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1 Asset Misappropriation Research White Paper for the Institute for Fraud Prevention by Chad Albrecht, Mary-Jo Kranacher & Steve Albrecht Abstract In this paper we provide a general overview of asset misappropriation. We discuss the current state o f academic and practical knowledge as it relates to asset misappropriation, including what we currently know about asset misappropriation, what research has been done in this area, what is currently missing from the research, and what additional resources are needed in order to continue to provide high quality research on this topic. Introduction Asset misappropriation schemes include those frauds in which a perpetrator employs trickery or deceit to steal or misuse an organization’s resources. In these cases, specific assets of the organization are taken to directly benefit the individuals committing the fraud. Individuals committing asset misappropriation-type crimes may be: employees of an organization, customers or vendors of an organization, or could be individuals unrelated to the victim organization. The distinguishing elements of asset misappropriation, however, are that an organization’s assets are taken through trickery or deceit, rather than by force. Furthermore, the “act” of asset theft, concealment, and conversion must all be present. Asset misappropriation fr auds are generally divided into two
