James D. Ratley, CFE

James D. Ratley, CFE, is the former president of the Association of Certified Fraud Examiners.  

Journalist with a fraud-digging shovel

Andrew Jennings, an independent investigative journalist, has spent more than 15 years laboriously examining the economic intricacies of FIFA (Fédération Internationale de Football Association). His reporting of entrenched FIFA corruption — bribes, kickbacks, vote rigging and ticket scandals — eventually caught the attention of the FBI. In 2015, the U.S. Department of Justice indicted scores of FIFA-related officials under the U.S. Racketeer Influenced and Corrupt Organizations (RICO) Act and the U.S. Travel Act.

Written By: James D. Ratley, CFE


Dissecting the minds of fraudsters

Eugene Soltes, a Harvard Business School professor, wants to know why some C-suite executives appear to risk everything to commit fraud. Middle management and employees further down corporate ladders might do it because they’ve found a ready source of cash to ease their economic problems. However, top-flight business people seldom lack for anything; their organizations often reward them spectacularly. Why would they need to steal?

Written By: James D. Ratley, CFE


Policing fraud

Long before James D. Ratley, CFE, helped form the ACFE with Founder and Chairman Dr. Joseph T. Wells, CFE, CPA, he had worked with the Dallas Police Department as a street cop, and on the vice squad, in internal affairs, the child abuse unit and other departments. In 1985, he was part of a joint task force assembled to investigate possible widespread fraud at the Dallas/Fort Worth International Airport (DFW). In this excerpt from his autobiography, “Policing Fraud: My Journey from Street Cop to Anti-fraud Leader,” Ratley describes some of the skills he’d later apply and teach as an ACFE leader. — ed.

Written By: James D. Ratley, CFE


Taking down the giant

I've met many whistleblowers in my time, and what’s always resonated with me is that they persist despite nearly impossible odds. Dr. Sam Foote, a physician with a genius mind and audacious spirit, persisted when he found himself facing Goliath: the Phoenix Veterans Affairs (VA) Health Care System. When scandal rocked the department in Arizona, he didn’t back down.

Written By: James D. Ratley, CFE


Spy vs. spy

Here's the situation. You’re a new FBI undercover field operative. But the bureau has called you into headquarters, put a suit and tie on you, and ordered you to take a desk job as the assistant to a longtime FBI special agent and computer systems expert. You’ll be locked in a soundproof, two-office vault to do one thing: covertly surveil this man suspected of being a master spy for the Russians.

Written By: James D. Ratley, CFE


Shutting down the laundromats

Jennifer Shasky Calvery has been fighting money laundering and other crimes for years — first at the U.S. federal government and now as the Global Head of Financial Crime Compliance at HSBC Bank. Before joining HSBC in 2016, she was director of the Treasury Department’s Financial Crimes Enforcement Network (FinCEN) for four years after a 15-year career at the U.S. Department of Justice. She’ll be receiving the ACFE Cressey Award at the 28th Annual ACFE Global Fraud Conference.

Written By: James D. Ratley, CFE


A sobering decision

Let’s say you find an accounting regulation violation that your organization might have ignored for years. You bring your concerns to your boss who agrees you’ve discovered a problem. Other accounting department staff members concur until they figure out the restatement costs. You stew over this and realize that your organization is breaking the law.

Written By: James D. Ratley, CFE


Fraud examiners and investigative journalists

David Barboza, a business correspondent for The New York Times, is the 2016 Guardian Award recipient because he exposed corruption at high levels of the Chinese government, including billions in secret wealth owned by the prime minister’s relatives.

Written By: James D. Ratley, CFE


Stanching intellectual property flow

Ryan Duquette, CFE, CFCE, author of the cover article, quotes studies that show that half of all departing employees leave with confidential company information — either deliberately or unintentionally. That’s sobering. How are your organizations deterring the fraudulent flow of intellectual property out the door?

Written By: James D. Ratley, CFE


Constructing hotlines that employees can trust

In our cover article, "Top 10 factors leading to hotline distrust: Understanding why no one calls," authors Ryan Hubbs and Julia Kniesche write that whistleblowers have always been subject to false allegations, retribution from management and even dismissal.

Written By: James D. Ratley, CFE


Welcome to our special case study issue

The editors of Fraud Magazine know the value of a good story. They like to begin feature articles and many of the columns with case histories because they know you want illustrations of fraud examination principles in action.

Written By: James D. Ratley, CFE


Why no top execs prosecuted after the Great Recession?

Jed S. Rakoff, U.S. district judge for the Southern District of New York, says in our cover article that the reasons for the government’s lack of prosecutions ranged “from the diversion of FBI agents to other priorities to prosecutors’ increasing unfamiliarity with how to pursue such cases.”

Written By: James D. Ratley, CFE


Let’s support the sentinels

In our cover story, author Robert Tie, CFE, says Merriam Webster’s Thesaurus offers such synonyms for “whistleblower” (for obvious reasons, we prefer “sentinel”) as “betrayer,” “rat” and “snitch.” And he writes that these aren’t just words in a book; they’re manifestations of beliefs that incite and legitimize retaliation for perceived breaches of trust.

Written By: James D. Ratley, CFE


Fear not the deposition hot seat

Depositions are grueling. Let’s say you’re an expert witness for the defense. As you walk into the conference room of the plaintiff’s counsel your heart rate ascends, your palms sweat and you reach for a glass of water as you sit at the table. You know what’s coming: incessant, pointed questions from attorneys as you give sworn testimony. You also know that all parties will use your words in court as evidence or as weapons to attack your inconsistencies.

Written By: James D. Ratley, CFE


 

Begin Your Free 30-Day Trial

Unlock full access to Fraud Magazine and explore in-depth articles on the latest trends in fraud prevention and detection.