Presentation on theme: "Accounting: Fraud Interview Process"— Presentation transcript:
1 Accounting: Fraud Interview Process By: Kelly Hurley & Stephanie Nguyen
2 Five Types of Interview Questions: IntroductoryInformationalClosingAssessmentAdmission-seeking
3 Question Styles Open Questions Closed Questions Leading Questions Difficult to answer with a “yes” or “no”Encourage monologueExamples: “Why?”, “How?”, “Would you know?”Closed QuestionsUsually answered with a “yes” or “no”Typically factual questions –specific amounts, dates, & timesLeading QuestionsAnswer is part of the questionUsually used to confirm facts already knownExample:
4 Introductory Questions Purpose: To provide an introduction To establish a rapport To establish the theme of the interview To observe the subject’s reaction.Create a comfortable climate through small talk.Avoid sensitive questions in this section of the interview.Take note of the respondent’s reactions. Nonverbal clues are very important.
5 Informational Questions Non-confrontational and Non-threateningBased on gathering factual informationAsk in a way that will develop the facts in order of occurrence or some other systematic orderAsk only one question at a time, and frame it so that there is only one answerGive respondent ample time to answer. Do not rush.
6 How to Close an Interview 1.) Reconfirm FactsGo over key facts to make certain they have been understood correctlyUse leading questions and give the subject time to confirm or deny your interpretation2.) Gather Additional FactsAsk if subject knows other documents or witnesses that would help in the investigationGives impression that you’re interested in all information –no matter what side it favors3.) Concluding the InterviewAsk subject if he/she believes he/she has been treated fairlyAsk permission to contact subject with additional questions
7 Assessment QuestionsUsed only when you consider previous statements by the respondent to by inconsistent because of possible deceptionUsed to assess the verbal and nonverbal responses to establish credibilityThese questions ask the subject to agree with matters that go against the principles of most honest peopleThese are designed to get a verbal or nonverbal reaction from the respondentShould proceed from least to most sensitiveBegin in a non-threatening way. Do not indicate that these questions are for a different purpose than seeking informationExample: “I have a few additional questions.”
8 Clues to Deception Verbal Nonverbal Changes in speech patterns Repetition of the questionComments regarding the interviewAnswering with a questionSelective memoryMaking excusesCharacter testimonyReluctance to end interviewNonverbalFull-body motionsHands over the mouthCrossing the armsReaction to evidenceIllustratorsManipulatorsFleeing positionsFake smiles
9 Examples of Assessment Questions “Most of them aren’t criminals at all. A lot of times, they’re just trying to save their jobs or just trying to get by because the company is so cheap that they won’t pay people what they are worth. Do you know what I mean?”Both honest and dishonest will probably answer “yes,” but honest respondents will reply to the effect that they understand the motivation but that it does not justify stealing.“Why do you think someone around here might be justified in making a secret arrangement with one of the company’s vendors?”Fraud perpetrators frequently justify their acts, the dishonest individual is more likely than the honest person to attempt a justification, such as, “Everyone does it.” The honest person, on the other hand, is much less likely to offer a justification.
10 Admission-Seeking Questions Used only for individuals whose culpability is reasonable certainPosed in a precise order to clear the innocent person or encourage the culpable to confessImportant Steps in Admission-Seeking InterviewDirect Accusation –make as a statement, not a question Example: “We have reason to believe that you….”Observe Reaction –culpable individuals usually react with silence or weak excusesEstablish Rationalization –if individual does not confess, establish a morally acceptable rationalization and let respondent fight with conscience
11 Things to Remember Research and set goals before the interview Take your time constructing questionsEstablish an open environment from the beginningObserve verbal and especially nonverbal reactionsTake notesRemain calm and confident throughout