Foreign Corrupt Practices Act

Corporate Fraud Discovery: Will You Please be Quiet, Please?

Dr. Michael-A. Leuthner
Dr. Michael-A. Leuthner

What’s about the communication with the public if you identified fraudulent activities within your company?

Following the first article of this series, which described the human factor in fraud, the second article described the different kinds of fraud that can be found in a business context. In the third article it was explained how to deal with a freshly discovered fraud in an organization and what specific steps should be taken next. The fourth article showed which simple but highly effective measures can be taken to deter occupational fraud. The fifth article described the reasons for the reduced motivation of a company to inform customers, creditors and shareholders when fraud was discovered within the company. But a concealment of fraud against the stakeholders could have negative consequences.