Rounding_fraud

Rounding fraud

Rounding fraud

Financial fraud tactic

Rounding fraud is a type of financial fraud using round numbers. It is frequently caught by the over usage of certain statistically improbable number patterns.[1] A notable example of rounding fraud was committed by the India-based company Satyam Computer Services which was detected in 2019,[2] and it is typical in the context of Medicare fraud at Skilled Nursing Facilities (SNFs).[3] It is also an element in microtransaction scams involving credit cards and front companies.[4][5][6]

References

  1. [1]
    "Dusting your data for fraud's fingerprints: Six number patterns that fraudsters use". www.fraud-magazine.com.
  2. [2]
    "Round numbers: A fingerprint of fraud". Journal of Accountancy. May 1, 2018.
  3. [3]
    "When Rounding Up Costs You Money: More SNF Fraud". March 9, 2017.
  4. [4]
    Zetter, Kim. "FTC: Scammers Stole Millions Using Micro Charges to Credit Cards" – via www.wired.com.
  5. [5]
    https://www.wired.com/images_blogs/threatlevel/2010/06/api_complaint.pdf [bare URL PDF]
  6. [6]
    Tue, Jun 29th 2010 4:06pm-Mike Masnick. "Scammers Actually Got Away With Millions Of Microtransactions Scam". Techdirt.{{cite web}}: CS1 maint: numeric names: authors list (link)
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