Fraud is a common business and audit risk that needs to be managed. Many boards and management lack a basic understanding of prevention and detection controls that can significantly reduce it. Boards and management often rely on external auditors to detect risk, a misplaced strategy. Let’s look at how to manage the fraud risk. This session will:
- Provide examples of recent frauds and discuss what can be learnt
- Identify detection and prevention controls to mitigate fraud risk
- Examine the external auditor’s role in fraud risk, and
- Discuss how to effectively apply ASA 240 The Auditor’s Responsibilities Relating to Fraud in Audit of Financial Report to minimise audit risk.