Lessons From the “Original Internet Godfather”

/
Lessons From the “Original Internet Godfather”

Known as the “Original Internet Godfather” for his exploits as one of the first cybercriminals, Brett Johnson’s life reads like a Hollywood film script, and his story of crime serves as a lesson for fraudsters and the law enforcement officials who hunt them down.

After being placed on the United States Most Wanted List, captured and convicted of 39 felonies, he escaped prison. Captured again, Johnson served his time and accepted responsibility. He now advises the FBI and corporate America about how to understand a virtual underworld that he helped create.

“Those 39 felonies had to do with refining a lot of the different online financial crimes we see today, from account takeovers, credit card fraud, phishing schemes and tax return identity theft,” he told John Gill, J.D., CFE, ACFE vice president – education, at the closing session of the ACFE Global Fraud Conference.

Read More

Empowering People to Question Is the First Line of Defense Against Fraud

/
Empowering People to Question Is the First Line of Defense Against Fraud

According to the U.S. Government Accountability Office, the federal government spent more than $586 billion on contracts in fiscal year 2019. With that much money floating around, it’s no surprise that fraudsters often target the contract awarding process. Vince Haecker, Ed.D., assistant special agent-in-charge in western region investigations for the U.S. Department of the Interior, Office of the Inspector General, explained to attendees at the 32nd Annual ACFE Global Fraud Conference how common fraud schemes occur in the contract process.

Read More

Behind the Music: "White-Collar Crime" Song Lyrics

/
Behind the Music: "White-Collar Crime" Song Lyrics

Attendees at the 32nd Annual ACFE Global Fraud Conference enjoyed a unique experience this week: the rugged, bluesy sound of a conference theme song focused on the fraud they fight day in and day out. “White-Collar Crime” was originally written by songwriter and musician Mike Lawrence and performed by the ACFE’s founder and Chairman Dr. Joseph T. Wells, CFE, CPA. In the 1970s, Dr. Wells and Lawrence were in a local Austin band called The Lorenzo Dunford Band. Outside of music, Lawrence was special counsel to the ACFE and served as an advisory member of the Board of Regents, as well as a faculty member.

Lee Roy Parnell, an American country and blues artist, singer and guitarist and a member of the Texas Songwriter’s Hall of Fame, produced a version exclusively for the ACFE and played throughout the event. To add to the song that is available for download, we wanted to provide attendees with the lyrics that encapsulate so much of what fraud fighters are up against. Below are the lyrics in written form, and you can also enjoy a designed PDF, and print, post or share them with colleagues and friends!

Read More

Leading Your Anti-Fraud Team Through Tumultuous Times

/
Leading Your Anti-Fraud Team Through Tumultuous Times

There was no shortage of tumultuous times over the past year and a half. A global pandemic, isolation, social unrest, a tenuous election, fear, anxiety and, what I keep hearing over and over again, a shortage of hugs. But as Mark Greenblatt, CFE, Inspector General at the U.S. Department of the Interior, said today, we can come out of these difficult times with lessons learned and tools to have for the next challenge that comes our way.

In his session, “Leading Your Anti-Fraud Team Through Tumultuous Times,” Greenblatt shared what he personally learned over the past year when leading the U.S. Department of Interior’s office of the inspector general. He focused on three themes that arose and how each serve as vital keys to unlocking your team’s success in the future.

Read More

Lessons in Risk From "Jack and the Beanstalk"

/
Lessons in Risk From "Jack and the Beanstalk"

In her session titled “Root Cause or Causal Factor: Why It Matters” at the 32nd Annual ACFE Global Fraud Conference, Susann Ng, CFE, illuminated the difference between causal factor and root cause analysis. Causal factor is more granular in nature. It’s always backward looking, and there’s usually more than one contributing element. Whereas root cause is one key, underlying element of an event.

When fraud examiners understand both the causal factors and the root cause of an undesirable event, they can understand what and how something went wrong or what produced the unexpected outcome. They can then use those insights to design and implement control improvements.

Read More

New Cyber Risks in Financial Institutions Can Be Solved by Communication

/
New Cyber Risks in Financial Institutions Can Be Solved by Communication

When the COVID-19 pandemic hit, many industries ground to a halt. In response, governments around the world approved unprecedented amounts of money to be sent to individual citizens and businesses to prop them up until they were able to reopen and go back to work. As funds were being transferred at break-neck speed, financial institutions were asked to help distribute and manage this money. At the same time, opportunistic fraudsters and cybercriminals pounced on the chaos.

In the panel session, “Emerging Fraud Risks and Trends in Financial Institutions,” at the 32nd Annual ACFE Global Fraud Conference, anti-fraud leaders in some of the top banks around the world weighed in on how the pandemic affected the fraud that financial institutions saw and the best tactics to fight some of those risks.

Read More

Seen on the Screen: Forging Ahead in the Fight Against Fraud

/
Seen on the Screen: Forging Ahead in the Fight Against Fraud

“So far, the session that has left the greatest impression on me is ‘Seeing What You Want to See: How Confirmation Bias Affects Fraud Examinations.’ It was helpful to examine my own bias, how it could hinder a fraud investigation and what I can personally do to make sure I remain objective to the facts of the case. I will definitely use this information immediately.” — Ugunda Toussant, CFE, Senior Investigator at Kinecta Federal Credit Union

Read More