Wednesday, July 24, 2019
The Threat of Fraud Assignment Example | Topics and Well Written Essays - 1250 words - 1
The Threat of Fraud - Assignment Example This causes considerable losses to companies and executives. Identity theft can be managed by ensuring stronger internal control and monitoring systems such as using the RCSA, encrypting sensitive data, and obtaining insurance for the executives. A workshop organized to sensitize executives on fraud would include a participatory and self-assessment session to monitor uptake of information by attendants. Ã Ã Ã Ã Ã Ã Ã Ã Ã Ã Ã Identity theft refers to the act of stealing or gaining another personÃ¢â¬â¢s identifying and personal information such as a social security number or credit card numbers by unauthorized means and using or having the intention to use the information fraudulently (van der Meulen, 2011). The first step in protecting executives would be to get insurance in the director and officer insurance form to cover against loss of wealth and associated assets. An executives signature can, for example, be used to fraudulently get a binding agreement with the company, which would be detrimental to the company such as using the executiveÃ¢â¬â¢s identity to access credit lines, which are not approved. The company would need to ensure it and its and executives are under the Merchant Risk Council which is a group of over 7 800 merchants, financial institutions, law enforcement agencies and vendors who work together to enhance cyber frauds, for example, fi nancial institutions would have to call the company before processing a credit card application. Of course, improving cybersecurity at the business would be a viable step. Cybercrime occurs when three principal factors are present; opportunity, rationalization, and pressure as the fraud triangle shows.
Posted by Cody Pearson at 5:26 PM