Last month news broke about a wide-spread fraud that caused Medicare to lose roughly $1.2 billion. While this case is noteworthy for the huge price tag attached to it and the brazen nature in which seniors were targeted, similar scams are going on across the country that don’t get the same headlines. CPAs can play a role keeping their clients safe from fraud schemes like these by educating them on the importance of keeping their personal information safe and being cautious about who they communicate with — both online and offline.
To better understand how frauds like this work and how people can protect themselves, I spoke with Randal A. Wolverton, CPA/CFF. Wolverton is a member of the AICPA’s FLS Fraud Task Force and is a former FBI agent who specializes in financial crimes. He currently provides financial crime instructional programs to numerous local, state and federal law enforcement entities, various state and federal agencies, businesses and banking institutions and provides articles and insights on preventing fraud on his blog.