• Behavioral Red Flags

    It is very common for people who are engaged in an occupational fraud scheme to display certain behavioral traits or characteristics associated with fraudulent conduct. In 92% of the cases in our study the perpetrator exhibited at least one of these behavioral red flags, and in 57% of cases multiple red flags were observed before the fraud was detected. Understanding how these behavioral clues are linked to fraudulent conduct can help improve the chances of detecting occupational fraud early and minimizing fraud losses.

    The chart below shows the frequency of 17 common behavioral red flags in our study. Select one of the options below to see how these red flags vary based on the perpetrator’s position, the type of fraud committed, or the perpetrator’s gender.

2016 ACFE Report to the Nations