NCJ Number
114663
Journal
Security Management Volume: 32 Issue: 12 Dated: (December 1988) Pages: 70-76
Date Published
1988
Length
7 pages
Annotation
This article describes over-the-counter fraud techniques and suggests ways to prevent and address it.
Abstract
Over-the-counter fraud involves a person using any of a variety of approaches and financial instruments such as credit cards, personal or company checks or drafts, payroll or government checks, cashier's checks, money orders, or traveler's checks to attain any combination of cash, goods, or services under a fraudulent pretext. The security director's challenge is to determine the legitimacy of the customer, instrument, and transaction within a short time. The countermeasures program should include the involvement of senior management, administrative controls, personnel screening and training, the proper tools, and reaction capability. For fraud to occur, an employee must generally be persuaded by the offender to break security rules and do something the employee knows is wrong. The offender typically achieves this through such tactics as rudeness, arrogance, an appealing story, fast talking, and diversion. Employees must be aware of such tactics and must also be trained to recognize flawed financial instruments. The article concludes by suggesting how managers should deal with a fraud attempt after it has been spotted.