The International Public Sector Fraud Forum has a comprehensive description of what fraud constitutes in the context of public sector fraud in their Guide to Managing Fraud for Public Bodies. However there is also a fraud indicators checklist for the education sector which lists indicators that apply equally for other types of organisation.
We have built our platform and technologies to detect potential fraud risk indicators as well as other (non-financial) risk indicators of corruption and exploitation. Consequently, in our supply chain and compliance context, “fraud against a public authority” means a fraud offence which involves the exposure of a public authority to a risk of loss.
Examples of indicators of fraud risk include but are not restricted to the following:
non-compliance and late compliance events for companies and subsidiaries/parents
risk indicators relating to named directors
risk indicators relating to shadow directors and other dotted line relationships
risks relating to actions taken by regulatory bodies
risks relating to buyers and suppliers
risks related to pension fund investments