1Program Coordinator (DE-Management Program) & Asst. Professor, Directorate of Online and Distance Education, SRMIST., Kattankulathur, Chennai, Tamil Nadu, India
2Assistant Professor, Mangalore Institute of Technology and Engineering, Moodabidri, Dakshina Kannada, Karnataka, India
*Corresponding author: amithmnzs@gmail.com (ORCID ID: 0000-0003-0505-668X)
Online published on 3 March, 2025.
Modem world, saturated with innovations and digital technologies, opens numerous opportunities for development and convenience. However, along with these opportunities, the likelihood of becoming a target of fraud rises. Financial crimes are becoming more pronounced and sophisticated, utilizing new technical and social methods of influence. With these changes, existing risks, including fraud risk, have significantly increased. In spite of extensive endeavors to eliminate fraudulent actions, apparently fraud in its different forms persists and is escalating in both occurrence and magnitude. Identifying fraud schemes is a crucial aspect of fraud detection. Detecting fraud risks at an early stage can bolster investor protection, enhance investment returns, prevent costly legal battles, and promote efficient operation. This study concentrates on the various facets of fraud. It examines the pre and post-effects of fraud. It also involves extensive research on the available literature on financial and non-finandal frauds and has come out with a conceptual model that helps to give an overall 360-degree view of the concept of fraud. This work gives a theoretical insight into fraud. It reveals a five-part comprehensive approach termed as the 5S approach to analyze and view the concept of fraud, namely the Segregation of fraud, Schemes used to commit these frauds, Stimulus for committing these types of frauds, the Significant Consequences or the resultant effects of fraud and finally the ways of reducing or countering these frauds or the specific remedies to negate or overcome these frauds.
⓿ Financial crimes or frauds are becoming more pronounced and sophisticated, utilizing new technical and social methods of influence.
⓿ Despite extensive endeavours to eliminate fraudulent actions, apparently fraud in its different forms persists and is escalating in both occurrence and magnitude.
⓿ Understanding the symptoms and causes of fraud plays a crucial role in both preventing and detecting fraudulent activities.
⓿ A proper approach of systematically identifying these frauds and finding out the causes or motives and how to prevent these frauds from happening or likely reduction in the intensity of frauds is being discussed in this study with focus on the proposed 5S approach.
Frauds, 5S approach, Schemes, Segregations, Stimulus, Significant Consequences, Specific remedies
