1. The Disclosure and disposal of fraud in IT environment China National Audit Office May 2008

2. the series 15 th Committee meeting: Characteristics of the fraud in IT environment 16 th Committee meeting: Measures Taken to Counter Fraud in IT Environment 17 th Committee meeting: Disclosure and disposal of fraud in IT environment

3. Framework Special considerations on the disclosure of fraud in IT environment The form and contents of disclosure to different recipients CNAOs investigation and disposal of IT- related fraud

4. Special considerations on the disclosure of fraud in IT environment Consideration based on the diversity of subjects who make fraud in IT environment The disclosure covers beyond the untruthful reflection of financial statements

5. Special considerations on the disclosure of fraud in IT environment (cont d) audit institution should consult more with external specialists There should be some distinction of notification to the public among the frauds of different nature

6. Framework Special considerations on the disclosure of fraud in IT environment The form and contents of disclosure to different recipients CNAOs investigation and disposal of IT- related fraud

7. The form and contents of disclosure to different recipients SAS No.99 by AICPA Independent Auditing Professional Standard No.8 ---- Errors and Fraud by CICPA Chinese Audit Law

8. The form and contents of disclosure to different recipients(cont d) The disclosure to the public The disclosure to the management The disclosure to the authority

9. Framework Special considerations on the disclosure of fraud in IT environment The form and contents of disclosure to different recipients CNAOs investigation and disposal of IT- related fraud

10. make the disposal by audit institution within the limits of its statutory functions put the case forward to related departments

11. CNAO s investigation and disposal of IT-related fraud(cont d) Never too old to learn Never too late to turn

12. Thank you.