Fraud – Change Of Bank Details

These cases though widely known of are unfortunately still commonplace.  The fraudster manages to change the bank payment details of a legitimate supplier so that the payment is diverted to the fraudster.

They do this by sending forged or altered versions of legitimate documents, invoices and/or emails that then flow through the organisation’s normal payment system.

The fraudster normally obtains data such as company invoices, via email phishing attacks and spyware or from colluding insiders.

The fraudsters often pay “runners” as fronts to open bank accounts into which conned organisations unwittingly send their payments.  By the time the legitimate supplier contacts the organisation for payment, the fraudster has withdrawn the funds or transferred them.

The runners are identified by the banks and sometimes apprehended but not always prosecuted because they often seek ignorance.

What questions do you have?

We are happy to help. Please post your comment below or call Paul Leonard, Partner at Cooney Carey, on 01 677 9000. Alternatively, send him an email: pleonard@cooneycarey.ie

If this article helped you, please share it with other businesses.

Posted on April 3, 2019 by Paul Leonard

4 Important Steps In Any Investigation

To truly understand and quantify a disputed amount we go beyond examining the detail to question the underlying assumptions and identify the relevant facts.

Let’s look at each of the 4 key steps in any investigation:

1. Identify the Type of Fraud

The initial stages of the investigation are the most important. There are so many ways that people commit fraud and new types of frauds are being committed every day. Determining what category of fraud has occurred will ensure that you can find the right contacts to help you along the way.

2. Create an Investigation Plan

Creating a plan is an important and often overlooked part of the fraud investigation. It takes time, but it keeps investigations Read more

Posted on December 13, 2017 by Lisa Byrne

Why Should You Consider an Internal Control Review?

You might have a clean audit opinion but material weakness in your internal control function… It’s better to check it out.

What is a Clean Audit Opinion?

The opinion of a company’s auditors that its financial statements are fairly presented in accordance with generally accepted accounting principles.

What is Internal Control?

Internal control is a process put in place by a company’s board of directors, management and other personnel, designed to provide reasonable assurance regarding the achievement of objectives.

Is a Clean Audit Opinion a Guarantee of Error-free Financial Statements?

When an auditor issues a clean opinion on the company’s financial statements, this is a representation to the public that the auditor has followed applicable auditing and associated professional standards to allow the auditor to conclude with reasonable assurance that the financial statements are fairly presented in line with Financial Reporting Standards in all material respects.

However, a clean audit opinion is not a guarantee of error-free financial statements, it is a conclusion by an auditor, using procedures and professional judgment that are reasonable, that the financial statements are Read more

Posted on November 28, 2017 by Lisa Byrne

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