Please note that I will not provide a job description for the fraud auditor. Instead, find the right person with the right skill set to think about the process.
I know this is a good technical question, but I don't know if there is a good technical answer. That being said, my advice to the CAE in the world is to find someone with a “passionate knowledge of the risk of fraud.” Passion will be the science of fraud risk and the enthusiasm for practical application of fraud audits. I say that because, for any new profession, the person has to be passionate about creating, building and polishing fraud audit methods. I'm sure this person will get depression from a traditional auditor. I know I have.
Now, until you say CFE, I don't think this person has the right skills or thinking process to become a fraud auditor. Yes, there may be CFEs that will be an excellent fraud auditor, but I think that CFE is investigating fraud and fraud auditors help management manage the risk of fraud. A big difference. I'd love to know the backpressure I've received. Remember, my job is to make you think.
Internal Audit Standard 2025: Fraud Liability
I searched for “New IIA Standards and Fraud Liability Summary”, which is what AI provides.
The new IIA (Internal Audit Institute) Global Internal Audit Standards will actively evaluate and mitigate the emphasis of internal auditors who are risking fraud within an organization, demanding that they take a more active approach to fraud detection and incorporate a deeper understanding of potential fraud plans into their audit plans and execution; this is in line with the broader responsibility of the internal audit function to support strategic goals and contribute to the overall success of the organization, rather than just financial controls.
Fraud Auditor Characteristics
So where do I start describing fraud auditors? Recently, I started using AI and the topic of fraud risk. I'm working with people who are skilled in using AI and have knowledge of fraud risks. Jennifer Powell is the editor of all my blogs and my colleague who uses AI to build fraud risk assessments.
Our inquiry is about the Ghost Staff Program. I think a very simple fraud risk statement should be understood. AI generates 30 different risk statements. Please note that I say risk statements rather than fraud risk statements. Here is what I noticed: statements are debris, ranging from errors, internal control weaknesses, red flag statements and lists are still continuing. Instead of providing a comprehensive list of fraud risk claims for the employees of the ghost, AI creates a list of random ideas. My explanation for the results is that the World Wide Web lacks structured knowledge about fraud risk statements or ghost employee programs. This brings me to the first feature of the FRAU auditor:
1. Excellent knowledge about the risk of fraud.
There is no real word than “a deeper understanding of potential fraud plans.” But, in the same sense, what exactly does this mean? I always try to use simple words to explain my concept of fraud. Here is: How and where? Ways related to understanding the risk statement of possible fraud in an organization. This is why I use phrases for fraud risk: natural vulnerabilities in internal control systems. “Where” is related to where the fraud risk statement is most likely to occur in an organization. So here is my second feature: This is my second feature:
2. Excellent knowledge on how and fraud risk statements.
In more than once, I talked about the importance of fraudulent data analysis. The current audit method is not intended to detect fraud. Yes, you may be fraudulent, and keen observation skills may detect fraud, but in organizations like Amazon, you can only detect fraud during the audit process by using fraud data analysis. But it's not just how to use the software. To clarify, I couldn't find fraud throughout my career without the help of Jill, Carol, Paul and others who are very skilled in using the software. However, this has to do with data knowledge. Consider something as simple as an address field. , I believe there are at least 15 address fields of different categories. You need to understand how the address field is related to a specific fraud risk statement or how the address is related to a fraud scheme globally. So, this is my third feature.
3. Knowledge about how data is related to fraud identification.
Fraud auditing is not something to cut and dry, it is Sox testing. I think a fraud auditor must be a great researcher and be good at debate. Audits start with document-supported transactions. A transaction or document will have metrics that need to be studied. Let's go back to the address field. Most transactions either have address fields embedded in the transaction or connect a database with addresses to the database. Suppose there is a kit number in the transaction in question. The fraud auditor must study the address and determine whether the real business is at that address or at the forefront of the company's fraud. According to the research, you fraud auditors need to conduct persuasive arguments for conducting forensic investigations. So, this is my fourth feature.
4. Excellent research skills and excellent debate skills.
Fraud audit testing procedures are all designed to collect evidence to support the conclusion that there is or is not reliable evidence to prove that a fraud risk is occurring in your core business system. Fraud auditors will need to have a keen understanding of the rules of authenticity, reliability and adequacy of evidence as it provides a compelling argument that a statement of risk of fraud occurs. Remember that so many times it is indirect evidence that leads us to a fraud situation. So, this is my fifth feature.
5. Excellent skills in using rules of evidence in creating their audit plans.
A key element of any fraud theory is that fraud involves deception, concealment or omission of significant facts. Fraud auditors must be able to observe hidden technology and pierce the fraudster’s hidden technology to reveal the truth about the transaction. over the years. We provide guidance on how to integrate hidden theories into your audit plan. So, this is my sixth characteristic.
6. Excellent skills in fraud hidden theory.
If you remember, I said “fraud auditor” instead of “fraud investigator”. In short, fraud auditors must have reasonable audit skills, as well as everything else we discuss.
It is crucial to understand that fraud auditing is just another way of thinking. Traditional audits want to collect evidence that internal controls already exist and operate. By contrast, fraud auditors are not deceived by internally controlled existences. Their work is to make comments on whether there is evidence that a fraud risk statement is taking place. So, this is my seventh characteristic.
7. Superior Audit skills
Please note that I specifically emphasize the word “superior”.
Trivial answers to April 1
1. What is the origin of April Fool's Day? April Fool's Day, no one is sure!
2. Indeed, does every country have a custom about April 1? It's true.
3. Indeed, could the story of Noah’s Ark be inspired by April Fool’s Day?
Some authorities returned seriously to the Noah and the Ark era. The London Public Advertiser of March 13, 1769 printed the following paragraphs on this theory:
“Noah on the first day of April, Noah sent the pigeons out of the ark and perpetuated this memory of salvation, thinking that the appropriate person, whoever forgets such a great situation, punishes them to send them through the kind of invalid message sent by the hiking birds.” Bertha R. McDonald (1908 Source Wiki
4. What scam did the BBC play with audiences in 1957? Spaghetti tree. You have to search for this story.
5. Which technology company has a history of my prank in April? Google
6. Why did that technology company stop practicing history? Covid 19- They are worried about all the scams about the disease.
Wish to cheat trivial matters
1. Who is called the great impostor?
2. What is Elizabeth Bigley, also known as Cassie Chadwick?
3. Who: Can you forgive me for her 2008 memoir? Later, it became an Oscar starring Melissa McCarthy, a film starring Melissa McCarthy.
4. Netflix reportedly portrayed her on screen in order to turn her adventure into the right to invent Anna in the 2022 limited series. This person also participated in the ABC Reality Competition program with Stars in 2024.
5. The story also received Netflix treatment in the form of the 2022 documentary “The Tinder Swindler”. Although the exposure led to his expulsion from the dating site and a family called the Diamond Family, the man has since signed with Hollywood agents and hopes to appear in his dating show.
