Public Resources on Fraud

Fraud a Burden on Society:

Especially in Florida

Florida, and especially South Florida, has the reputation of being the fraud capital of America with many media accounts writing about it.[1] [2] [3] [4]

More broadly, approximately $4 trillion globally is lost every year due to fraud.[5] For perspective, that is more than the entire GDP of the UK in 2016. Fraud is important to society because of its magnitude and trickle-down effects on taxpayers and consumers.

Fraud is the intentional act or omission designed to deceive and results in a loss to a victim and a gain to a perpetrator. The average person may believe fraud has no impact on them or they are not affected by fraud losses of large corporations. However, the scope of fraud and the effects seem to be growing. Many areas of fraud exist impacting ordinary people and should not be taken lightly. Some knowledge of the subject of fraud, no matter how limited, can help protect you, family, or friends from becoming a victim.  Moreover, the ability to identify fraud if you have been a victim and knowing what can be done to stop it may stop further harm.

Fraud is a threat to society and can take many forms.  Financial fraud, for instance, often arises from increasing expectations on people and organizations and the need to deliver good results to shareholders and lenders. Ernst and Young’s 2016, 15th Global Fraud Report Survey found that 42% of CFO respondents could, if needed, justify unethical behavior. In addition, 20% of those under the age of 35 years have said they could justify fraud or corruption to help meet financial targets.[6]

Florida Atlantic University’s Center for Forensic Accounting aims to help educate the public, government investigators, and forensic accountants about fraud with the belief that an educated public is a stronger public. Contained within our center website is brief yet valuable information on many areas of financial crimes and civil frauds.

[1] Manning, M. (2018. March 15). Florida retains its dubious distinction as scam capital of the US. Tampa Bay Business Journal. Retreived on January 15, 2019, from https://www.bizjournals.com/tampabay/news/2018/03/05/florida-retains-its-dubious-distinction-as-scam.html

[2] Associated Press. South Florida is the organized fraud capital of America (2015, July 29). Retreived on January 15, 2019, from https://nypost.com/2015/07/29/south-florida-is-the-organized-fraud-capital-of-america/

[3] Fortune. This region is the fraud capital of America (2015, July 29). Retreived on January 15, 2019, from  http://fortune.com/2015/07/29/south-florida-fraud/

[4] Miami Herald. South Florida still No. 1 for healthcare fraud, following massive takedown across nation (2018, June 28). Retreived on January 15, 2019, from  https://www.miamiherald.com/news/local/article213981474.html  

[5] Association of Certified Fraud Examiners. (2018). Report to the Nations: 2018 Global Study on Occupational Fraud and Abuse (p.8). Retrieved on October 27, 2018, from https://s3-us-west-2.amazonaws.com/acfepublic/2018-report-to-the-nations.pdf

[6] Ernest and Young. 15th Global Fraud Survey 2018. Integrity in the Spotlight: The Future of Compliance. Retrieved on October 31, 2018, from https://fraudsurveys.ey.com/media/1627/global_fraud_survey_2018.pdf