The following are the reasons for why employees choose accounts
payable schemes to commit frauds,
- It is the most easiest way that stands for an employee as
mostly the cash that goes out of the company would be through
accounts payable only.
- As there are many transactions it will be very easy for the
one's committing fraud to hide that fraud.
- Almost it is impossible to identify a fraudulent accounts
payable transaction among many legitimate transactions.
- Producing fake bills will be very easy for employees as they
all are very aware about the regular transactions of the company.
(Fake billing is the most used accounts payable fraud).
- Employees with false interest towards the company may collude
with vendors to make fake payments towards their accounts.