Business Fraud in the Present Economy: An Analysis Introduction In summarizing and discussing six fraud-related news articles, it is evident that six types of business fraud are particularly common in the present economy: asset misappropriation fraud, billing fraud, lapping fraud, payroll fraud, misuse of non cash assets fraud, and check tampering fraud. Analyzing these cases indicates that fraud is becoming more prevalent because of declining ethics and inadequate oversight in the business world. Asset Misappropriation Fraud In a May 13, 2009 article in Folio Magazine entitled “Former Oxford American Staffer Pleads Guilty, Sentenced to Prison for Embezzlement”, Jason Fell reported that Renae Maxwell, the former operations manager of...The end:
.....ell had faced up to 10 years for forgery and 20 years for theft of property after she was arrested in February 2008 for allegedly embezzling $30,000 from the magazine. At the time, founder and editor Marc Smirnoff told FOLIO: that Maxwell had issued several company checks to herself by forging the name of a former employee.Following a financial investigation, it was determined Maxwell embezzled roughly $100,000. Maxwell’s attorney could not be reached for comment.Earlier this year, the Oxford American faced going out of business after the Internal Revenue Service demanded it pay $57,000 in back federal payroll taxes—which had not been paid because of the embezzlement, Sabin said. An anonymous $100,000 donation kept the magazine in business.