1. SRT510 Business Case Studies Types of Financial Frauds— excerpts from various sources (sources are listed)

2. Source: Business Fraud (The Enron Problem), W. Steve Albrecht Ph.D., CPA, CIA, CFE, Brigham Young University, © 2003, 2005 by the AICPA Link from: http://www.caseplace.org/d.asp?d=1398http://www.caseplace.org/d.asp?d=1398

3. © 2003, 2005 by the AICPA Financial Statement Frauds Revenue/Accounts Receivable Frauds (Global Crossing, Quest, ZZZZ Best) Inventory/Cost of Goods Sold Frauds (PharMor) Understating Liability/Expense Frauds (Enron) Overstating Asset Frauds (WorldCom) Overall Misrepresentation (Bre-X Minerals)

4. © 2003, 2005 by the AICPA Revenue-Related Transactions and Frauds

5. Source: Harvard Business Review: Use Heat Maps to Expose Rare but Dangerous Frauds 2:30 PM Wednesday June 17, 2009 by Toby J. F. Bishop & Frank Hydoski ( Link from: http://blogs.harvardbusiness.org/hbr/hbr-now/2009/06/exposing- rare-but-dangerous-fr.htmlhttp://blogs.harvardbusiness.org/hbr/hbr-now/2009/06/exposing- rare-but-dangerous-fr.html

7. Source: To deter and detect fraud: The new corporate creed CEO/CFO Certification News, April 2005 Publish date: January 31, 2008 Link from: http://www.deloitte.com/view/en_CA/ca/article/c0034bdacd0fb110VgnVCM1 00000ba42f00aRCRD.htm http://www.deloitte.com/view/en_CA/ca/article/c0034bdacd0fb110VgnVCM1 00000ba42f00aRCRD.htm

8. “Fraud costs Canadian businesses and their stakeholders millions of dollars every year. The true costs of fraud include not only the actual dollars lost, but also the significant costs related to internal investigations, dealing with regulatory or law enforcement agencies and, of course, the damage caused to the organization's reputation and credibility. We have all seen the chilling effects fraud can have on the markets — effects that extend far beyond the millions of dollars lost each year. Instances of financial fraud have damaged numerous companies beyond recovery, and left investors wary of the public markets and the integrity of corporate management. …”

9. “…fraudulent financial activities can extend to all areas of an organization. In designing effective programs and controls, it helps to recognize that fraud can include: Fraudulent financial reporting, including improper revenue recognition; improper capitalization of expenses; improper asset valuation; related- party transactions; and improper management override of financial transactions Misappropriation of assets Improper or unauthorized expenditures, including bribery and other improper payment schemes Self-dealings (including kickbacks) Violations of laws and regulations, including those that expose a company or its agents to regulatory or criminal sanction …”

10. Source: Deloitte: Ten Things About Financial Statement Fraud. A review of SEC enforcement releases, 2000-2006, Deloitte Forensic Center June 2007 Link from: http://www.deloitte.com/dtt/cda/doc/content/us_forensic_tenthings_fraud010 72008.pdf http://www.deloitte.com/dtt/cda/doc/content/us_forensic_tenthings_fraud010 72008.pdf