The Factors of a Good Fraud Examiner - 926 Words

The development of fraud examiner/forensic accounting profession since the 2001 Enron Fraud After the Enron and WorldCom business climate, there came a new US federal law called Sarbanes – Oxley Act. The SOX contains 11 titles that describe specific mandates and requirements for financial reporting. It makes corporate executives more accountable for their actions. Companies invested a tremendous amount of resources, time, and effort in order to comply with the requirements. It clearly improved the internal control environment and its ongoing continuity, but it has its limitations. And after Enron, firms also make effort to prevent fraud like: appointment of a new management team; replacement of its auditing firm; restructuring of its†¦show more content†¦Professional Skepticism: to recognize that fraud may be present, an attitude that includes a questioning mind and a critical assessment of the evidence and a commitment to persuasive evidence; 9. Team work and leadership: the fraud examiner must be a team player and like brainstorm and critical thinking. Fraud examiner and forensic accounting embrace many more disciplines than accountants. It is more challenged. Individuals must have higher education, developing knowledge frontiers, and have ongoing developments. To perform well at their job, Fraud Examiners need strong self-management, problem-solving, critical-thinking, organizational, interviewing, research, and writing skills. Because they must work well with different people from diverse backgrounds, they need excellent interpersonal, teamwork, and communication skills. Being personable, assertive, honest, detail-oriented, persistent, inquisitive, and flexible are some personality traits that successful Fraud Examiners share. Forensic accountants are currently in great demand, with the public need for honesty, fairness and transparency in reporting increasing exponentially. These forensic accountants need accounting, finance, law, investigative and research skills to identify, interpret, communicate and prevent fraud. As more and more companies look for forensic accountants andShow MoreRelatedHow to Incorporate the Fraud Triangle Theory797 Words   |  4 PagesThe term of â€Å"fraud triangle† was developed by Dr. Donald Cressey, a criminologist who studied embezzlers. The three basic elements of fraud triangle include perceived pressure, perceived opportunity, and the ability to rationalize. It explains the nature of many fraud offenders and also become a tool to assess the risk of fraud. It is important to companies to incorporate the fraud triangle theory in order to reduce the risk of fraud within their organization. From my standpoint, companies shouldRead Moretrueblood Essay878 Words   |  4 Pagesof 2002 (SOX), the audit committee is vested with greater authority to oversee ï ¬  nancial reporting and the appropriation of assets. 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