Introduction - Chapter 1

One of the largest audit and accountancy partnerships in the world that was involved in the Enron Scandal.

• Kenneth Lay

• Arthur Andersen

• Andrew Fastow

One of the fraud triangle, which involves direct access to assets and/or access to information that controls assets.

• Situational Pressure

• Opportunity

• Ethics

Fraud Scheme that uses (or threat) of force by an individual or organization to obtain something of value.

• Bribery

• Illegal Gratuities

• Conflicts of Interest

• Economic Extortion

Fraud scheme in which cash receipts are stolen from an organization after they have been recorded in the org. books

• Skimming

• Cash Larceny

• Check Tampering

The benefit should be distributed fairly to those who share the risks. Those who do not benefit should not carry the burden.

• Justice

• Minimize risk

• Proportionality

Is the analysis of the nature and social impact of computer technology and the corresponding formulation of policies.

• Equity of Access

• Environmental Issues

• Computer Ethics

• Proportionality

False representation of a material fact made by one party to other party w/ intent to deceive and induce the other party

• False Representation

• Fraud

• Material fact

• Material Error

Typically involves materially misstating financial data and internal reports to gain additional compensation, etc.

• Top management fraud

• Lower management fraud