Triangle Fraud Research Paper

1. The three aspects of fraud - Perceived pressure, Rationalization, and Opportunity were present in the CIT case as follows:

card fraud. In reference to money Laundering we will the complex process of how criminals

On August 25th 2015 Co-Founder of OXYwater Preston J. Harrison and his Wife Lovena Harrison were sentenced for Wire Fraud, Money Laundering and Tax Crimes. (Investor Claims, August 2015). I chose this case because it has many different types of fraud, including wire fraud, money laundering, and tax fraud, conspiracy to commit fraud, concealment of fraud, theft and misappropriation of funds. What makes this case so interesting is that the husband and wife co-owners of OXYwater are not the only criminals. Their co-conspirator was Thomas E. Jackson;

It is important to first gain an understanding of the various types of fraud, in order to aid understanding in regards to the prevention of fraudulent activity. This paper begins with a review of the definition of financial fraud, and identification of the different fraud types. Further, included is an examination of what motivates individuals to commit fraud, including an identification of some of the method in which people commit fraud. A discussion of the importance of the fraud triangle, and how rationalization contributes to fraud is a key area of focus. Finally, there is an examination of some controls that prevent and detect fraudulent behavior, including the value and importance of understanding the nature of fraud for

In this chapters controversial issue, the author looks at if white-collar criminals are under prosecuted. Across the United States there a number of crimes that are committed which are considered white collar. One example is when Bernard Madoff defrauded investors of 50 billion dollars in the largest Ponzi Scheme that has ever happened in American History. Another example is the John Rigas and his son were convicted of fraud when they used millions of corporate dollars for personal use. The term white-collar is used when a person of higher economic status commits a crime. However, the public remains relatively indifferent to white-collar crimes. There are allegations that white-collar crimes are under prosecuted. At the local level, offices

SUPPORT DOCUMENTS: One Page USPS Correspondence, One Pay Pal Correspondence, One Page Victoria`s Secret Correspondence, One Page Capital One Correspondence, One Page Linda Sapp`s Notes, One Page PSO Affidavit Of Identity Theft and One Page Photocopy of Linda Sapp`s Florida Driver License.

This is opposed to strain theory which argues that social and personal strain “force the hand” of individuals and cause them to commit crimes. However, the weakness of this theory in regards to white-collar crime is the question of why those who've already gained financial success wish to seek more of it through illegitimate ways, particularly if they earned their initial success in a legal manner.

In this day and age, a corporation, family, or individual always has a potential risk of encountering fraud within their money supply. On average, fraud and abuse costs U.S. organizations more than $400 billion annually (Federal Bureau Investigation, 2010). Many may think that white collared crime is only money laundering or stealing, but that is only two out of the sum that countless culprits get away with. The term “white-collar crime,” originally coined in 1939 is synonymous with the full range of frauds committed by business and government professionals (Federal Bureau Investigation, 2010). These frauds include anything from bankruptcy fraud, money laundering, identity theft, corporate fraud to a wide number of threats all circling

Crimes are perceived to be committed by those in the lower income brackets that are in desperate needs financially. History, however, has been shown that those who are financially wealthy take advantage of opportunities that could help further destroy the lower and middle class as well by using bankruptcy fraud. The average white collar worker has more resources and power to deprive people, especially when it comes to the basic necessities in life. The basic need of having good credit is the dream everyone wants in order to be financially strong. Since the use of bankruptcy fraud has become notorious in today’s society, gaining proper knowledge with regards to the effects and penalties of the crime helps build awareness and deter

The term is used to describe crimes committed by individuals of high status and social reputation during the course of their occupation (Sutherland 1940, 2). Since no discrete group of offences can be readily recognised as a ‘white-collar crime’, there is a difficulty in identifying the subject matter of this crime (Freiberg 2000, 2), producing ambiguity in the understanding of the crime and its representation in the media. This form of crime has remained a complex phenomenon for social scientists seeking to understand the reasoning behind one’s deviant behaviour (Stephenson-Burton 1995, 133), as the crime is often driven by financial greed instead of desperation. Additionally, compared to common law crimes, the area of criminal law regulating white-collar offenders is a new phenomenon that requires progressive developments as legislators respond to new threats to public safety and economic security (Moohr 2015, 120-121), hence people are less likely to be familiar of this realm of crime. The examples of white-collar offences range from embezzlement, fraud, forgery, violations against securities law and money laundering (Freiberg 2000, 2). For the purpose of this essay’s analysis, the examples are narrowed down to focus on offences such as fraud and business

For crime such as fraud, opportunities in the workplace structure play a role in perpetuation of crime (Wells 2001, 90). In The Wolf, the nature of the stock market and organisation of businesses that allow opportunistic behaviours and low detections were not addressed. Furthermore, white-collar crime such as tax fraud persists because of the narrow distinction of what is legal and illegal under the law (Croall 2001, 30). The film narrative has ignored the structural problem of the ineffectiveness of legislative powers to regulate white-collar crimes. Similarly, the film Catch Me If You Can (2002) is an example of white-collar crime depiction in popular culture, where the dominant reading is based on the individualistic portrayal of the offender. This representation presents the offender as the hero of the film and produced limited discussion of the victims and harm caused by the character’s deceptions (Holmes 2017). Public discourse around the film obscures the victims’ perspective, as it disregards the responses required to address the structural problems of white-collar crime. The absence of representation of the structural conditions that permit business misconduct to flourish may result in the perception that crime is purely caused by an individual’s greed. Consequently, the agentic portrayal of the offender found in the narrative of the film is problematic as the public are misinformed about the structural embeddedness and causations of white-collar crime. This subsequently leads to a lack of response from the public and criminal justice to prevent this area of

“The first leg of the fraud triangle represents pressure. This is what motivates the crime in the first place. The individual

Fraud is defined as a deliberate misrepresentation that causes a person or business to suffer damages, often in the form of monetary losses through deception or concealment. And Occupational Fraud as defined by the ACFE is the use of one’s occupation for personal enrichment through the deliberate misuse or misapplication of the employing organization’s resources or assets. Traditional fraud triangle theory by Donald Cressey explains that propensity of fraud occurring in an organization lies on three critical elements which are Pressure, Opportunity, and Rationalization.

Essentially, all three elements of the fraud triangle must be present for fraud to be committed: pressure, opportunity, and rationalization. Additionally, nine factors provided the atmosphere for the perfect fraud storm of 2000 through 2002. The nine factors included: economy, moral values, incentives, expectations, debt, accounting rules, auditor dependence, greed, and educator failures (Albrecht et al., 2012). When combined with the elements of the fraud triangle these factors enabled organizations such as Enron and WorldCom to commit the fraudulent activities that resulted in this perfect storm.

A business can not work out without an account system, which includes internal. Internal controls are used by companies to make sure financial information is accurate and valid. Strong internal controls are signs of a financially healthy company and protect the company’s integrity. Strong internal controls can also increase a company’s profitability. There are several types of internal controls that companies used to protect themselves such as: Segregation of duties, asset purchases, supervisor review, internal audits and adequate documents and records. This paper will discuss several topics from a case study about And the Fraud