Principles of Fraud Examination, 4th Edition

EXHIBIT 7-1

CHAPTER 7

EXPENSE REIMBURSEMENT SCHEMES

LEARNING OBJECTIVES

After studying this chapter, you should be able to:

7-1	Explain what constitutes expense reimbursement fraud
7-2	Discuss the data on expense reimbursement fraud from the 2011 Global Fraud Survey
7-3	Understand how mischaracterized expense reimbursement schemes are committed
7-4	Be familiar with the controls identified in this chapter for preventing and detecting mischaracterized expense schemes
7-5	Identify the methods employees use to overstate otherwise legitimate expenses on their expense reports
7-6	Understand controls that can be used to prevent and detect overstated expense schemes
7-7	Explain what a fictitious expense reimbursement scheme is and differentiate it from other forms of expense reimbursement fraud
7-8	Identify red flags that are commonly associated with fictitious expense schemes
7-9	Discuss what a multiple reimbursement scheme is and how this kind of fraud is committed
7-10	Discuss the controls identified in this chapter for preventing and detecting multiple reimbursement schemes
7-11	Be familiar with proactive audit tests that can be used to detect various forms of expense reimbursement fraud

CASE STUDY: FREQUENT FLIER'S FRAUD CRASHES¹

In his ten years at a regional office of Tyler & Hartford, Marcus Lane had spent more time on the road than at home—which means ...