Fraud Examination-Key Term

Chapter 1 | | Association of Certified Fraud Examiners (ACFE) | An international organization of approximately 50,000 members based in Austin, Texas, dedicated to fighting fraud and white-collar crime. | Civil law | The body of law that provides remedies for violation of private rights—deals with rights and duties between individuals. | Criminal law | The branch of law that deals with offenses of a public nature or against society. | Customer fraud | Customers not paying for goods purchased, getting something for nothing, or deceiving organizations into giving them something they should not have. | Employee embezzlement | Employees deceiving their employers by taking company assets. | Evidential matter | The underlying data and all corroborating information available about a fraud. | Financial statement | Reports such as the balance sheet, income statement, and statement of cash flows that summarize the financial status and results of operations of a business entity. | Fraud | A generic term that embraces all the multifarious means that human ingenuity can devise, which are resorted to by one individual, to get an advantage over another by false representations. No definite and invariable rule can be laid down as a general proposition in defining fraud, as it includes surprise, trickery, cunning, and unfair ways by that another is cheated. The only boundaries defining it are those that limit human knavery. | Investment scam | Any fraud that is related to stocks, bonds, commodities, limited partnerships, real estate, or other types of investments such as the selling of fraudulent and worthless investments to unsuspecting investors. | Jurisdiction | The limit or territory over which an organization has authority. | Management fraud | Deception perpetrated by an organization’s top management through the manipulation of financial statement amounts or disclosures. | Miscellaneous fraud | Deception that doesn’t fall into any of the other five