What does a fraud investigation or fraud management officer actually do?
Compliance
Asked by Question Bot09/Apr/20141 answer
1 Answer
F
Faisal Khan
Answered 09/Apr/2014
Typically a Fraud Investigation Officer will try to investigate if a possible fraud of the monetary / banking / payment system was committed. Next they will try to determine what was the loophole or exploit used? and determine if this was a systems flaw, a human flaw or a process flow (or a combination thereof).
Once the fraud and the mechanism of the fraud has been determined, the Fraud Investigation Officer's duty is to report and comment on the liability of the organisation he/she works for, and steps necessary to mitigate this liability in the future.
When not investigating fraud, they are either learning up on the new rules and regulations related to their field and/or guidelines published by the regulatory and compliance authorities in their country or working with their internal teams (internal audit, compliance, IT, etc.) to further strengthen their systems and procedures.
They don't travel much. Most of the work is done over the phone and/or emails, or with the involvement of the LEAs (Law Enforcement Agencies). They usually interview the affect parties and sometimes the suspect party, but in order to build a strong case for legal filing, they do work with external investigators and law firms.
Because Fraud Management is such a vast and under-appreciated field, these men/women usually are trying to learn up on the various standards, case studies and read up thick (seemingly boring) books in trying to learn more about the banking and payments field and how they can best use their knowledge in mitigating fraud. If some are lucky, they get to get to go for training and/or attend conferences in this field.
Once the fraud and the mechanism of the fraud has been determined, the Fraud Investigation Officer's duty is to report and comment on the liability of the organisation he/she works for, and steps necessary to mitigate this liability in the future.
When not investigating fraud, they are either learning up on the new rules and regulations related to their field and/or guidelines published by the regulatory and compliance authorities in their country or working with their internal teams (internal audit, compliance, IT, etc.) to further strengthen their systems and procedures.
They don't travel much. Most of the work is done over the phone and/or emails, or with the involvement of the LEAs (Law Enforcement Agencies). They usually interview the affect parties and sometimes the suspect party, but in order to build a strong case for legal filing, they do work with external investigators and law firms.
Because Fraud Management is such a vast and under-appreciated field, these men/women usually are trying to learn up on the various standards, case studies and read up thick (seemingly boring) books in trying to learn more about the banking and payments field and how they can best use their knowledge in mitigating fraud. If some are lucky, they get to get to go for training and/or attend conferences in this field.