Fraud Auditing, Detection, and Prevention Blog

Anatomy of a Real-life Shell Company Pass-Through Scheme

Mar 20, 2024 11:39:15 AM / by Leonard W. Vona posted in Fraud Data Analytics, Fraud Risk Identification, ...

This story is about a passthrough scheme. It is my opinion that most large companies have one of more pass-through schemes occurring. What makes it difficult to detect or prevent these schemes is that the scheme will comply with all of your controls. Your company has received the goods or services. Therefore, your ability to detect these schemes is predicated on your understanding of how these schemes occur and what they look like.

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