Billing schemes are among the most common types of employee fraud. One of the most lucrative billing schemes involves the creation of fictitious vendors from whom the dishonest employee pretends to purchase goods or services and creates payments.
This free cheat sheet offers 16 things to look for when trying to detect fictitious vendors when reviewing your organization’s accounts payable records.
- Looking for vendors whose mailing addresses are PO boxes.
- Looking for invoices with even dollar amounts or no taxes added.
- Looking for vendors who are also health or life beneficiaries of an employee.
- …and more!