We test the predictability of investment fraud using a panel of mandatory disclosures filed with the SEC. We find that … predict fraud. Avoiding the 5% of firms with the highest ex ante predicted fraud risk would allow an investor to avoid 29% of … fraud cases and over 40% of the total dollar losses from fraud. We find no evidence that investors receive compensation for …

The paper provides a cost-based explanation for decision makers' reluctance to use fraud prediction models …, particularly as these models have nearly doubled their success at identifying fraud (true positive rates) when compared to the … initial models in Beneish (1997, 1999). We estimate the costs of fraud prediction errors from the perspective of auditors …

Purpose – This research will use Benford's Law to identify high and low fraud risk in equity crowdfunders' financial … to the degree that indicates the likelihood of presence of fraud in the statements. I use the Mean Absolute Deviation … (MAD) statistic to identify subgroups that have a greater likelihood of fraud risk. Additionally, I compare the KS …

that range from fraud, terrorism and intrusion detection to sensor events, medical diagnoses, weather patterns, etc. In … evaluates the homogeneity of the abnormalities in the cluster construction. We apply this methodology to a problem of fraud …