Fraud Prevention | Simfotix
Fraud Prevention

Fraud Prevention

This Fraud Prevention & Investigation training will empower you to plug the holes in your Fraud & Corruption Prevention policies by benchmarking against the latest developments in strategies and techniques and by sharing new initiatives. You will learn to protect your organization with knowledge of Fraud Trends, how to formulate a fraud prevention strategy and to identify vulnerable areas of risk. This program will also elaborate how to recognize potential offenders, minimize the effects of fraud in your company, investigate and draw up watertight cases, successfully navigate the legislative landscape and formulate an effective whistle blowing strategy. This workshop will also help to learn why people commit fraud, how to identify fraud risks and establish and anti-fraud culture.
Course Outline - Day One

Introduction of presenter and participants. Overview of the program timetable and the contents.

Defining fraud

Recap / reminder about what fraud is, and how participants themselves define fraud? What examples have they encountered in their current or previous roles and what lessons were learnt?

The emphasis will be on openness, and participants will be urged to share cases and examples that they have experienced or know about for the benefit of all attendees. A series of relevant and recent examples of fraud will be discussed and tailored to the business sectors from which confirmed participants are drawn.

Why fraud occurs?

Overview of the drivers of fraud and other business misconduct. We will reflect on some of the examples given earlier. Were causes identified? What could have been done better to deter fraud? Why do people often turn a “blind eye” when they know there’s a problem?
To what extent does culture and the environment and tone set by local and organization management affect the risk that fraud may occur and the timeliness of detection.

Group Exercise

Group session. We will look at Cressey’s concept of the

Fraud Triangle – the idea that fraud happens and continues through a combination of pressure / opportunity / rationalization. In the exercise, participants will break into three groups to assess examples of each of the three elements of the triangle and whether these issues may be seen in their organizations? Each group then presents their findings for peer review and analysis.

Fraud detection – the warning signs

We look at typical warning signs that may be indicators of fraud whether by an individual or by a business unit or team. How can data and trends in business performance be analyzed to detect possible fraud? What are the latest trends in detection? What tools are participants using in their organizations and are they effective?

Fraud risk assessment

This session sees participants engage in a group exercise to assess fraud risk and what is currently in place to manage or prevent fraud. Participants will select a typical business process or function and disassemble it into its component parts. They will then identify fraud risks, prioritize them in terms of likelihood and potential impact to the business and present their findings. Each group will then present their findings for review by the other participants. We will look at how to identify weaknesses and gaps in current anti-fraud controls and an organization can implement more effective anti-fraud measures.

Fraud prevention

What steps can we one to prevent fraud? What processes and procedures already exist in the organization to manage fraud risk?
What additional steps can be employed?
We will look at anti-fraud policies, training and the concept of whistleblowing or hotlines – do participants use these methods of prevention? How could they be improved? How can they be introduced?

Wrap up of day one

Brief question and answer session at the end of day one. A chance for participants to discuss what they have learnt, share ideas and their plans and expected strategies. We can use PostItTM notes if anyone wants to maintain confidentiality or anonymity.

Course Outline - Day Two
Welcome to Day Two

We will remind ourselves of the previous day’s discussions and exercises. Have any ideas or thoughts emerged overnight. A chance for participants to speak, share their thoughts, initiatives etc.

Anti-fraud Controls

Based on the previous fraud risk assessment group exercise, we will have identified a series of typical fraud risks and assessed what sort of controls should be in place. In this session, and working in yesterday’s groups, we will look more closely at the control environment.

What works, what doesn’t? How are controls typically circumvented and why? What can be done to prevent this? How much of a role does the business culture play in the effectiveness and application of controls? We will also look at the question of responsibilities – is preventing and detecting fraud solely the realm of the internal auditors as many think?

Fraud Response Planning

What is a fraud response plan? How does it fit with your overall anti-fraud framework? What are the key components of a fraud response plan? Do you already have elements in place?

How to ensure a consistent response to each incident? Who should respond to and manage incidents?

Investigations – Best Practices

We will consider the need for sound investigation objectives

– what is the purpose of the investigation? What is evidence and how does one you identify and protect it? How can it be used to support an investigation?

Running an investigation – who will be in the team. Maintaining confidentiality? What is “evidence management” and the “chain of custody”?

Is there a need to take action such as precautionary suspensions and / or suspending or cutting off access to IT systems and physical locations? How do you safeguard the business when an allegation emerges?

Investigative – Questions & Discussions

An opportunity for questions about investigations techniques, planning, practice, objectives etc.

Interviewing – a primer

An introductory session on investigative interviewing – a look at one suggested approach used by British Law Enforcement – the PEACE system Lots of tips and ideas for questioning witnesses and suspects – explaining the purpose of interviews, planning an interview, the use of digital recording, standard protocols, the use of various forms of questions, avoiding oppressive or threatening interviews.

Role plays – interviews

Participants will have a chance to practice some of these interview techniques and to also for fun, exhibit and play around with some bad practices too. This session is designed to be fun but with a serious point about how interviews can go badly wrong!

Summary & Participants Action Plan

Discussion summarizing the two-day training. An opportunity to ask any further questions and to begin to assess what steps each participant should take when they return to their business?

What support is needed from your business management? What resources will participants need to implement the lessons they have learnt? Any other thoughts on the training.

Who Should Attend
Chief Information Officers, Risk Officers,Risk Advisors Risk Managers, Internal Auditors, Finance Managers Chief Audit Executives, Chief Finance Officers, Finance Directors, Financial Risk Managers, Banking and Finance professionals and other professionals
Course Facilitator
Danny McLaughlin

Danny McLaughlin has more than 23 years’ experience of working in the field of fraud and corruption investigation and prevention. His first role was for an anti-corruption unit in the UK Civil Service. He joined KPMG Forensic in

London in 1996 and worked with that firm’s largest multinational clients on fraud investigations, fraud prevention, and antitrust related work worldwide. After a short spell on secondment with KPMG Forensic in Dubai in early 2010, Danny spent just over a year with EY’s

Forensic practice in the UAE. In late 2011, Danny took the opportunity to create and lead as a Partner, a new forensic investigations team from scratch at Grant Thornton UAE. During his four years based in Dubai, Danny conducted forensic engagements not only in the Emirates but also for clients in Saudi Arabia, Algeria Bahrain and Turkey. During his career, Danny has worked on forensic projects in Egypt and Tunisia as well as in the Far East, Latin America, the US, Africa and the Caribbean. His experience encompasses work with clients in the oil and gas, pharmaceuticals, manufacturing, media, telecoms, chemicals, retail and automotive sectors.

Having returning to London in late 2014, Danny worked as a freelance forensic consultant undertaking investigation, anti-corruption and training projects in Eastern Europe, the

Middle East and most recently in South East Asia. He spent five months from early 2015 in the Philippines helping a client to progress a complex internal investigation into fraud and corruption in a support services function. In late 2015 he worked with this client on a project to improve their programme of in-country anti-corruption reviews.