Which Anti-Fraud Controls Actually Help Detect Fraud?

The newly released 2016 Report to the Nations on Occupational Fraud and Abuse issued by the Association of Certified Fraud Examiners presents the top anti-fraud controls reported in fraud cases.

Some of the listed controls are deterrents, such as codes of conduct or anti-fraud policies. Others are detection methods.

I compared anti-fraud controls to initial detection methods from the same report and found that control measures were responsible for 73 percent of detections. This included the three most common methods of detecting occupational fraud:  hotlines, internal audit and management review.

Frequency of Anti-Fraud Controls – United States

A notable observation from this comparison is that barely half the entities used a hotline as an anti-fraud control, yet a hotline is cited as the most common way fraud is detected—more than twice as common as internal audit, the next most frequent detection method.

The data strongly suggests that a hotline is the best weapon in your organization’s anti-fraud arsenal. Do you have one in place?

If not, BKD can help you provide a confidential way for employees and vendors to report suspicious activity as a part of your company’s anti-fraud program. Learn more about IntegraReport.


Julia is a director in BKD’s Forensics & Valuation Services division. She focuses on forensic accounting, fraud investigation, litigation support services and business valuation. With nearly 20 years of public accounting experience, Julia has gained a substantial background in both audit and tax services.

She has extensive experience in forensic services and litigation support. She has successfully worked with complex risk assessments and public corruption investigations, misappropriation of assets and fraudulent financial reports in a variety of industries, including health care, manufacturing, transportation, real estate, IT consulting, government and not-for-profit. Julia performs valuations for transactions, litigation, restructuring, marital dissolutions and income tax-related purposes.

Julia Mast – who has written posts on BKD Forensics.

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