Discussion topic: Complex Frauds

Auditors often fail to detect financial fraud in companies they are auditing because the perpetrators have concealed the fraud well in a complex manner.

• What are the components that make a fraud complex?

• What role does collusion play in complex frauds?

• Research the internet and find an example of a complex financial fraud and discuss the fraud act, how it was concealed, and what benefit was obtained by the perpetrator.