A new article from „Internal Auditor“ addresses the various facets of procurement fraud. Internal auditors who are aware of these signs can help identify vulnerabilities.
Procurement is a significant function of business, and internal auditors are responsible for immediately identifying and reporting fraud and ultimately making recommendations to strengthen internal controls. To do this, auditors must look for warning signs called red flags. The article discusses Contractor Collusion, Collusion Between Contractors and Buyer’s Employees, Negotiated Contract Pricing Schemes, Post-contract Schemes and Mitigating Fraud.
You can read the article here.