Fraud Examination 4th Edition by Steve Albrecht,Chad Albrecht,Conan Albrecht ,Mark Zimbelman

Exercise 15

Mega Globular is a large, private international corporation that has been experiencing problems with fraud. Management has heard of the success other companies have had with whistle-blowing programs mandated by the Sarbanes-Oxley Act and decides to implement a formal whistle-blower system and other fraud prevention programs. In every office, they assign an employee to be the fraud liaison, usually someone in middle management. They hang signs in all break rooms alerting employees about the liaisons. The signs instruct employees to call the liaisons and report any observed fraud. After a year, Mega Globular realized it was having minimal success with its whistle-blowing program, no one had called liaisons, and the number of frauds was unchanged. What went wrong How could Mega Globular change its program to get a better response