Dodging the fickle finger of fraud

Companies may be held liable for fraud perpetrated by their employees under the Federal Sentencing Guidelines for Organizations (FSGO). However, the FSGO may free a company from such liabilities if it deems the company's security programs as adequate. Thus, preventing and detecting fraud is one of the most important functions of security professionals. The different types of fraud, the FSGO's sentencing guidelines, anti-fraud program design, supplemental steps and risk assessment are described.