexual proposals. The recordings of virtual intimate relationships are the main basis for blackmail or extortion. Do not trust any invitation where you must show your private parts.

One mistake that can be made is only engaging in textual conversations. Texts make it easy for imposters to remain anonymous. To avoid this danger, always talk through video and analyze how the person interacts in his / her environment. Ask the person for specific details to ensure that this is a live interaction and not a pre-recording. Be in control of the time and method of interaction. Perpetrators often make excuses about the difficulty in accessing video communications or only being able to talk at a pre-determined time. You should have the possibility of contacting the person at any time you require by different ways. 

Never give personal information about your family, friends, and people close to you. Listen very closely to what the other person is talking and writing. Write down all the details and follow up to look for inconsistencies. The perpetrator usually has the same speech, so asking for different details can help identify the validity of a person.

In the first conversations, make it clear that you know about the different fraud schemes in virtual relationships. Additionally, express you have no intention to offer gifts, send money, or manage any type of travel arrangements. The perpetrator will know from the beginning that he/she is wasting time and will abandon the conversation and the relationship soon. Avoid keeping the relationship isolated from your family or any group of friends because the perpetrator will ask for total secrecy and confidentiality in the new relationship. Telling your family about the new virtual relationship and keeping them informed about its progress will also provide an additional perspective to notice suspicious activity. 

If the person decides to travel to meet you, let him/her know about all measures of protection and care. Do not be involved in the purchase of airline tickets and hotel reservation. The perpetrator will try to take advantage of your excitement and coerce you into finding the economic resources for your early encounter. Do not send money or information about your residence and work place.

If you want to travel to meet the person, pick a place where you can speak your language, ask someone from your friends or family to go with you, and make vacation plans that go beyond the meet-up. Do not share rooms with whom you will meet, and if it is possible, stay at a different hotel. In case the perpetrator does not decide to attend the appointment, you will enjoy a well-deserved rest.

Fall in love very slowly and demonstrate your emotional intelligence by managing the virtual relationship. Your personality and good mental health are the first qualities that must be wielded in a virtual relationship. A perpetrator seeks victims with emotional problems, socially and psychologically abandoned, who require compliments and care. Be cautious of messages of deep love and passion that occur after only a few days or weeks.           

To help determine if you are talking to someone who is real, or an imposter disguised as subtle romantic details and beautiful photographic poses, seek out personal information. From the beginning, ask for their full name, birthday, and details that can refine an investigation into the identity of the person. A responsible professional will not judge you for cautiously entering into a virtual relationship and will provide you with information to take the next step.

I hope the above information help you to prevent and detect fraud in your personal life. I wish you the best of luck in finding genuine online relationships, and if in the worst case, it requires an investigation, as a professional in fraud issues I would be available to help.

Edited by Christopher Bonk

Perfil creado en Facebook David Hunt con las fotos de David H. Huntoon

Perfil creado en Facebook David Hunt con las fotos de Lieutenant General David Holmes Huntoon, Jr., quien está retirado de las fuerzas armadas de Estados Unidos.

Anexo se encuentra el perfil falso

https://www.facebook.com/profile.php?id=100018512972481

Por favor compartir esta información, alguien la está necesitando.

Mi misión es promover la prevención y recuperar la dignidad.

Scammers o estafadores en línea son aquellos individuos que a través de falsas cuentas en las redes sociales cautivan personas con falsos argumentos para robar su dinero.  La estafa es un delito económico y por ende delito precedente del lavado de activos. Sin embargo, la mayor afectación con este tipo de crímenes es la destrucción de la dignidad y la autoestima de la víctima.

Las personas que crean los perfiles son desconocidas, por lo tanto no se pueden denunciar, a menos que exista un caso concreto con una larga historia y combinación de otros crímenes. Es por ello que la publicación de los perfiles falsos y la educación constituyen un medio para evitar más víctimas.

El presente perfil corresponde a una cuenta falsa creada en Facebook. Después de hacer la investigación se concluye que las fotos que aparecen en el perfil fueron tomadas de internet para construir el falso perfil. Son fotos de otro usuario o personas públicamente expuestas como miembros de las fuerzas militares, miembros de instituciones públicas, empresarios, médicos, conferencistas entre otros.

Perfil creado en Facebook Inocanty Richard con fotos de Douglas L. Carve

Perfil creado en Facebook Inocanty Richard con las fotos de Douglas L. Carve, quien está retirado de las fuerzas armadas de Estados Unidos.

Anexo se encuentra el perfil falso

https://www.facebook.com/profile.php?id=100010262207986

Por favor compartir esta información, alguien la está necesitando.

Mi misión es promover la prevención y recuperar la diginidad.

Perfil creado en Facebook Inocanty Richard con las fotos de Douglas L. Carve, quien está retirado de las fuerzas armadas de Estados Unidos.

Anexo se encuentra el perfil falso

https://www.facebook.com/profile.php?id=100010262207986

Por favor compartir esta información, alguien la está necesitando.

Mi misión es promover la prevención y recuperar la dignidad.

Scammers o estafadores en línea son aquellos individuos que a través de falsas cuentas en las redes sociales cautivan personas con falsos argumentos para robar su dinero.  La estafa es un delito económico y por ende delito precedente del lavado de activos. Sin embargo, la mayor afectación con este tipo de crímenes es la destrucción de la dignidad y la autoestima de la víctima.

Las personas que crean los perfiles son desconocidas, por lo tanto no se pueden denunciar, a menos que exista un caso concreto con una larga historia y combinación de otros crímenes. Es por ello que la publicación de los perfiles falsos y la educación constituyen un medio para evitar más víctimas.

El presente perfil corresponde a una cuenta falsa creada en Facebook. Después de hacer la investigación se concluye que las fotos que aparecen en el perfil fueron tomadas de internet para construir el falso perfil. Son fotos de otro usuario o personas públicamente expuestas como miembros de las fuerzas militares, miembros de instituciones públicas, empresarios, médicos, conferencistas entre otros.

Perfil en Facebook: Adams Morgan con fotos de General Mark A. Welsh

Perfil en Facebook: Adams Morgan con las fotos de GENERAL MARK A. WELSH III > U.S. Air Force

Perfil en Facebook: https://www.facebook.com/abelysamuel.intelegen

Scammers o estafadores en línea son aquellos individuos que a través de falsas cuentas en las redes sociales cautivan personas para con falsos argumentos para robar dinero.
Las personas que crean los perfiles no son conocidas, por lo tanto no se pueden denunciar, a menos que exista un caso concreto con una larga historia y combinación de otros crímenes. Es por ello que la publicación de los perfiles falsos y la educación constituyen un medio para evitar más víctimas.
Falsa cuenta en Facebook creada con fotos de otro usuario o personas públicamente expuestas como miembros de las fuerzas militares, miembros de instituciones públicas, empresarios, conferencistas entre otros. 

La estafa es un delito económico y por ende delito precedente del lavado de activos. Sin embargo, la mayor afectación con este tipo de crímenes es la destrucción de la dignidad y autoestima.

El presente perfil corresponde a una cuenta falsa creada en Facebook. Después de hacer la investigación se concluye que las fotos que aparecen en el perfil fueron tomadas de internet para construir el falso perfil.

The Eccentric Fascination for Fraud

Different investigators have researched many tendencies that characterized the behavior of the human being. For instance, forensic psychologists have studied the individuals that take part in the underground world of deception with the goal to clarify why the fraudulent trends exert a strange preoccupation in the human being.

The fraud triangle theory describes the three elements that make up a fraud: opportunity, rationalization and pressure. Any combination of them is the seeds of the unfortunate tortuous business experiences to individuals, small businesses, corporations, and government. However, these three elements are not exclusively responsible for this type of unacceptable behavior because any illegal activity needs other ingredients such as disloyalty, intention, knowledge, and destructive conduct.

These characteristics are unique to individuals, as each person has their own moral compass, regardless of profession, education, or social economic class. Ten percent of the population has the moral conviction to never perform a fraudulent act despite the circumstances of incentive, opportunity, or rationalization. On the opposite side, 10% of the population is constantly searching for the opportunity to seek an advantage and perpetrate any type of illegal act.

Thus, the remaining 80% of people may or may not be involved in illegal activities depending on their unique circumstance. For example, a sales person who fails to meet their goal might falsify small expenses in their expense report to cover up their shortcoming. This person falls under the 80% because he or she feels this act of fraud is rationalized to avoid punishment or receive a bonus, and will not face any consequences. If they had already met their goal, they would more than likely have submitted a clean expense report.

Those that choose to commit fraud constantly seek how they can take the best advantage of each situation evading the barriers of trust and dignity of others. These small groups of people, who live by and for fraud, enjoy the adrenaline rush by obtaining their illegal profits and dark deeds. They are hiding in many companies and camouflaging themselves throughout the corporation.

Some of these chameleons can be infinitely loyal and captivating to their victims to the point that their responsibility to family, friends, and reputation take a second seat. They operate without any remorse and ignore the possible negative impact that their behavior can generate. Unfortunately, they have no realization of their consequences until termination or legal prosecution.

Fraudsters share many personality traits that on the surface appear to be normal. Some can be bold, but others are simple and seemingly humble of heart. They can be hidden behind any religious or political organizations. In most cases, perpetrators are camouflaged in absolute loyalty and work ethics, but their egos convince them that their crimes will never be discovered. However, the fascination of committing a fraud is present every day. Ultimately, confidence and greed will be their downfall.

The fraud prevention program generally must focus on the protection of assets and reputation of the business. Not enough stress can be placed on the goal of the program to create a culture of inclusive corporate environment with zero tolerance to any individual who commits fraud or money laundering.

Therefore, prevention programs are the compass that helps large and small businesses follow governance guidelines with complete transparency. A strong prevention program it is the best method of deterrence to any perpetrator. Successful and transparent corporations admit the perpetuity of the businesses is built through an environment of strong ethics.