The Chartered Fraud Investigator

By Dr. Zulk Shamsuddin

Fraud Investigator responsibilities include conducting investigations into allegations of fraud, waste or abuse committed by clients against the company. Other duties include reviewing and researching evidence and documents to analyze the overall fact pattern of the claim and synthesize data into a professional report with recommendations.

The Chartered Fraud Investigator ™ (ChFI) is an ISO-standard skills certification for individuals with sound knowledge and experience in fraud management that includes fraud detection, fraud investigation, fraud prevention, management fraud, e-Commerce fraud, insurance fraud, and the processes associated with the resolution of fraud. It forms the basis of the assessment that applicants must pass to earn the Chartered Fraud Investigator status and inclusion in the Directory of Certified Professionals of The GAFM Academy of Finance and Management ®.
Stand out from the crowd with the GAFM® Chartered Fraud Investigator certification.

• Language: English
• Publisher: Lulu.com
• Release date: Jul 27, 2022
• ISBN: 9781387744633

Book preview

INTRODUCTION

Fraud Investigator responsibilities include conducting investigations into allegations of fraud, waste or abuse committed by clients against the company.  Other duties include reviewing and researching evidence and documents to analyze the overall fact pattern of the claim and synthesize data into a professional report with recommendations.

The Chartered Fraud Investigator ™ (ChFI) is an ISO-standard skills certification for individuals with knowledge and experience in a fraud investigation that includes fraud detection, fraud investigation, fraud prevention, management fraud, fraud in e-Commerce, insurance fraud, and the processes associated with the resolution of fraud.

It forms the basis of the assessment that applicants must pass to earn the Chartered Fraud Investigator status and inclusion in the Directory of Certified Professionals of The Global Academy of Finance and Management ®.

Stand out from the crowd with the GAFM® Chartered Fraud Investigator certification.

Fraud investigators are the front line of establishing the facts of suspected fraud or other unethical business behavior. A fraud investigator’s skillset and wide knowledge of fraud laws, evidence gathering and interviewing make them the go-to expert for undertaking fraud investigation cases e.g., insurance fraud, financial fraud, procurement fraud, asset recovery, cyber fraud, healthcare fraud, retail fraud and other areas.

A fraud investigator can either be part of a team of experienced investigators; or the leader of such a team. If part of a team, the fraud investigator generally works with the other team members to handle reports of suspicious activity. If in charge of a team, the fraud investigator would typically report to the head of a department, such as corporate security, compliance or audit. A fraud investigations manager at a typical retail business, for example, would be responsible for the day-to-day monitoring, investigation and resolution of fraudulent activity relating to delays in the repayment and refunds processes. They will take the lead on the implementation of strategies to prevent fraud and financial crime, thereby mitigating risk to the business.

Personality Traits of a Fraud Investigator

There are some common traits among the most successful fraud investigators. This includes being a self-starter who is results-driven with high levels of self-motivation, energy and initiative. An effective fraud investigator has a proven ability to work under pressure to and meet tight deadlines, without compromising the quality of output. One key trait that can’t be overlooked is the ability to be an effective communicator – a fraud investigator must have excellent written and verbal skills. Here are some other key traits among successful fraud investigators:

An ability to thrive under pressure amidst changing business priorities

Effective cost management and analytical integrity

Experience in leading and developing a team

Keen interest in stopping fraud whilst considering the impact of how an investigation can impact customers

Benefits of becoming a Chartered Fraud Investigator

Personal recognition from your peers.

Enhanced CV to get noticed by top recruiters.

A framework for the development of your career.

International recognition.

Assurance for clients of high standards and ethical practice.

Use of the post-nominal ChFI or Chartered Fraud Investigator

Introduce yourself with this exclusive certification card during networking, business events, conference, training, and anywhere. Certification has its privileges.

Importance of Certification

Certificates and certifications, the names for these credentials sound confusingly similar. But there are important differences. Here’s what you need to know about these resume-enhancing options and how they might advance your career.

What is a Certificate?

Earning a certificate is about education. Certificates are academic credentials awarded by colleges, universities or other educational institutions. Students in certificate programs learn new knowledge in a specific subject or discipline and earn a certificate by successfully completing the coursework. An ideal student for a certificate program is someone who is willing to go through the experience of growing their own skillset, being real about what they want to learn, and working with others, says Jennifer Diamond, an instructor for the UW Certificate in Project Management. Many certificate programs have few, if any, admission requirements, making them an excellent option if you want to move forward in your career. The programs are usually noncredit and take less time to complete than a degree. Certificates are commonly listed on resumes as education, and some meet education requirements for first-time or renewed certifications.

What is a Certification?

When you have the professional knowledge you need, a certification allows you to prove it.  Certifications indicate mastery of skills or standards. Professional certifications are granted by industry groups or career-related organizations. These groups assess your qualifications, usually through an exam or application process. Many certifications include the privilege to use a related designation following your professional title. Certification differs from a license, which permits you to work in a certain profession and is usually issued by the government or regulatory agencies.

Benefits of Certification

Certification helps in learning new technologies, skills, and abilities for a specific promotion. Earning a new certification or an advanced certification in a particular area of expertise can help in advancing your career.

Professional certification shows consumers and potential employers that you are committed to your profession and are well-trained. It gives them confidence in your abilities and knowledge. Certification makes you more valuable to employers, so you can expect to earn more than someone without certification.

Certifications can give you the chance to learn needed skills, and be a quick way to show employers you have those skills. On the other hand, certifications can require studying or coursework, and cost up to several hundred dollars to take.

SKILLS A FRAUD INVESTIGATOR MUST HAVE

Analytical Skills

Fraud detection and investigation are analytical processes where investigators identify the kinds of fraud that could occur, the kinds of symptoms and indicators those frauds would generate, and ways in which to examine and follow up on symptoms that are discovered. Being a fraud investigator is very much like being a physician: it requires significant amounts of diagnostic and exploratory work to discover what is really happening. It is impossible to be a good fraud examiner without having great analytical skills.

Communication Skills

Fraud examiners spend considerable amounts of time interviewing witnesses and suspects and communicating those findings to witnesses, courts, and others. A good communicator will know how to push for evidence and confessions, how to structure questions and interviews, and how to write reports that are valued by courts, lawyers, and others. It is impossible to be a good fraud examiner without refined communication skills.

Technological Skills

In the past, fraud detection and investigation involved more luck than anything else. However, with the technological advances of the last two decades, we can now proactively search for fraud symptoms and fraud perpetrators and build both fraud-free and fraudulent profiles. Technology allows fraud examiners to analyze huge databases very efficiently. Computers and other forms of technology provide some of the best evidence to determine if someone is guilty of fraud. Real-time and even post-hoc fraud detection and investigation in the future will involve the use of technology. While the three skills addressed here are critical and most important, other skills that will be extremely useful for future fraud examiners are as follows:

Accounting and Business

One of the major differences between fraud and other types of crime is the always present concealment attempts to hide the fraud. Usually, concealment attempts involve altering accounting records and documents. Fraud examiners who understand accounting and business will be highly valued in the future. For example, the FBI has a large number of agents who are CPAs. The expertise of these agents is highly valued by the FBI.

Knowledge of Civil and Criminal Laws

Knowledge of civil and criminal laws including privacy issues, employee rights, fraud statutes, and other legal fraud-related issues. Investigating and resolving frauds always involves legal questions such as should this case be pursued in the criminal or civil courts, are certain evidence-gathering techniques legal, and when should law enforcement be involved?

Foreign Language

The ability to speak and write in a foreign language. With developments in travel, communication, and technology, many frauds today involve individuals in multiple countries. Cross-border investigations are not uncommon, and the ability to speak and write a foreign language, such as Spanish, or Chinese, will be highly valued.

Skills Certification

This book focuses on six major skills that you must have to become a certified professional in Fraud Investigation.  Scan the QR code to apply.

Fraud Detection

Fraud Investigation

Fraud Prevention

Management Fraud

E-Commerce Fraud

Fraud Resolution

What is Fraud?

There are two principal methods of getting something from others illegally. Either you physically force someone to give you what you want (using a gun, knife, or other weapon), or you trick them out of their assets. The first type of theft we call robbery, and the second type we call fraud. Robbery is generally more violent and more traumatic than fraud and attracts much more media attention, but losses from fraud far exceed losses from robbery.

Fraud is a generic term, and embraces all the multifarious means which human ingenuity can devise, which are resorted to by one individual, to

Reviews for The Chartered Fraud Investigator

[Steve Robert · Rating: 5 out of 5 stars]

The six areas of skills and competencies are relevant for this certification. Contents are sufficient for reference and for writing the exam. Highly recommended.