Corporate Fraud

Fact: Barings was an excellent company, with professional managers. Their careers were devastated by fraud. How many other managers are now in the same position without knowing it? Fact: The average company loses between 2 per cent and 5 per cent of its turnover as a result of dishonesty. When Mike Comer’s book first appeared it quickly established itself worldwide as the standard work in its field. This third edition is a radical revision reflecting the world of EDI, electronic commerce, derivatives, computerization, empowerment, downsizing and other recent developments. Ironically, many of these have exposed companies to an alarming range of new risks. With the help of real-life case histories the author identifies the main types of fraud, the circumstances in which they occur and the telltale signs that give them away. He examines internal control systems and the attitudes and practices that allow fraud to flourish. He explains in detail how fraud can be prevented and detected, and shows why it is that many fashionable management techniques can also potentially pave the way to corporate disaster.

Contents: List of figures; List of tables; Foreword. Part 1: The Nature of Corporate Fraud: Attitudes and misconceptions; Categories and theories; How fraud is concealed; Theft and conversion; High-risk areas I; High-risk areas II; High-risk areas III; Computer-related fraud. Part 2: Detecting Corporate Fraud: Critical Point Auditing; Auditing purchases and payments; Auditing other functions. Part 3: Investigating Corporate Fraud: Background to investigation; The skills of interviewing; A framework for investigating. Part 4: Controlling Corporate Fraud: Principles and policies; Problems with personnel; Company-wide control. Appendices; Audit committee terms of reference; Specimen security policy; Control tools and glossary; Information classification; Index.

Michael J. Comer, who is Non-Executive Chairman of Maxima Group Plc, has been a fraud investigator for more than 40 years and has handled thousands of cases throughout the world, mostly successfully and without publicity. He has been commended at the Central Criminal Court, Old Bailey and at other courts in Europe and the USA for his skills, and told off for a wicked sense of humour.