Fraud

I would like to begin by apologizing for not publishing a blog two weeks ago. I was unable to find time due to finals and other projects that I had to complete. This shouldn’t happen again until next year during finals, but if it does, I apologize in advance. 

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Fraud is any process that requires lying to be carried out. A fraudulent deal relies on lies in order that a certain party may see a gain. Fraud is fraud only when the lies or deception are done knowingly and willfully. Simply put, fraud is when a seller lies to a buyer for personal or corporate gain. There are several types of fraud: business and investment fraud, charity fraud, healthcare fraud, and more. While these do all work differently, they fundamentally do the same work as fraud. Fraud is an issue at large, and the public must stay aware and suspicious of potentially fraudulent deals.

To allow for a better understanding of fraud, I will elaborate on the types of fraud listed above. Business and investment fraud is when a scammer asks for an upfront investment with the promise of a low-to-no-risk investment. This is usually done through the Nigerian Prince scam, Ponzi schemes, telemarketing scams, and other methods. Charity fraud is when a charity asks for donations to do disaster relief work. Instead of actually using the funds, the charity does no work and diverts all the funds to a single benefactor. Healthcare fraud is when a healthcare provider or someone else illegally manipulates a patient and the healthcare system to receive illicit funds as profit. This could involve actions such as double billing, phantom billing, and more. 

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The fraud triangle explains why people commit fraud. The concept was developed by Dr. Donald Cressey, a criminologist who deeply studied the topic, eventually coming up with the concept of a Fraud Triangle. The first side of the triangle is financial pressure, or the need and desire for money; the second side of the triangle is opportunity, or the chance seen to gain profit through illicit means; finally comes rationalization, or the realization that fraud is a possibility. If all of these are present in a person, they are most likely going to commit fraudulent activities. Fraud can be committed against an individual, meaning it only affects one person; internally within an organization, meaning an employee deceives their company to gain illicit profit; and externally, when an individual commits fraud against an entire organization. 

To prevent fraud, remember to stay educated and report any suspicious activity. If you are a witness to or a victim of fraud, report it on the Federal Bureau of Investigation’s website and tell friends and family what to look out for. 

“Common Frauds and Scams”, Federal Bureau of Investigation, Accessed 10 June 2026, https://www.fbi.gov/how-we-can-help-you/scams-and-safety/common-frauds-and-scams.

“Fraud 101: What Is Fraud?”, Association of Certified Fraud Examiners, Accessed 10 June 2026, https://www.acfe.com/fraud-resources/fraud-101-what-is-fraud.