In, fraud is to secure unfair or unlawful gain, or to deprive a victim of a legal right. Fraud itself can be a (i.e., a fraud victim may sue the fraud perpetrator to avoid the fraud or recover monetary compensation), a (i.e., a fraud perpetrator may be prosecuted and imprisoned by governmental authorities) or it may cause no loss of money, property or legal right but still be an element of another civil or criminal wrong. The purpose of fraud may be monetary gain or other benefits, such as obtaining a passport or travel document, driver's license or by way of false statements.
A is a distinct concept that involves deliberate deception without the intention of gain or of materially damaging or depriving a victim.
As a civil wrong
In common law jurisdictions, as a civil wrong, fraud is a. While the precise definitions and requirements of proof vary among jurisdictions, the requisite elements of fraud as a tort generally are the intentional misrepresentation or concealment of an important fact upon which the victim is meant to rely, and in fact does rely, to the harm of the victim. Proving fraud in a court of law is often said to be difficult. That difficulty is found, for instance, in that each and every one of the elements of fraud must be proven, that the elements include proving the states of mind of the perpetrator and the victim, and that some jurisdictions require the victim to prove fraud by.
The remedies for fraud may include rescission (i.e., reversal) of a fraudulently obtained agreement or transaction, the recovery of a monetary award to compensate for the harm caused, to punish or deter the misconduct, and possibly others.
In cases of a fraudulently induced contract, fraud may serve as a in a for or of.
Fraud may serve as a basis for a court to invoke its.
As a criminal offence
In common law jurisdictions, as a criminal offence, fraud takes many different forms, some general (e.g., theft by false pretense) and some specific to particular categories of victims or misconduct (e.g.,,, ). The elements of fraud as a crime similarly vary. The requisite elements of perhaps most general form of criminal fraud, theft by false pretense, are the intentional deception of a victim by false representation or pretense with the intent of persuading the victim to part with property and with the victim parting with property in reliance on the representation or pretense and with the perpetrator intending to keep the property from the victim.
Section 380(1) of the provides the general definition for fraud in Canada:
380. (1) Every one who, by deceit, falsehood or other fraudulent means, whether or not it is a false pretence within the meaning of this Act, defrauds the public or any person, whether ascertained or not, of any property, money or valuable security or any service,
- (a) is guilty of an indictable offence and liable to a term of imprisonment not exceeding fourteen years, where the subject-matter of the offence is a testamentary instrument or the value of the subject-matter of the offence exceeds five thousand dollars; or
- (b) is guilty
- (i) of an indictable offence and is liable to imprisonment for a term not exceeding two years, or
- (ii) of an offence punishable on summary conviction, where the value of the subject-matter of the offence does not exceed five thousand dollars.
In addition to the penalties outlined above, the court can also issue a prohibition order under s. 380.2 (preventing a person from "seeking, obtaining or continuing any employment, or becoming or being a volunteer in any capacity, that involves having authority over the real property, money or valuable security of another person"). It can also make a restitution order under s. 380.3.
The Canadian courts have held that the offence consists of two distinct elements:
- A prohibited act of deceit, falsehood or other fraudulent means. In the absence of deceit or falsehood, the courts will look objectively for a "dishonest act"; and
- The deprivation must be caused by the prohibited act, and deprivation must relate to property, money, valuable security, or any service.
The has held that deprivation is satisfied on proof of detriment, prejudice or risk of prejudice; it is not essential that there be actual loss. Deprivation of, in the nature of a or copyrighted material that has commercial value, has also been held to fall within the scope of the offence.
Zhang Yingyu's story collection (ca. 1617) testifies to rampant commercial fraud, especially involving itinerant businessmen, in late Ming China. The journal Science reported in 2017 that fraud is rife in Chinese academia, resulting in numerous article retractions and harm to China's international prestige.The Economist, CNN, and other media outlets regularly report on incidents of fraud or bad faith in Chinese business and trade practices.Forbes cites cybercrime as a persistent and growing threat to Chinese consumers.
England, Wales, and Northern Ireland
"Half of all UK companies say that they have been the victim of fraud or of economic crime in the last two years [2016-2018], according to a major survey conducted by professional services firm PwC."
reported in 2016 that the estimated value lost through fraud in the UK was £193 billion a year.
In January 2018 the reported that the value of UK fraud hit a 15-year high of £2.11bn in 2017 according to a study. The article said that the accountancy firm BDO examined reported fraud cases worth more than £50,000 and found that the total number rose to 577 in 2017, compared with 212 in 2003. The study found that the average amount stolen in each incident rose to £3.66m, up from £1.5m in 2003.
As at November 2017 Fraud is the most common criminal offence in the UK according to a study by Crowe Clark Whitehill, Experian and the Centre for Counter Fraud Studies. The study suggests the UK loses over £190 billion per year to fraud. £190 billion is more than 9% of the UK’s projected GDP for 2017 ($2,496 (£2,080) billion according to Statistics Times). The estimate for fraud in the UK figure is more than the entire GDP of countries such as Romania, Qatar and Hungary.
According to another review by the UK anti-fraud charity (FAP), business fraud accounted for £144bn, while fraud against individuals was estimated at £9.7bn. The FAP has been particularly critical of the support available from the police to victims of fraud in the UK outside of London. Although victims of fraud are generally referred to the UK's national fraud and cyber crime reporting centre,, the FAP found that there was "little chance" that these crime reports would be followed up with any kind of substantive law enforcement action by UK authorities, according to the report.
In July 2016 it was reported that fraudulent activity levels in the UK increased in the 10 years to 2016 from £52 billion to £193bn. This figure would be a conservative estimate, since as the former commissioner of the, Adrian Leppard, has said, only 1 in 12 such crimes are actually reported. Donald Toon, director of the NCA's economic crime command, stated in July 2016: "The annual losses to the UK from fraud are estimated to be more than £190bn". Figures released in October 2015 from the Crime Survey of England and Wales found that there had been 5.1 million incidents of fraud in England and Wales in the previous year, affecting an estimated one in 12 adults and making it the most common form of crime.
Also in July 2016, the (ONS) stated "Almost six million fraud and cyber crimes were committed last year in England and Wales and estimated there were two million computer misuse offences and 3.8 million fraud offences in the 12 months to the end of March 2016." Fraud affects one in ten people in the UK. According to the ONS most frauds relate to bank account fraud. These figures are separate from the headline estimate that another 6.3 million crimes (distinct from frauds) were perpetrated in the UK against adults in the year to March 2016.
Fraud is apparently low on the list UK law enforcement priorities. Controversially, the crime does not feature on a new "Crime Harm Index" published by the. Michael Levi, professor of criminology at Cardiff University, remarked in August 2016 that it was ‘deeply regrettable’ fraud is being left out of the first index despite being the most common crime reported to police in the UK. Professor Levi said ‘If you’ve got some categories that are excluded, they are automatically left out of the police’s priorities.’. The Chief of the (NAO), Sir Anyas Morse has also said “For too long, as a low-value but high-volume crime, online fraud has been overlooked by government, law enforcement and industry. It is now the most commonly experienced crime in England and Wales and demands an urgent response.”
The Fraud Act 2006 (c 35) is an of the. It affects and. It was given on 8 November 2006, and came into effect on 15 January 2007.
The Act gives a statutory definition of the criminal offence of fraud, defining it in three classes—fraud by false representation, fraud by failing to disclose information, and fraud by abuse of position. It provides that a person found guilty of fraud is liable to a fine or imprisonment for up to twelve months on (six months in ), or a fine or imprisonment for up to ten years on conviction on. This Act largely replaces the laws relating to obtaining property by deception, obtaining a pecuniary advantage and other offences that were created under the.
Serious Fraud Office
The is an arm of the Government of the United Kingdom, accountable to the Attorney-General.
National Fraud Authority
The (NFA) is the government agency co-ordinating the counter-fraud response in the UK.
Cifas – the UK's leading fraud prevention service
Cifas is the UK's leading fraud prevention service, a not-for-profit membership organisation for all sectors that enables organisations to share and access fraud data using their databases. Cifas is dedicated to the prevention of fraud, including internal fraud by staff, and the identification of financial and related crime.
A Cifas study found that the number of reported cases of identity fraud jumped by 57 per cent between 2014 and 2015. Drawing from its reporting database of 261 organisations, Cifas found that 148,463 people reported having their identity stolen in 2015, up from 94,492 the previous year. The rise of social media has been blamed. Cifas has warned that social media sites such as, and are becoming a “hunting ground” for fraudsters.
In July 2016 the BBC referred to a recently published Cifas report which estimated the annual cost of fraud in the UK was £193bn – equal to nearly £3,000 per head of population.
In March 2017, Cifas reported that identity fraud had reached "record levels", with 173,000 cases recorded to its fraud database in 2016 – the highest number ever recorded by members of Cifas. That trend continued through 2017, with Cifas reporting more than 89,000 cases of identity fraud in the first six months of the year.
Cifas data from 2016 and 2017 also highlighted the growing issue of '' – people who allow their bank accounts to be used to. Cifas reported that the number of young people (18-24-year-olds) allowing their to be used to transfer the proceeds of crime had risen by an unprecedented 75 per cent in the last year.
The proof requirements for criminal fraud charges in the United States are essentially the same as the requirements for other crimes: guilt must be proved beyond a. Throughout the United States fraud charges can be misdemeanors or felonies depending on the amount of loss involved. High value frauds can also include additional penalties. For example, in California losses of $500,000 or more will result in an extra two, three, or five years in prison in addition to the regular penalty for the fraud.
The U.S. government's 2006 fraud review concluded that fraud is a significantly under-reported crime, and while various agencies and organizations were attempting to tackle the issue, greater co-operation was needed to achieve a real impact in the public sector. The scale of the problem pointed to the need for a small but high-powered body to bring together the numerous counter-fraud initiatives that existed.
According to, application fraud rates in the United States has been steadily rising over the past few years. This type of fraud expected to double from about $2-3 billion in 2015 to $4-6 billion in 2017.
Although elements may vary by jurisdiction and the specific allegations made by a plaintiff who files a lawsuit that alleged fraud, typical elements of a fraud case in the United States are that:
- somebody misrepresents a material fact in order to obtain action or forbearance by another person,
- the other person relies upon the misrepresentation, and
- the other person suffers injury as a result of the act or forbearance taken in reliance upon the misrepresentation.
To establish a civil claim of fraud, most jurisdictions in the United States require that each element of a fraud claim be plead with particularity and be proved by a, meaning that it is more likely than not that the fraud occurred. Some jurisdictions impose a higher evidentiary standard, such as Washington State's requirement that the elements of fraud be proved with clear, cogent, and convincing evidence (very probable evidence), or Pennsylvania's requirement that common law fraud be proved by clear and convincing evidence.
The measure of damages in fraud cases is normally computed using one of two rules:
- the "benefit of bargain" rule, which allows for recovery of damages in the amount of the difference between the value of the property had it been as represented and its actual value; or
- out-of-pocket loss, which allows for the recovery of damages in the amount of the difference between the value of what was given and the value of what was received.
may be allowed if shown to have been proximately caused by defendant's fraud and the damage amounts are proved with.
Many jurisdictions permit a plaintiff in a fraud case to seek or exemplary damages.
The typical organization loses five percent of its annual revenue to fraud, with a median loss of $160,000. Frauds committed by owners and executives were more than nine times as costly as employee fraud. The industries most commonly affected are banking, manufacturing, and government.
Types of fraudulent acts
Fraud can be committed through many media, including,,, and the ( and ). International dimensions of the web and ease with which users can hide their location, the difficulty of checking identity and legitimacy online, and the simplicity with which can divert browsers to dishonest sites and steal details have all contributed to the very rapid growth of Internet fraud. In some countries, tax fraud is also prosecuted under false billing or tax forgery. There have also been fraudulent "discoveries", e.g., in, to gain prestige rather than immediate monetary gain.
Beyond laws that aim at prevention of fraud, there are also governmental and non-governmental organizations that aim to fight fraud. Between 1911 and 1933, 47 states adopted the so-called status. These laws were enacted and enforced at the state level and regulated the offering and sale of to protect the public from fraud. Though the specific provisions of these laws varied among states, they all required the registration of all securities offerings and sales, as well as of every U.S. and brokerage firm. However, these Blue Sky laws were generally found to be ineffective. To increase public trust in the capital markets the,, established the (SEC). The main reason for the creation of the SEC was to regulate the and prevent relating to the offering and sale of securities and corporate reporting. The SEC was given the power to license and regulate stock exchanges, the companies whose securities traded on them, and the brokers and dealers who conducted the trading.
For detection of fraudulent activities on the large scale, massive use of (online) is required, in particular or forensic analytics. Forensic analytics is the use of electronic data to reconstruct or detect financial fraud. The steps in the process are data collection, data preparation, data analysis, and the preparation of a report and possibly a presentation of the results. Using computer-based analytic methods wider goal is the detection of fraud, errors, anomalies, inefficiencies, and biases which refer to people gravitating to certain dollar amounts to get past internal control thresholds.
The analytic tests usually start with high-level data overview tests to spot highly significant. In a recent purchasing card application these tests identified a purchasing card transaction for 3,000,000 Costa Rica Colons. This was neither a fraud nor an error, but it was a highly unusual amount for a purchasing card transaction. These high-level tests include tests related to Benford's Law and possibly also those statistics known as descriptive statistics. These high-tests are always followed by more focused tests to look for small samples of highly irregular transactions. The familiar methods of and can also be used to detect fraud and other irregularities. Forensic analytics also includes the use of a fraud risk-scoring model to identify high risk forensic units (customers, employees, locations, insurance claims and so on). Forensic analytics also includes suggested tests to identify financial statement irregularities, but the general rule is that analytic methods alone are not too successful at detecting financial statement fraud.
- single fraud investigation service september 2013 , lied about bank loans as a banker so that some customers to the bank went to prison; he was later sentenced to prison, but managed to get a pardon and kept his job
- , American who wrote bad checks and falsely represented himself as a qualified member of professions such as airline pilot, doctor, attorney, and teacher; the film is based on his life
- , British doctor and suspected, but only found guilty of forging wills and prescriptions
- , founder of ; has criminal convictions on 17 counts and about $1 billion worth of civil judgments against him stemming from fraudulent accounting practices at that company
- , "The Wolf of Wall Street"; swindled over $200 million via a boiler room operation; the film "The Wolf of Wall Street" starring is based on his life and fraudulent activity
- , pretended to be 's illegitimate daughter to get loans
- fraud; Columbia/HCA pleaded guilty to 14 felony counts and paid out more than $2 billion to settle lawsuits arising from the fraud The company's board of directors forced then–Chairman and CEO to resign at the beginning of the federal investigation; Scott was subsequently elected in 2010
- , self-styled "Lord"; nicknamed "Fast Eddie" and "Lord of Fraud"; from 2005 to 2009 was the "ringmaster" of a series of advance-fee fraud schemes that defrauded dozens of individuals out of millions of pounds; is said to have made £34.5 million through various frauds
- , managing founder of attorney firm Dreir LLP, a $700 million Ponzi scheme
- , defrauded Spanish banks and then gave away the loaned money to anti-growth organizations
- , founder of, which inflated its asset statements by about $11 billion
- , banker from the and former President of Banco Intercontinental; sentenced in 2007 to 10 years in prison for a U.S. $2.2 billion fraud case that drove the Caribbean nation into economic crisis in 2003
- , American former, convicted in 2002 of insurance fraud worth $208 million, racketeering and money laundering
- , former hedge fund manager; ran the former fraudulent ; faked suicide to avoid jail
- , German fraudster and forger responsible for the ""
- , American businessman who built energy company ; one of the highest paid in the U.S. until he was ousted as chairman and convicted of fraud and conspiracy, although, as a result of his death, his conviction was vacated
- , English trader whose unsupervised speculative trading caused the collapse of Barings Bank
- , ran one of the biggest ($311 million) and longest running Ponzi schemes (20 years) in U.S. history
- , Scottish con man; tried to attract investment and settlers for the non-existent country of Poyais
- , creator of a $65 billion Ponzi scheme, the largest investor fraud ever attributed to a single individual
- , American con artist, card cheat and pickpocket; from age approximately 14 through 21, bilked dozens of casinos, corporations and at least one Mafia crime family out of untold sums
- , professional con man during U.S. President 's administration
- , ZZZZ Best scam
- , founder of, which ultimately cost its investors more than $1 billion
- , conned the town of by promoting a circus that never came
- , former boy-band manager and operator of a $300 million Ponzi scheme using two shell companies
- , American impersonator who wrote bad checks
- , American masquerading as a business manwho turned out to be a con man; former CEO and chairman of ; resigned his position as CEO in 2008 amid mounting criminal investigations; later convicted for turning Petters Group Worldwide into a $3.65 billion Ponzi scheme; sentenced to 50 years in federal prison
- , German mailman; worked as a psychiatrist in different hospitals
- , forged documents to print 100,000,000 PTE in official banknotes (adjusted for inflation, it would be worth about US$150 million today)
- , cable television entrepreneur, co-founder of and owner of the hockey team; defrauded investors of over $2 billion and was sentenced to a 12-year term in federal prison
- , a Rockefeller impersonator who defrauded celebrities
- , disbarred lawyer from Ft. Lauderdale, Florida; perpetrated a Ponzi scheme which defrauded investors of over $1 billion
- , best known as a check, stocks and bonds forger; became notorious in the 1960s throughout the 1990s as a "Great Impostor" with over 100 aliases, and earned millions from such
- , struggling businessman who faked massive success in an attempt to buy out the of the
- , self-styled banker; sold fake certificates of deposit to people in many countries, raking in $7 billion to $8 billion over decades
- , the last Postmaster-General of the UK and MP; faked his death to marry his mistress
- , American writer and billiards promoter; convicted of fraud and larceny in 1991; known for a series of late-night infomercials and his series of books about "Natural Cures 'They' Don't Want You to Know About"
- , stole from the in the 1930s
Apart from fraud, there are several related categories of intentional that may or may not include the elements of personal gain or damage to another individual:
- which criminalizes false representation of having been awarded any decoration or medal authorized by Congress for the Armed Forces of the United States
- . Law.com. Retrieved 2016-01-27.
- . Journal of Accountancy. Retrieved 2013-12-18.
- . Judicial Council of California. Retrieved 2013-12-27.
- . Judicial Council of California. Retrieved 2013-12-27.
- . Laws-lois.justice.gc.ca. Retrieved 2013-12-05.
- . Laws-lois.justice.gc.ca. Retrieved 2013-12-05.
- Tony Wong. (Pdf).. Retrieved 2012-04-22.
- R. v. Olan et al.,  2 S.C.R. 1175. Full text of decision at
- R. v. Stewart,  1 S.C.R. 963. Full text of decision at
- . BBC. 25 May 2016. Retrieved 6 September 2017.
- Fraud Advisory Panel (2016). (PDF).
- . www.out-law.com. Retrieved 2016-09-18. heutzutage werden bekanntschaften gesucht
- . BBC News. 2016-07-18. Retrieved 2016-09-18.
- . BBC News. 2016-07-21. Retrieved 2016-09-18.
- Beckford, Martin (21 August 2016).. Daily Mail Online. Associated Newspapers Ltd. Retrieved 18 September 2016.
- . The Guardian. Press Association. 30 June 2017. Retrieved 6 September 2017.
- The Fraud Act 2006 (Commencement) Order 2006 - SI 2006 No. 3200 (C.112)
- . www.miltonkeynes.co.uk. Retrieved 2016-09-18.
- . BBC News. 2016-07-05. Retrieved 2016-09-18.
- ActionFraud (2017-03-15).. Action Fraud. Retrieved 2018-02-08.
- . Sky News. Retrieved 2018-02-08.
- . The Independent. 2017-11-27. Retrieved 2018-02-08.
- . California Legislative Information. California State Legislature. Retrieved 9 August 2017.
If the pattern of related felony conduct involves the taking of, or results in the loss by another person or entity of, more than five hundred thousand dollars ($500,000), the additional term of punishment shall be two, three, or five years in the state prison.
- . FBI. Federal Bureau of Investigations. Retrieved 6 September 2017.
- Scully, Matt (2017-05-10).. . Retrieved 2017-05-12.
- Larson, Aaron (8 July 2016).. ExpertLaw. Retrieved 6 September 2017.
- See, e.g., . Google Scholar. Google. Retrieved 6 September 2017.
- . Washington Pattern Jury Instructions - Civil. West. Retrieved 24 May 2017.
- . Google Scholar. Google. Retrieved 24 May 2017.
- Chang, Stanley Y. (April 1994).. Retrieved 6 September 2017.
- Koerner, Theodore G. (Jan 1958).. Michigan Law Journal. 56 (3): 448. Retrieved 24 May 2017.
- .. 2010. Archived from on July 7, 2011.
- "Tax Fraud and the Problem of a Constitutionality Acceptable Definition of Religion". BJ Casino. American Criminal Law. Rev., 1987
- . sec.gov. 21 February 2003.
- . Seclaw.com. 2007-07-07. Retrieved 2013-12-05.
- . gwu.edu.
- . learn.advfn.com.
- . analytics-magazine.org. July–August 2013.
- Nigrini, Mark (June 2011).. Hoboken, NJ: John Wiley & Sons Inc. .
- Biography.com Editors.. Retrieved 2015-10-08. CS1 maint: Extra text: authors list ()
- . BBC. Retrieved 2015-10-08.
- Pinder, Jeanne B. (1993-07-21).. The New York Times. . Retrieved 2016-09-18.
- . New York Times. Retrieved 2016-07-15.
- (Press release),, June 26, 2003, retrieved April 11, 2011
- . BBC News. 2011-10-05. Retrieved 2016-09-18.
- . Retrieved 2016-09-18.
- . 2015-11-06. Retrieved 2016-09-18.
- Bowers, Simon (2011-10-05).. The Guardian. . Retrieved 2016-09-18.
- Evans, Martin (29 July 2014).. The Telegraph. Retrieved 18 September 2016.
- Kokenes, Chris (March 19, 2009),,, retrieved April 10, 2011
- Lozano, Juan A. (17 October 2006).. CBS News. Associated Press. Archived from on May 24, 2009.
- Nicole Muehlhausen,, KSTP.com, September 24, 2008. Retrieved October 8, 2008.
- February 10, 2009, at the.
- Hughes, Art (December 2, 2009).. .. Retrieved December 10, 2009.
- Fraud: An American History from Barnum to Madoff. (2017). Princeton University Press.
- Frauds, Spies, and Lies – and How to Defeat Them. (2006). ASP Press.
- Green, Stuart P. Lying, Cheating, and Stealing: A Moral Theory of White Collar Crime. Oxford University Press, 2006.
- Podgor, Ellen S. Criminal Fraud, (1999) Vol, 48, No. 4 American Law Review 1.
- ( ) by Eamon Dillon, published September 2008 by Merlin Publishing
- Zhang, Yingyu. . Columbia University Press, 2017.
Pursuant to several provisions of the French Code Monétaire et Financier, entities from the banking and financial sector are required to implement processes and strategies to detect, measure and manage operational risks within their group (on a consolidated basis). Fraud prevention/detection systems must be adapted to the entities’ activities and to the nature, scale and complexity of the risks inherent to their business model and organization.
The French data protection authority (CNIL) has just adopted Single Authorization No. AU-054 (the “AU-054”) on July 13, 2017 in order to cover the processing of personal data implemented in relation to these fraud prevention/detection systems. The new AU-054 provides a blanket authorization for entities processing personal data for purposes related to the prevention/detection of external fraud in the banking and financial sector assuming they adhere to a strict set of conditions set forth by the CNIL, the most significant of which are summarized below.
The AU-054, like all CNIL single authorizations, has the critical advantage of allowing entities to self-certify, in a short and simple form, their compliance with the conditions set forth by the CNIL. Fraud prevention systems not meeting those conditions require a specific authorization from the CNIL (a much more complicated and lengthy process).
1. Only certain categories of entities in the banking and financial sector are eligible to self-certify under the AU-054
The AU-054 covers entities from the banking or financial sector which are under the control of the French Autorité de Contrôle Prudentiel et de Résolution in accordance with Article L.511-20-III of the French Code Monétaire et Financier and related regulations.
More specifically, the entities authorized to implement a fraud prevention system under the AU-054 are the following:
- Credit institutions;
- Intermediaries in bank operations;
- Payment service providers;
- Providers of investment services;
- Individuals who provide investment services;
- Investment advisers;
- Financing companies;
- E-money institutions;
- Financial holding companies; and
- Parent companies of financing companies.
In particular, the AU-054 does not cover fraud prevention systems implemented by insurance, capitalization, reassurance, assistance companies or insurance brokers CMF (these companies must refer to Single Authorization No. AU-039).
In addition, all entities under the control of any of the entities listed above are also eligible to self-certify with the AU-054 when their activities qualify as “related” (“connexes“) within the meaning of Article L.311-2 of the Code Monétaire et Financier.
2. The AU-054 only covers prevention/detection systems addressing external fraud
The AU-004 covers fraud prevention/detection systems aimed at detecting and qualifying anomalies that qualify as “external fraud“. “External fraud” is defined by Article 324 of Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms as “any event causing losses related to third party actions aimed at committing fraud or embezzlement of assets, or at violating the law.” External fraud therefore relates to any person that is a party or potential party to a contract (clients, beneficiaries) and any person involved in the performance of contracts (subcontractors, service providers, financial intermediaries…). The AU-054 does not cover internal fraud detection/prevention (i.e., fraud committed by employees or other staff members).
More specifically, the AU-054 states that it covers (i) fraud alerts further to the detection of an anomaly, an incoherence or the reporting of an act likely to be fraudulent, and their analysis by authorized personnel, and (ii) actual or attempted frauds qualified as such by the entity further to investigation by authorized personnel. It further provides some details regarding authorized purposes by referring to:
- The detection of acts performed in the context of the execution, management and performance of contracts that show some kind of anomaly or incoherence;
- The management and analysis of alerts coming from various information sources (internal control processes, client claims, judicial orders, etc.);
- The compilation of lists of persons duly identified as fraudsters or attempted fraudsters further to investigations.
The AU-054 details the various categories of fraudulent activities that can be covered by (and reported through) a fraud prevention/detection system within its scope. These categories notably include fraud relating to the payment method, ID fraud, credit fraud, etc. If the fraud prevention/detection system aims at detecting certain categories of frauds that are not expressly listed in the AU-004, a specific impact assessment analysis must be carried out.
In addition, the AU-054 clearly states that fraud prevention systems may lead to punctual interconnections with data processed for other purposes, including notably (among others): client and prospects management; the execution, management and performance of banking and financial services agreements; the management of contractual relationships with intermediaries, service providers and others; money-laundering and terrorism financing prevention; and whistleblowing systems.
3. The broad range of personal data that can be processed under the AU-054
Assuming they are necessary for the purposes covered by the AU-054, only the following categories of personal data can be collected and processed through fraud prevention/detection systems:
- Data relating to the execution, management and performance of banking and financial services agreements and to the management of the commercial relationship;
- Identification data relating to the parties to the contract (client, actual beneficiaries) and prospects;
- Data relating to personal, family and professional situations, to economic and financial information and life habits in relation to the execution of banking and financial services agreements;
- Data relating to commercial operations and to the management of the commercial relationship;
- Data relating to anomalies, incoherence and reports likely to reveal a fraud;
- Data relating to fraud investigations, instruction and assessment of the scope and nature of the suspected or actual fraud and of its consequences;
- Data relating to risk and damages assessment;
- Identification data relating to the individuals involved in the detection and management of fraud;
- Data relating to financial transactions, payment methods, etc.;
- Browsing and connexion data (including location data and device related data) collected in the context of the agreements in force; and
- Data relating to the management of contractual relationships with providers of services or of operational tasks that are “essential” or “important” within the meaning of applicable laws, and with banking operations and payment services intermediaries, subcontractors and agents.
4. Strict requirements regarding access rights and management of the fraud prevention/detection system
Generally, the system and related data may only be accessed by specifically authorized personnel subject to ethical and confidentiality obligations.
More specifically, information relating to fraud alerts (suspected frauds) can only be accessed by:
- Staff members in charge of fraud prevention within the entity or another entity of the same group when acting on behalf of such entity;
- Staff members in charge of money-laundering and terrorism financing prevention within the entity;
- Investigators, auditors and experts, on a punctual basis during investigations;
- Staff members from the entity’s compliance department in charge of internal control or of the litigation department; or
- Public authorities as authorized under the law.
In case of actual (proven) frauds, the information can only be accessed by:
- Staff members in direct contact with the clients;
- Staff members in charge of fraud prevention within the entity or another entity of the same group when acting on behalf of such entity;
- Staff members in charge of money-laundering and terrorism financing prevention within the entity;
- The entity’s top management, the operational risks department, the compliance department in charge of internal control or the litigation department, the legal department, staff members in charge of internal control, audit, inspection and financial security;
- Providers of services or of operational tasks that are “essential” or “important” in accordance with applicable laws, with banking operations and payment services intermediaries, as soon as they are concerned by the fraud or are involved in the management of the matter;
- Investigators, auditors and experts, on a punctual basis during investigations;
- As the case may be, fraud victims or their agents; or
- Public authorities as authorized under the law.
In addition, the information collected through the fraud detection systems may be shared by the entity with other entities of its group under specific conditions, which are detailed in the AU-054.
5. Other relevant requirements to keep in mind
The AU-054 reiterates that data subjects must be informed of the characteristics of the processing of their personal data in accordance with applicable law. This notice must be provided upon execution of the service agreement, and if, after some investigation, the fraud is confirmed, some decisions with legal consequences are made on that basis and the data subject is listed as potential fraudster for future reference.
It also reiterates that no decision with legal consequences can be made based only on an automated fraud prevention system. As a consequence, any fraud alert generated by these systems must be followed up by a non-automated analysis and by additional non-automated investigation, if necessary. In addition, any individual subject of a fraud alert must be able to respond if a decision with legal consequences on him/her is made in relation to the execution or performance of a contract.
In addition to general security and confidentiality obligations, the AU-054 requires entities to define a security policy specifically adapted to the risks raised by fraud prevention/detection systems. Specific requirements as to the content of this policy are detailed in the AU-054.
In terms of data retention, alerts must be “qualified” (i.e. be confirmed or not) within 12 months after they arose. Any alert that is not relevant must be deleted immediately. If an alert has not been investigated and qualified after 12 months, it must be deleted. Data related to confirmed fraud can be stored for 5 years maximum (or until the end of the judicial proceedings where relevant).
Lastly, the AU-054 states that transfers of personal data to non EU countries that are not members of the EEA can only be performed if (i) the destination country has been considered as providing adequate protection by the EU Commission, or (ii) the recipient is Privacy Shield certified, or (iii) Model Contractual Clauses or Binding Corporate Rules are in place, or (iv) they are carried out for the purpose of performing contracts or enforcing warranties or rights before a court (it being specified that this can only apply to non-massive transfers happening on a punctual basis).
For any additional information, please contact (Partner, Paris) or (Consultant, Paris).
|examination dates uni mannheim You can't monitor what you can't measure||Digital transformation is impacting almost every aspect of today’s global organizations, including the risk management, compliance and legal functions. Organizations that have implemented continuous monitoring programs in the past are now looking to implement their data analytics programs more efficiently and effectively, and in objective and actionable ways.||2018March/April 2018|
|Understanding the insider threat behavioral spectrum||As organizations take careful measures to protect their critical assets from external risks, they often remain vulnerable to threats from inside their organizations. By studying behavioral changes and detecting routine variations and hidden relationships, companies can more effectively manage insider risk.||2018February 2018|
|EY Virtual||EY Virtual is a microservices-based forensic data analytics platform that can be deployed via cloud or on premises. It is designed to enable data analytics and support the needs of a wide variety of risk management applications.||2018January 2018|
|EY forensic data analytics for integrated banker surveillance||Sales practices, as a form of conduct, have recently gained renewed attention as a result of issues in the banking sector. The Office of the Comptroller of the Currency (OCC) launched its effort to examine sales practices at large and mid-size banks in fall 2016. The Federal Reserve (Fed), the Consumer Financial Protection Bureau (CFPB) and Financial Industry Regulatory Authority (FINRA) have also taken enforcement action in multiple areas related to sales practices. The European Banking Authority published its final guidelines on remuneration policies and practices related to the provision and sale of retail banking products and services in late 2016.||2009January 2018|
|EY forensic data analytics for legal and compliance response||Today’s investigations require the collection and analysis of vast amounts of structured and unstructured data. The increasing availability of digital evidence by volume and variety is advantageous to investigations. But many organizations are not set up to retrieve the data needed in a fast and effective manner. Investigations often require careful handling of data privacy concerns when allegations cross borders. The lack of understanding of the data involved can provide further hindrance to the investigation. The delay not only brings noncompliance risk but can also result in a dramatic increase in the costs of handling regulatory inquiries and litigation.||2009January 2018|
|Fraud & Investigations||Fraud examiners and compliance professionals have a great responsibility to develop effective training and communication programs that engage the hearts and minds of business leaders and employees and prevent and deter fraud. However, they face many challenges including a constantly shrinking share of employees’ time plus technology that makes it difficult to: 1) isolate target audiences, 2) deliver messages that are tailored for individual roles and risk profiles and 3) assess the effectiveness of training or delivery of communication. Recently, GE and EY Fraud Investigation & Dispute Services (FIDS) professionals collaborated to address these perennial challenges with a new strategy they’re calling the “P&L-of-One” (Profit & Loss-of-One).||2009January 2018|
|Government Contract Services||In the world of US Government regulations, good news is often hard to come by, and on September 14, 2017, the Department of Defense (DoD) issued an important class deviation. Effective immediately, the deviation removes the requirement for DoD contractors to engage in and document technical interchanges with the DoD prior to incurring costs on independent research and development (IR&D) projects as a prerequisite for the IR&D costs to be an allowable contract cost.||2009November 2017|
|The compliance implications of value-based healthcare||The issue focuses on the impact to life sciences companies, providers, and payers. Written by Kiley Smith Kelly and Noah Mallon.||2009October 2017|
|GIR The Investigations Review of the Americas 2018 – United States||A review of OIG guidance and elements of a well-structured patient assistance program. Written by Tom Gregory and Kathleen Meriwether for Global Investigations Review of the Americas, 2018 edition.||2009 October 2017|
|The Investigations Review of the Americas 2018 – United States||The issue has a summary of FCPA enforcement activity through mid-2017. Written by Liban Jama and Mala Bartucci for Global Investigations Review of the Americas, 2018 edition.||2009 October 2017|
|Cybersecurity in eDiscovery||The use of outside eDiscovery vendors to manage the eDiscovery process has become commonplace in today’s evolving business landscape. That is just one of many cybersecurity challenges that increasingly affect today’s eDiscovery efforts. There are also many perils within an organization’s own eDiscovery process that need to be managed before potential disaster strikes. The document covers the Litigating in the age of attacks, Cybersecurity at the Rule 26(f) pretrial conference & several other topics.||2009 September 2017|
|Significant Changes in Anti-Bribery laws in Mexico and Columbia||The issue focuses on the companies with global operations, the Foreign Corrupt Practices Act (FCPA) is no longer the only anticorruption law of significance. Mexico and Colombia recently enacted sweeping anti-corruption legislation aimed at ferreting out corruption at all levels of government. Both Mexico and Colombia have faced their fair share of political scandals, so these new comprehensive initiatives are illustrative of the countries’ commitment to tackle corruption, rebuild the public’s trust in government, and reform the way business is conducted going forward.||1809 September 2017|
|Government Contract Services||The EY Government Contract Services (GCS) group is uniquely qualified to assist contractors in evaluating the security framework surrounding their information systems and benchmarking against the new rule requirements. The newsletter provides insights on how our professionals draw a deep understanding of IT controls testing and analysis, audit principles and U.S. Government regulatory compliance. This combination of experience and knowledge makes EY GCS the premier service provider for contractors operating in the rapidly changing federal marketplace.||1109 September 2017|
|Averting a second disaster: avoiding grant deobligation||This booklet has been issued to help entities prepare for and execute successful financial recovery in the event of a disaster. It has been drawn by EY experience & the collective knowledge of FEMA and Department of Homeland Security officials including individuals from the Office of the Inspector General who have audited and investigated federal disaster grants.||1907 August 2017|
|Forensic Technology and Discovery Services||This issue focuses on achieving time and cost savings through technology innovation. It focuses on new accounting standards ASU and FASB (w.e.f. – 1st January 2019).The new ASU will require recognition of both capital and operating leases. FASB is requiring lessees and lessors to apply a modified retrospective approach for leases existing at, or entered into after, the beginning of the earliest period presented in the financial statements. Significant effort could be required to bring outstanding leases onto the balance sheet. Organizations will need to inventory and categorize existing contracts, extract lease data from each record, and load the data into a structured database. Given the potentially high volume of contracts and wide variety of forms, types and content, a full manual process is infeasible for many organizations.||1707July 2017|
|Government Contract Services||This issue focuses on FEMA Public Assistance for colleges and universities. The featured article entitled “FEMA Public Assistance for institutions of higher education: the 10 greatest myths&rd dispels some of the commonly held beliefs about the FEMA Public Assistance Program as it pertains to colleges and universities. It also helps clarify some of FEMA’s key eligibility guidelines and policies to help institutions better assess and plan for potential coverage by both FEMA and insurance.||1706June 2017|
|Government Contract Services||The Defense Federal Acquisition Regulation Supplement (DFARS) 231.205-18 identifies Independent Research & Development (IR&D) as an allowable expense provided that the IR&D costs are allocable to a contractor’s cost objectives and that the efforts are of potential interest to the Department of Defense (DoD). However, recent regulatory actions have increased the administrative hurdles contractors must jump over for their IR&D costs to be allowable.||1704April 2017|
|Financial Services Industry||AML training programs implemented in casinos today focus on back-of-the-house and compliance efforts, often highlighting the importance of regulatory filings such as Currency Transaction Reports (CTRs) and Suspicious Activity Reports (SARs). While it is important for casino personnel to understand compliance functions, front-of-the-house employees gain the most value by understanding how money laundering schemes can occur and why AML controls are important to their job responsibilities.||1704April 2017|
|Forensic Technology & Discovery Services||The diversity and dispersion of electronically stored information (ESI) within a universally challenging legal and regulatory environment are fueling the appeal of end-to-end discovery in order for companies to manage risks and reduce costs from working with multiple service providers. From pre-litigation information management to post-matter data disposition, our team’s qualifications, experience and size enable us to serve as a single-source provider for our clients.||1704April 2017|
|Forensic Technology & Discovery Services||The costs and risks associated with disputes, investigations and compliance reviews are increasing by the day. Information requests from courts and regulators are usually broad yet with tight deadlines. Potential sanctions for noncompliance intensify the need to respond effectively. Proactive litigants, particularly those in highly regulated industries, address inherent inefficiencies in their processes in order to implement and benefit from repeatable, cost-effective and consistent discovery protocols to respond in a timely fashion.||1704April 2017|
|Forensic Technology & Discovery Services||Many businesses today serve a global marketplace that is increasingly challenging due to a complex legal and regulatory environment. The demand for global availability of review services has been driven beyond cost savings to quality control, speed and cross-border coordination. The EY Managed Document Review (EY MDR) team is equipped with the resources and technologies needed to meet evolving litigation and compliance needs on quality, privacy, security and cost efficiency, all at the same time.||1704April 2017|
|Forensic Technology & Discovery Services||Disputes, investigations and regulatory reviews typically require timely collection from a wide range of sources. Given the diverse forms of electronically stored information, modern discovery relies on a creative combination of classic search and advanced analytics to effectively mine relevant material. EY Discovery Data Services works with each stage of the litigation life cycle, across platforms and data types. Our team is equipped with the right technology and knowledge to provide rapid, justifiable and proportional response to litigation and regulatory document requests with cost efficiency and quality delivery.||1704April 2017|
|Forensic Technology & Discovery Services||Document review consumes 73% of corporate litigation budgets.1 Total review costs will likely climb flirten auf dem oktoberfest higher because an array of investigative, compliance, data protection, privacy and internal control issues are driving up the need for document review, beyond litigation. Inexorably, corporate law departments are adopting new and more efficient first-pass document review approaches that combine people, workflow and technology. This paper explores some of these leading practices and also important considerations for document review in cases that are beyond litigation, such as compliance due diligence, cybersecurity remediation and contract review.||1704April 2017|
|Fraud and Investigations||One of the recent trends in FCPA enforcement is the heightened focus and scrutiny by the US Government on corporate remediation. Remediation demonstrates corporate acceptance of responsibility for misconduct and is a critical factor in the Department of Justice’s (DOJ) and the Securities and Exchange Commission’s (SEC) decision-making in corporate FCPA resolutions.||1703March 2017|
|Integrity Diligence||The recent media attention surrounding the use of shell companies in international fraud, corruption and money-laundering scandals has spawned global interest in the use of foreign jurisdictions for corporate transactions. The risks a company faces from the illicit use of shell companies are many.||1701January 2017|
|Forensic Technology and Dispute Services||In the years since Da Silva Moore formally recognized predictive coding as a viable alternative to manual review, nine federal circuits, the US Tax Court and a number of state courts have supported the use of technology to expedite electronic discovery. As the case law grows, there is a developing trend toward adding predictive coding with classical Boolean search practices to mitigate costs without sacrificing statistical confidence or possibly even the accuracy of results.||1701January 2017|
|Government Contract Services||On August 2016, the Department of Defense (DoD) finalized an amendment to Defense Federal Acquisition Regulation Supplement (DFARS) 252.246-7008, Sources of Electronic Parts (Federal Register Vol. 81, No. 148, dated August 2, 2016). This amendment to the DFARS is aimed at eliminating the influx of counterfeit electronic parts into the DoD supply chain. DoD contractors and subcontractors are now required to acquire electronic components and assemblies from trusted manufacturers or “authorized aftermarket manufacturers.”||1612December 2016|
|Government Contract Services||As an update to our recently issued Cyber Client Alert, the Department of Defense (DoD) issued as final Defense Federal Acquisition Regulation Supplement (DFARS): Network Penetration Reporting and Contracting for Cloud Services (DFARS Case 2013-D018) effective October 21, 2016.||1610October 2016|
|Insurance and Federal Claim Services|| The last issue of Eye on disaster recovery addressed the importance of incorporating financial preparedness and recovery into an organization’s overall disaster recovery plan. It addressed activities crucial to maintaining financial stability following a catastrophic disaster such as generation of revenue, mitigation of expenses and recovery of funds from insurance and other sources. |
This issue of Eye on disaster recovery expands upon that theme by focusing on financial preparedness for organizations that qualify for FEMA Public Assistance grants, including state and local governmental entities, private nonprofits and Native American tribes. We have also included a basic financial preparedness checklist that applies to all organizations.
|Corporate Compliance||In this white paper, Ernst & Young LLP (EY or we) summarize the Anti-fraud Guide and its relationship to COSO’s Internal Control — Integrated Framework. We describe COSO’s definition of fraud, principles of fraud risk assessment and fraud risk management. We also provide practical guidance for implementation of the Anti-fraud Guide.||1609September 2016|
|Forensic technology and discovery services||An effective insider threat program not only protects digital assets, it also reduces security risk to physical assets such as industrial control systems and critical infrastructures. The starting point for improving insider threat security is to determine the organizational readiness and create a plan that enables the organization’s insider threat program to evolve with its shifting risk priorities and grow to the level of relevant maturity.||1607July 2016|
|Government Contract Services||The General Services Administration (GSA) issued the final Transactional Data Reporting rule (TDR) requiring participating vendors to report transactional data related to covered contracts. The rule aligns with GSA’s long-term objective to adopt a market-driven pricing model rather than a vendor’s most favored pricing.||1607July 2016|
|Life Sciences||Managing bribery and corruption risk in the life sciences industry||What are the characteristics and pressure points of life sciences companies that seem to increase the risk of corruption?||1607July 2016|
|Government Contract Services||On May 5, 2016, GSA regional offices in Fort Worth, TX, and Kansas City, MO, alerted schedule holders by letter that they had one week to “review their total offering of products” and provide evidence of compliance with TAA requirements. The notice requires contractors to submit the Country of Origin (COO) for all products on their schedule along with a Certificate of Origin for all products made in the US or TAA-designated countries.||1606June 2016|
|Fraud and Investigations||Managing bribery and corruption risks in the oil and gas industry||The global nature and scale of the oil and gas sector makes compliance with anti-bribery and anti-corruption regulation something that requires significant management focus.||1601June 2016|
|Fraud and Investigations||Managing risk for the global organization||Our skilled professionals are adept at evaluating the evidence and calculating damages or lost profits due to bankruptcy, transaction and contract disputes, and business interruption.||1606June 2016|
|Government Contract Services||In May, the Defense Contract Audit Agency (DCAA) formally announced an internal restructuring that has been underway since January of this year, with the intent of improving efficiencies, communication, collaboration and customer service throughout the agency.||1605May 2016|
|Financial Services Industry||Financial institutions are facing a wave of regulatory scrutiny. This trend is not showing any sign of slowing down. In fact, recent government inquires have uncovered money laundering and sanctions violations at several major financial institutions.||1704April 2016|
|Insurance and Federal Claims Services||The United States, along with many other countries around the globe, experienced a proliferation of catastrophic events last year. This issue of Eye on disaster recovery addresses financial preparedness and recovery. While most organizations now have disaster recovery plans in place, these tend to focus largely on life safety and physical recovery. Financial preparedness and recovery planning extends disaster recovery planning into areas crucial to sustaining financial stability and recovery following a catastrophic loss, including generation of revenue, cost mitigation, insurance coverage and federal disaster grants.||1602February 2016|
|Government Contract Services||Executive Order Establishing Paid Sick Leave||Start planning now for the new requirements that will be in effect in 2017. Government contractors will need to determine which of their contracts, “contract-like instruments” and solicitations (collectively referred to as “contracts”) will be subject to these rules and whether to provide paid sick leave as required to all employees or only to those who work on affected contracts. Either approach may require updates to systems, benefits policies or programs before being implemented.||1512December 2015|
|Corporate Compliance||Business integrity and corporate compliance||Our Business Integrity and Corporate Compliance services help organizations improve the effectiveness and sustainability of their integrity and compliance program. We support you in assessment and strategic compliance projects as well as full range compliance program advisory campaigns.||1509September 2015|
|Corporate Compliance||Spotlight on the CCO||How Millennials are going to pave the way to improve Corporate Compliance||1509September 2015|
|Corporate Compliance||Spotlight on the CCO||Employees’ loyalty — performance or risk driver?||1509September 2015|
|Government Contract Services||Highlights from the Defense Contract Audit Agency’s 2014 annual report to Congress||In May 2015, the Defense Contract Audit Agency (DCAA) publicly released its FY 2014 Annual Report to Congress, dated March 25, 2015. The report provides information and data on its performance trends, audit priorities and legislative initiatives.||1507July 2015|
|Government Contract Services||Significant ASBCA decision regarding CAS cost accounting practice changes cost impacts||The Armed Services Board of Contract Appeals (ASBCA) recently issued some far-reaching decisions affecting the computation of Cost Accounting Standards (CAS) cost impacts for voluntary changes in government contractors’ cost accounting practices.||1507July 2015|
|Government Contract Services||New FAR Human Trafficking||Regulations strengthening protections against trafficking and the impact on contractors. What recent changes mean for you.||1506June 2015|
|Insurance & Federal Claims Services||Mining big data to mitigate corruption risk: Global Forensic Data Analytics Survey 2014||Issue 01 features articles on Matching Cyber Risk with Your Insurance Policy and Federal Emergency Management Agency (FEMA) Public Assistance — An Overview of the Sandy Recovery Improvement Act of 2013.||1504April 2015|
|Government Contract Services||Mining big data to mitigate corruption risk: Global Forensic Data Analytics Survey 2014||Organizations should have an effective information governance strategy that aligns with their overall risk management strategy. We explore these strategies in our report.||1504April 2015|
|Government Contract Services||Mining big data to mitigate corruption risk: Global Forensic Data Analytics Survey 2014||Besides an information security plan, every organization should have a strong cyber breach response plan. This illustration can help you implement.||1504April 2015|
|Insurance & Federal Claims Services||Disaster Recovery Services||Our extensive knowledge and understanding of how to provide oversight to complex recovery processes gives you an advantage in successfully maintaining and implementing your disaster recovery program.||1405May 2014|
|Insurance & Federal Claims Services||Insurance claims services||The losses resulting from an insured incident may impact your business in ways that do not become apparent until well after the loss.||1404April 2014|
|Government Contract Services||Safeguarding unclassified controlled technical information||To be compliant, contractors must establish reporting and accountability requirements and flow UCTI requirements to subcontractors.||1402February 2014|
|Forensic Technology & Discovery Services||Cybercrime: an evolving risk to businesses||To manage risks, businesses should identify risks, protect what matters most, sustain security programs, and embed security in the business.||1401January 2014|
|Government Contract Services||Federal Supply Schedules||Supply schedules provide for long‑term, government-wide contracts with commercial firms to provide access to commercial supplies and services at volume discount pricing.||1401January 2014|
|Government Contract Services||Indirect cost rates||Indirect cost rates are necessary for contract pricing and payment purposes on government contracts, grants and cooperative agreements.||1401January 2014|
|Government Contract Services||Training your staff||Compliance with the government's rules and requirements requires sound policies and procedures and trained personnel.||1401January 2014|
|Government Contract Services||Allowable costs||Determining allowable costs for contract pricing or reimbursement purposes can be complicated.||1401January 2014|
|Government Contract Services||Business systems||A multitude of government regulations require contractors to have acceptable business systems as a condition to contract award.||1401January 2014|
|Government Contract Services||Claims and disputes||Government contracts provide a variety of approaches for seeking administrative remedies for claims and disputes.||1401January 2014|
|Government Contract Services||Commercial item acquisition||Opportunities for commercial companies that want to sell their products and services to the federal government have increased since the passage of the Federal Acquisition Streamlining Act and the Clinger-Cohen Act.||1401January 2014|
|Government Contract Services||Contract pricing and proposal support||A contractor’s understanding of these complex processes is critical to the development of capture strategies and winning government contracts.||1401January 2014|
|Government Contract Services||Cost Accounting Standards||Originally established to address concerns involving defense contractor cost estimating, accumulating and reporting under negotiated government contracts (and subcontracts), the CAS can now apply to civilian agency contracts and also extend to certain colleges and universities.||1401January 2014|
|Government Contract Services||Meeting the challenge||Success in selling your goods and services in the federal marketplace will depend on your ability to comply with the government's procurement rules and regulations.||1401January 2014|
|Fraud and Investigations||Business briefing: Foreign Corrupt Practices ACT Guidance issued||The interpretations offered within the Guide do not have the force of law. However, given that nearly all FCPA cases against companies are settled outside of court, such views matter greatly to US companies and foreign multinational companies.||1311November 2013|
|Fraud and Investigations||Dangerous world: Practical steps for global companies to evaluate and address corruption risk||This article provides suggestions for how large and midsize companies should go about evaluating their corruption risks and put a program in place to address these risks responsibly.||1310October 2013|
|Life Sciences||Life sciences compliance: the last decade||In the area of commercial compliance, the pharmaceutical industry has experienced extraordinary change over the past 10 years.||1309September 2013|
|Mining & Metals||Managing bribery and corruption risks in the mining and metals industry||This publication provides an overview of the current anti-bribery and anti-corruption trends in this industry, and sets out some key steps that companies can take to mitigate risk.||1309September 2013|
|Forensic Technology & Discovery Services||Cybercrime diagnostic: Proactively combating high-impact cyber threats||Increasingly, cyber threats are being discussed in the boardroom, as the authorities hold companies and their leadership to account for the security of customer and employee data.||1309September 2013|
|Fraud and Investigations||Asia-Pacific Fraud Survey 2015||Asia-Pacific businesses surveyed see a disconnect between the anti-bribery and anti-corruption policies||1309September 2013|
|Integrity Diligence||Third-party risk management||Understanding who you conduct business with has become more than just good business practice; it is increasingly smart compliance.||1308August 2013|
|Forensic Technology & Discovery Services||Forensic data analytics: Globally integrated compliance review, litigation support and investigative services||FDA combines the extensive use of big data and statistical and qualitative analysis, in conjunction with explanatory and predictive models, to guide and identify issues and areas warranting further review.||1308August 2013|
|Forensic Technology & Discovery Services||Using data analytics to enhance compliance with corporate social media policy||Few companies are taking advantage of data analytics for risk management purposes, such as identifying specific instances of content generated by employees that may violate corporate social media policy.||1307July 2013|
|Fraud and Investigations||Anti-corruption internal audits: A crucial element of anti-corruption compliance||At EY, we believe that anti-corruption monitoring, including anti-corruption internal audits, are perhaps the most crucial element of an effective anti-corruption program.||1307July 2013|
|Fraud and Investigations||The audit committee’s evolving role in overseeing corporate investigations||Making the right choices at the outset and along the way is critical to obtaining a good outcome and to ensure that the audit committee properly discharges its legal and ﬁduciary duties.||1307July 2013|
|Real Estate & Construction||Managing bribery and corruption risks in the construction and infrastructure industry||The construction and infrastructure sector has featured significantly in bribery prosecutions, with 11% of all enforcement activity, since FCPA was introduced, relating to the sector.||1303March 2013|
|Financial Services Industry||Adapting AML monitoring for Remote Deposit Capture||In its October 2011 assessment, FinCEN reports that Remote Deposit Capture (RDC) Suspicious Activity Report (SAR) filings increased substantially as use of the product has grown and as regulatory enforcement actions targeting the product were announced. As the report emphasizes, use of RDC internationally generated many of the SARs, via money service businesses and casa de cambio accounts, to deposit not only personal checks but money orders and traveler’s checks. The trifecta of risk—location, customer and product—results in an obvious need for enhanced monitoring.||1303March 2013|
|Energy/Oil & Gas Industry||Risk and compliance for today's global oil and gas companies||Energy companies that do business around the world face significant risks related to the ever-increasing complexity of regulatory compliance. We hosted a series of panel discussions featuring energy industry leaders discussing how companies can best focus their compliance risk mitigation efforts.||1208August 2012|
|Fraud and Investigations||The U.K. Bribery Act: How to Mitigate the Risks of Prosecution for Making Facilitation Payments||Companies that have used the label “facilitation payment” to describe small, routine payments that encourage non-discretionary actions, will face new risks of prosecution. Review the following 5 steps to help your company mitigate the risks of prosecution.||1107July 2011|
|Integrity Diligence||Third-party due diligence: Key components of an effective, risk-based compliance program||Global corporations and their audit committees are taking a closer look at how they manage third-party relations. In this paper, we discuss the key components of an effective vendor due diligence program.||1107July 2011|
|Insurance & Federal Claims Services||Considerations for property insurance claims in the transportation industry||Learn what characteristics are unique to the transportation industry and can cause complexities in coverage and measurement of property and business interruption claims.||1104April 2011|