As per the explanation to section 447 of Indian Companies Act 2013, fraud includes any act, omission, concealment of any fact or abuse of position committed by any person or any other person with the connivance in any manner, with intent to deceive, to gain undue advantage from, or to injure the interests of, the company or its shareholders or its creditors or any other person, whether or not there is any wrongful gain or wrongful loss.
- There are various fraud types, however, we can summarize them into six buckets for ease of reference
- Unethical conduct or behaviour such as theft, robbery, deception/ cheating, breach of trust, etc
- Fraudulent financial reporting (misappropriation of assets, revenue & misapplication of accounting policies)
- Bribery & corruption
- Money laundering
- Computer crimes & extortion
- Conflicts of interest – When a fraudster uses his/her influence for personal gains detrimental to the company.
2020 Global Study on Fraud
THE ACFE REPORT ON OCCUPATIONAL FRAUDS – 11th edition of the largest global study on occupational fraud released by the ACFE available on www.acfe.com contains 2,504 real cases of occupational fraud, data from 125 countries, 23 major industry categories included, explores the fraud costs, schemes, victims and perpetrators of fraud.
Fraud Dictionary
It is difficult for lay man to understand jargons and terminology associated with the subject of Frauds. Fraud.net has prepared an exhaustive list of terms associated with the subject of Fraud. Learn about all the Fraud jargons and meanings from