Executive Roadmap to Fraud Prevention and Internal Control : Creating a Culture of Compliance

by Martin T. Biegelman; Joel T. Bartow

• ISBN13: 9780471739272
• ISBN10: 0471739278
• Format: Hardcover
• Copyright: 2006-01-01
• Publisher: Wiley

Summary

Praise for Executive Roadmap to Fraud Prevention and Internal Control "Our nation is faced with dual alarming trends of record highs in white-collar crime and seemingly record lows in ethics. The solution cannot be left only to legislators, regulators, and law enforcement. It requires the attention of all of us in business to create a culture of compliance. This new book by Martin Biegelman and Joel Bartow is an invaluable resource to achieving the highest levels of compliance." --Kenneth J. Hunter, former chief postal inspector and former president & CEO of the Council of Better Business Bureaus "This is a timely and thought-provoking addition to fraud and risk management literature. For seasoned executives who are navigating the maze of compliance, legislative requirements, and increasingly sophisticated criminal activity, this book will be a frequent reference and guide. Neophyte managers will gain years of insight and direction that can only benefit their organizations. Academics, both faculty and students, will learn from the authors' ability to apply theory to high-level practice." --Gary R. Gordon, EdD, Professor of Economic Crime Management and Executive Director, Economic Crime Institute of Utica College "All executives need to protect themselves and their organizations from the potentially catastrophic damage fraud can cause, both financially and reputationally. This new book is a very clear and practical guide to achieving that goal." --Toby J. F. Bishop, President and Chief Executive Officer, Association of Certified Fraud Examiners "This book is a must-read for anyone eager to understand--and prevent--the toxic mix of temptations that can destroy a company's reputation overnight. The authors, both seasoned former fraud investigators, bring a unique, clear-eyed perspective to the topic of corporate fraud. They have seen it all, and their book is an invaluable reference for senior management, compliance executives, in-house lawyers, and anyone else who cares about corporate integrity." --Leslie R. Caldwell, Partner, Morgan Lewis & Bockius former director, U.S. Department of Justice Enron Task Force "Excellent resource! A great guide for corporate management in the post-Enron world." --Karen A. Popp, Partner, Sidley Austin Brown & Wood LLP and former associate counsel to President Bill Clinton and former federal prosecutor

Author Biography

Martin T. Biegelman, CFE, is Director of Financial Integrity for Microsoft Corporation in Redmond, Washington. He created and leads a worldwide fraud detection, investigation, and prevention program based within internal audit at Microsoft. In addition to focusing on preventing financial fraud and abuse, he promotes financial integrity and fiscal responsibility in a COSO framework of improved business ethics, effective internal controls, and greater corporate governance.
Mr. Biegelman has more than 30 years of experience in fraud detection and prevention. Previously, he was a Director in the Fraud Investigation Practice at BDO Seidman, LLP, an international accounting and consulting firm. He is also a former federal law enforcement professional, having served as a United States Postal Inspector in a variety of investigative and management assignments. As a federal agent, he was a subject matter expert in fraud detection and prevention.
Mr. Biegelman is a Certified Fraud Examiner (CFE) and in 2004 was elected to the Association of Certified Fraud Examiners’ Foundation’s Board of Directors. He also serves on the Board of Advisors for the Economic Crime Institute. He is a nationally recognized speaker and instructor on white-collar crime, corruption, security issues, and fraud prevention. He has written numerous articles on fraud-related subjects including corporate crime, fraud prevention, and the Sarbanes-Oxley Act.
Mr. Biegelman holds a Master’s degree in public administration from Golden Gate University and a Bachelor of Science degree from Cornell University.

Joel T. Bartow, CFE, CPP, is the Director of Fraud Prevention for ClientLogic, an international outsourcing company that has 20,000 employees at more than 50 locations in North America, Europe, the Philippines, and India.
Mr. Bartow served as a Special Agent for the FBI for ten years from 1987 to 1997. During that time, he worked on bank fraud and public corruption cases in Alabama and was a member of the original Russian organized crime squad in New York City, conducting complex money laundering investigations and working directly with the Russian Ministry of Internal Affairs.
After leaving the FBI, Mr. Bartow lived and worked in the former Soviet Union as a police liaison and loss recovery specialist for an American company in Kiev and Moscow. On returning to the United States, he became a partner at The Worldwide Investigative Network, LLC, a fraud consulting and investigations company near Philadelphia.
Mr. Bartow holds a Master of Arts degree in social science and a Bachelor of Arts degree from Lincoln University in Missouri. He is a Certified Fraud Examiner (CFE), a Certified Protection Professional (CPP), and a Certified Business Manager (CBM). He has written several articles for Fraud Magazine, a publication of the Association of Certified Fraud Examiners and has also written two crime novels.
Mr. Bartow has 18 years of experience investigating and detecting fraud and corruption in countries all over the world, including Russia, Estonia, Ukraine, Antigua, Switzerland, Greece, Israel, Kenya, Nigeria, and the Philippines, as well as across the United States from Sacramento, California to San Juan, Puerto Rico.

Table of Contents

Preface.

Acknowledgements.

Chapter 1. Fraud’s Feeding Frenzy: Overview of Recent Corporate Scandals.

Chapter 2. Fraud Theory and Prevention.

Chapter 3. The Path to Greater Corporate Compliance, Accountability, and Ethical Conduct: COSO to Sarbanes-Oxley.

Chapter 4. The Path to Greater Corporate Compliance, Accountability and Ethical Conduct: SAS 99 to the Sarbanes-Oxley Influence on Private and Nonprofit Organizations.

Chapter 5. Internal Controls and Antifraud Programs.

Chapter 6. Financial Statement Fraud.

Chapter 7. Internal Fraud:  Protecting A Company.

Chapter 8. Views from Both Sides of the Fence: Interviews with a Fraudster and a Fraud Investigator.

Chapter 9. External Fraud Schemes – The Rest of the Fraud Story.

Chapter 10. Information Security and Fraud.

Chapter 11. Designing a Robust Fraud Prevention Program at Your Company.

Chapter 12. Whistleblowers and Hotlines.

Chapter 13. It’s Time To Do Background Checks.

Chapter 14. Training, Training, and More Training.

Chapter 15. The Fraud Risk Outside the United States.

Chapter 16. The Feds Are Watching: What to Know and Do Now.

Chapter 17. Beyond Compliance: A Fraud Prevention Culture That Works.

Appendix A: Key Sections of the Sarbanes-Oxley Act of 2002.

Appendix B: Fraud Risk Factors Related to Misstatements Arising from Fraudulent Financial Reporting.

Appendix C: Fraud Risk Factors Related to Misstatements Arising From Misappropriation of Assets.

Index.