Fraud detection using Benford’s law

Financial fraud is here to stay as long as the likelihood of getting caught is low – Prof. John T. Reisch from ECU, Greenville, NC  discussed about using Benford’s  law to detect frauds in small businesses which is exposed more than the Medium and Large enterprises in modern day financial frauds.  In ISACA’s  RTP Chapter monthly training meeting today, the most interesting part of  John’s presentation was there are so much of information available about an individual online which should help  investigators  narrow down  the perpetrators very quickly.  Also, there are several agencies including ACFE 
provides several framework to approach fraud detection.  Data analytics is one of the simplest and easiest way (using Benford’s law)  to short-list the potential target. I will post the link to the presentation material shortly…