Types of Business Fraud

Businesses are often seen as easy targets for fraud. Some may believe that they have “deep pockets” or too much bureaucracy to notice that something is amiss. For a relatively small organization, fraud can threaten its very existence. According to the Association of Certified Fraud Examiners (ACFE), the average amount that a company with 100 or fewer employees loses due to fraud is $154,000. And, the financial impact is only one element of the damages a business may incur.

 

There are countless ways businesses can be the victims of fraud.  Some of the most common include:

  1. Asset Misappropriation. This category includes schemes where an employee tries to defraud a business by engaging in fraudulent activity involving taking assets from the company.

 

  1. Vendor Fraud. A vendor may conspire with employees or act alone to construct deals or fix prices.

 

  1. Accounting Fraud. From embezzlement to skimming, accounting fraud comes in several varieties.

 

  1. Data Theft. Stealing data or trade secrets can be devastating to a business or individual, and it’s becoming increasingly common in this digital age.

 

  1. Bribery and Corruption. Bribes, kickbacks, and shell company schemes can hurt a business’s bottom line, its reputation, and even employee morale.

 

DeBlasio & Gower’s attorneys have over four decades of combined experience and a long track record of working with clients in fraud cases, from individual and small business fraud to consumer fraud class action lawsuits. Please feel free to reach us at (630) 560-1123 to discuss your fraud case.