CFE-Investigation Exam Dumps - Certified Fraud Examiner (CFE) - Investigation

A memorandum recording a whistleblower tip is a written record. TheFraud Examiners Manualdefinesdocumentary evidenceas evidence “presented in the form of documents such as memoranda, contracts, emails, or other records”. Testimonial evidence comes from oral statements; here, the memorandum itself is the evidence, so it is documentary.

“Once a suspect utters a denial, it becomes extremely difficult… therefore, the interviewer mustprevent an outright denial. Fraud examiners can use several techniques to stop or interrupt denials, includingdelays, repeated interruptions, and reasoning”.

Thus, the correct answer isD.

“In jurisdictions that regulate credit information and personal data, a fraud examiner will generally need a legally acceptable reason for accessing such information from third parties… some common circumstances include when: the individual has given consent”.

Thus, with the individual’s consent, Leslie could obtain the report.

According to the2014 International Fraud Examiners Manual:

“The termfraud examinationrefers to a process of resolving allegations of fraud from inception to disposition, and it is the primary function of the anti-fraud professional. The fraud examination process encompasses a variety of tasks that might include:

• Obtaining evidence

• Reporting

• Testifying

• Assisting in fraud detection and prevention”.

Similarly, in theCFE Prep - Investigationsstudy guide:

“Fraud examination is best described as…a methodology for resolving fraud allegations from inception to disposition. The term fraud examination refers to a process of resolving allegations of fraud from inception to disposition, and it is the primary function of the anti-fraud professional”.

This clearly verifies thatfraud examinationis the correct term for the process of resolving fraud allegations from beginning (inception) to end (disposition).

Therefore, thecorrect answer is D. Fraud examination.

“Securities regulators… require disclosures that typically include: corporate financial statements, identification of officers and directors, identification of significant owners… and a history of the business”【10:2014 International Fraud Examiners Manual.pdf†L73-L95】.

Thus, regulatory securities records are the best source for financial statements.

TheFraud Examiners Manualdefines double-negative questions as those containingtwo forms of negation in a single clause. They are confusing and “often suggest an answer opposite to the correct one.” The example given is almost identical to the question here:

“Didn’t you suspect that something wasn’t right?”.

Thus, Sylvia’s question is adouble-negative question, which should be avoided.

Limitations of online public record searches include:

Need to search multiple jurisdictions.

Records are often only abstracts.

Information must be verified for accuracy.There isno mentionthat online record vendors are “difficult to find.” In fact, many such vendors exist.

TheCFE Prep – Investigationswarns against relying solely on eye contact:

“Behavioural clues are harder to read … Additionally, racial, ethnic, and economic factors should be carefully considered when observing a respondent’s behaviour. Some cultures, for example, discourage looking directly at someone. Other cultures use certain body language that might be misinterpreted.”

Therefore, lack of eye contactcannot safely be taken as proof of dishonesty.