Policies and Procedures to Prevent Fraud and Embezzlement: Guidance, Internal Controls, and Investigation.
Policies and Procedures Policies and Procedures are a set of documents that describe an organization's policies for operation and the procedures necessary to fulfill the policies. They are often initiated because of some external requirement, such as environmental compliance or other governmental to Prevent Fraud and Embezzlement embezzlement, wrongful use, for one's own selfish ends, of the property of another when that property has been legally entrusted to one. Such an act was not larceny at common law because larceny was committed only when property was acquired by a "felonious taking," i. : Guidance, Internal Controls, and Investigation By Edward J. McMillan 308 pages; softcover John Wiley John Wiley may refer to:
Nearly every enterprise is a potential victim of fraud, and CPAs well-versed in the scope of fraudulent activities can help businesses prepare for the worst scenarios. Management and auditors will find this manual helpful in evaluating internal control systems to expose weaknesses, take corrective action A corrective action is a change implemented to address a weakness identified in a management system. Normally corrective actions are instigated in response to a customer complaint, abnormal levels if internal nonconformity, nonconformities identified during an internal audit or and avert fraud.
Author Edward J. McMillan, a fraud examiner and CPA (Computer Press Association, Landing, NJ) An earlier membership organization founded in 1983 that promoted excellence in computer journalism. Its annual awards honored outstanding examples in print, broadcast and electronic media. The CPA disbanded in 2000. , advises a victimized company first to contact an independent CPA firm to assist with the investigation, insurance claims and going to trial, if necessary. Before a company implements the policies and procedures he discusses, an attorney should review them for compliance with federal, state and local laws.
In a workbook format, this publication lists the methods a company should employ to avoid embezzlement and offers sample forms for confidentiality agreements, conflicts of interest and check and wire transfer signatures, among others. Auditors complying with the requirements of Statement on Auditing Standards no. 99, Consideration of Fraud in a Financial Statement Audit, should find helpful the nearly 130 pages of illustrative policies and procedures in the section titled "Internal Control Analysis, Documentation and Recommendations"; the material also is available on a companion Web site. Additional sections provide case studies of actual embezzlements, profiles of the perpetrators and detailed data on identity theft issues. The fraud glossary is reprinted from the Association of Certified Fraud Examiners Established in 1988 the Association of Certified Fraud Examiners is the professional organization that governs professional fraud examiners. Its activities include producing fraud information, tools and training. .
--Barbara J. Shildneck