|
FRAUD ALERT
Occupational Fraud - The Latest Statistics
September 2008
The annual cost of occupational fraud schemes on businesses, healthcare
systems, and other types of organizations is substantial. The Association
of Certified Fraud Examiners' recently released its 2008 Report to
the Nation on Occupational Fraud & Abuse, which identifies the
types of schemes being used to defraud organizations. The 2008 survey
is based on data compiled from 959 actual fraud cases that occurred
between January 2006 and February 2008.
The following are some of the highlights:
- US organizations
lose approximately 7% of their revenue each year to various types
of fraud schemes. This equates to a staggering $994 billion annually.
- Asset misappropriations are the most
common types of occupational fraud schemes. Common examples
included: falsifying invoices, inappropriate payroll disbursements,
and skimming.
- The median loss was $175,000. However, more than 60% of the fraud
schemes resulted in losses of at least $100,000 and more than a fourth
involved losses of at least $1 million.
- Smaller businesses (those with less than 100 employees) suffer bigger
losses. The median loss for small businesses was $200,000 (as compared
to the $175,000 above). Although most small businesses have fewer
resources to devote to fraud prevention, the financial impact from
such a loss to these organizations can be devastating.
- Fraud schemes are detected more frequently by tips than by any other
means. Therefore, it is important to have appropriate systems and
procedures in place that allow employees to confidentially report
suspicious activity.
- Most fraudsters are first-time offenders and most work in the accounting
department or are upper management. Over one third of fraudsters
in the 2008 survey were between the ages of 41 and 50.
Occupational fraud schemes are difficult to detect because they
are generally committed by trusted employees in positions of authority
and often involve collusion with others. However, fraud risk can
be managed with a properly designed fraud prevention program that
is embraced and enforced by top management.
For more information about occupational fraud or to find out how
ValuePoint Consulting Group can assist your organization with preventing
and detecting fraud, contact Jim Lloyd or Carol Carden at (866) 270-0544.
ValuePoint becomes a Specialized
Practice of PYA
January 2008
KNOXVILLE, TN –Jim Lloyd, Managing Director of ValuePoint Consulting
Group (ValuePoint), and Ed Pershing, President of Pershing
Yoakley & Associates (PYA) are pleased to announce that ValuePoint merged into and became
a specialized practice of PYA on January 1, 2008.
ValuePoint is a consulting firm that provides valuation and related
dispute resolution services to healthcare and various other business
organizations across the United States. PYA is a certified public
accounting and healthcare consulting firm that provides audit, tax
and consulting services to a broad spectrum of healthcare and other
business organizations from its offices in Knoxville, Atlanta, and
Tampa Bay. PYA, which was recently recognized as one of the nation’s
top 20 healthcare consulting firms by Modern Healthcare, provides
Fair Market Value (FMV) compensation analysis to many healthcare
organizations. The combination of ValuePoint’s valuation expertise
with PYA’s FMV compensation experience is expected to be a
significant benefit to the combined firm’s clients.
Effective with the merger, all ValuePoint professionals joined PYA’s
consulting practice. ValuePoint’s primary phone number is 865-558-8118
and each employee’s email address remains the same. However,
ValuePoint’s Knoxville office has relocated to PYA’s
corporate headquarters at One Perkins Place, 525 Portland Street,
Knoxville, TN 37919.
We are extremely excited about the merger and believe the combination
of ValuePoint and PYA strengthens our ability to meet the complex
and demanding needs of our clients. As we look
forward to continue working with you in 2008 and beyond, we would
like to take this opportunity to wish each of you a happy and prosperous
New Year!
Carol Carden Named to AICPA Business Valuation Committee
August 2007
KNOXVILLE, TN – Carol W. Carden, a director of Valuepoint
Consulting Group, a business valuation and dispute resolution firm
located in Knoxville, Tennessee, has been appointed to the American
Institute of Certified Public Accountants’ Business
Valuation Committee.
The committee makes available technical and
educational guidelines to CPAs in public practice or in the private
sector who:
- provide or seek to provide valuation services,
- work with the Accredited in Business Valuation (ABV) Credential
Committee to manage the ABV Credential Program and raise the
visibility of the credential to practitioners and the public
through ongoing communications efforts,
- monitor subjects that impact a CPA’s
ability to provide valuation services (e.g. competition, legislation),
- maintain the quality of the ABV Program, and
- identify, create and maintain high
quality educational offerings that provide credentialed and
non-credentialed CPAs with timely and up-to-date technical
guidance.
In her role as a Valuepoint Consulting Group director, Carol focuses
on business valuation, particularly in
the area of healthcare. She is a CPA and has earned the designation
of Accredited in Business Valuation (ABV) from the AICPA, Accredited
Senior Appraiser (ASA) from the American Society of Appaisers, and
Certified Fraud Examiner (CFE) from the Association of Certified
Fraud Examiners.
Lloyd appointed to
the American Society of Appraisers’ Business Valuation Board
of Examiners
March 2007
KNOXVILLE, TN - ValuePoint Consulting Group, a business valuation
and dispute resolution firm located in Knoxville, Tennessee is pleased
to announce that Jim Lloyd, CPA/ABV, ASA, CFE, was recently appointed
to the American Society of Appraisers’ Business Valuation Board
of Examiners. The Board of Examiners is responsible for determining
whether candidates have satisfied the American Society of Appraiser’s
rigorous business valuation certification. This appointment is very
prestigious and is in recognition the respect Jim has garnered within
the business valuation profession.
Jim is the Managing Director of ValuePoint and
focuses on business valuation and dispute resolution services. Jim
is a Certified Public Accountant (CPA), has earned the Accredited
in Business Valuation (ABV) designation from the AICPA, the Accredited
Senior Appraiser (ASA) designation from the American Society of Appraisers, the
Certified Business Appraiser (CBA) designation through the Institute
of Business Appraisers and is a Certified Fraud Examiner (CFE) through
the Association of Certified Fraud Examiners.
Carol Carden
named to the American Society of Appraisers (ASA) BV201 Course
Re-Design Committee
March 2007
KNOXVILLE, TN - ValuePoint Consulting Group, a business valuation and dispute
resolution firm located in Knoxville, Tennessee, is pleased to announce that
Carol Carden, CPA/ABV, ASA, CFE has been named to the American Society of Appraisers
(ASA) BV201 Course Re-Design Committee. The ASA business valuation curriculum
is the most highly regarded business valuation training in the industry. Carol’s appointment to this committee is an honor
and demonstrates the respect she has garnered from her peers.
Carol is a Director and focuses on business valuation
with a particular focus area in healthcare valuations. In addition
to her AM designation, Carol is a Certified Public Accountant (CPA),
has earned the designation Accredited in Business Valuation (ABV)
from the American Institute of Certified Public Accountants and the
Certified Fraud Examiner (CFE) designation from the Association of
Certified Fraud Examiners.
|
