Red flags in detecting credit cooperative fraud: the perceptions of internal auditors

• Autor(a) principal: Baú Dal Magro, Cristian
• Data de Publicação: 2017
• Outros Autores: Da Cunha, Paulo Roberto
• Tipo de documento: Artigo
• Idioma: eng; por
• Título da fonte: Revista Brasileira de Gestão de Negócios (Online)
• Texto Completo: https://rbgn.fecap.br/RBGN/article/view/2918
• topic: Red flags; Fraud; Internal Auditor; Credit Unions.; Red flags; Fraudes; Auditor Interno; Cooperativas de Crédito.; Red flags; Fraudes; Auditor Interno; Cooperativas de Crédito.

Purpose – Red flags are mechanisms that can be used by internalauditors for early detection of possible fraud. In this context, the aim ofthis study was to identify the relevance credit unions’ internal auditorsattribute to red flags in assessing fraud risk.Design/methodology/approach – This article is characterized asdescriptive concerning its goals, as a survey as to is procedures, and asquantitative in reference to its approach to the problem. The sampleconsists of 51 internal auditors working in Credit Union Centers insouthern Brazil.Findings – Results indicate that, in the assessment of fraud risk, internalauditors attribute greater importance to red flags referring to operationalactivities and internal control procedures. In addition, it is suggestedthat internal auditors are not impartial concerning their perceptionof relevance of most of the warning signs of the possibility of fraud.Originality/value – The findings contribute by demonstrating tointernal auditors the need for greater attention to the use of red flagsas auditing tools.