ACFE Assembles European Anti-Fraud Committee; Bulgarian Dignitaries Named to Council on Occupational Fraud.

Business Editors

AUSTIN, Texas--(BUSINESS WIRE)--Oct. 7, 2003

Recognizing the increasingly prominent challenge of fraud globally, the Association of Certified Fraud Examiners (ACFE), the world's largest anti-fraud organization, announced today the formation of the Bulgarian Council on Occupational Fraud, (BCOF) a blue-ribbon committee that will become a member of the European Council on Occupational Fraud. The BCOF is a joint effort between the public and private sectors to study the problem of fraud and to make recommendations on how to curb its enormous economic threat.

Based on findings in the Global Economic Crime Survey 2003 by PricewaterhouseCoopers, 37% of European companies are reporting an increase in economic crime. Occupational fraud, also known as corporate fraud, management fraud or employee fraud, costs companies around the world an average of US$2,199,930 and growing. According to the ACFE's Report to the Nation on Occupational Fraud (U.S.), also known as the Wells Report, the American economy lost $600 billion last year to the problem.

Those named to the Bulgarian Council include: Mr. Radoslav Bozadziev, Deputy Minister of The Ministry of Economy, Mrs. Daniela Petrova, CPA, Member of the Managing Board of The Institute of CPA, Bulgaria; Mr. Bisser Petkov, Deputy Chairman of The Financial Supervision Commission, Head of "Social Insurance Supervision" Division; Mr. Valeri Pavlov, Chairman of The Chamber of Internal Auditors of Bulgaria; Mr. Bojko Najdenov, Prosecutor of The Supreme Cassation Prosecutor Office, Mr. Hristo Mavrudiev, CPA Proprietor of The Sofia Financial Accounting Company and Lecturer of Accounting and Mrs. Yanita Toncheva, Lawyer, Proprietor of Modus Consult; Mr. Valeri Alexiev, Procurator of DZI Plc.; Mrs. Lydia Yordanova Director of The National Center for Studies of Public Opinion at The National Assembly and Mr. Nikolaj Dzurkovski, Judge in The Sofia District Court.

Dr. Dimiter Dinev, Associate Professor in the Department "Financial Control" at The University of National and International Economy, named as the ACFE's Bulgarian representative, was instrumental in organizing the BCOF. He explains, "Bulgaria is pleased to participate in this worthwhile project. As our economy continues to grow, so will the threat of fraud from within. It is therefore important that we take proactive measures by studying this issue from different perspectives."

In addition to Bulgaria, other national councils are currently being formed in the United Kingdom, the Czech Republic, Poland, Switzerland, Denmark, Germany and The Netherlands. Additional European nations will be invited to join. The council members, representing industry segments ranging from accounting to law enforcement, will be able to provide a unique and unparalleled approach to the detection and deterrence of fraud. The BCOF will name a representative to the joint European Council that will meet periodically to make high-level policy recommendations.

ACFE founder and Chairman of the Board, Joseph T. Wells, CFE, CPA, of Austin, Texas, USA, will be traveling to Sofia Oct. 11, 2003 for the BCOF's organizational meeting. "Despite recent multi-billion dollar accounting frauds in the United States, fraud is a global problem," explains Wells. "But by working together toward a common goal, I am confident that we can make inroads."

Wells is one of the world's foremost experts on fraud prevention and detection. A former special agent of the U.S. Federal Bureau of Investigation, he is the author of six books and scores of articles and training programs on fraud. Wells is featured frequently in the national media, including the Wall Street Journal, the New York Times, Forbes Magazine, ABC News' 20/20, Nightline, and 60 Minutes. For the past six years in a row, Wells has been named to Accounting Today magazine's annual list of the "Top 100 Most Influential People" in accounting. In addition to his duties with the ACFE, he is a professor at the University of Texas at Austin and in 2002, the American Accounting Association named Wells the Accounting Education Innovator of the Year.

The BCOF organizational meeting will be held on Oct. 11, 2003 at the Sheraton Sofia Hotel Balkan. A press conference will be held at 12:00, and the media is invited to attend. Mr. Tomas Peebles, legal attache in the US Embassy to Bulgaria, is expected to attend.

About the ACFE

The Association of Certified Fraud Examiners is a global, professional organization dedicated to fighting fraud and white-collar crime, with 28,000 members in over 100 countries. Since 1988, the ACFE has been a major resource for fraud information and training. The Certified Fraud Examiner program is an internationally recognized accrediting process for individuals who possess the specialized skills required to detect, investigate, and deter fraud. For more information about the ACFE visit www.cfenet.com.