Answer the following questions at least one page per answer 1- two




Two years ago, your best friend Scott Adams started a home business selling custom made chairs and tables. His original designs quickly became popular, and he began selling in large quantities. To take advantage of the upcoming holiday season, Scott decided to begin selling over the internet. He contacted a Web page designer, and he is now ready to go live with the site. Although he is familiar with the gist of internet retailing, Scott Is concerned about the possibility of fraud involving false online purchases where perpetrators impersonate customers and make orders. Knowing about your background in fraud examination, he comes to you and asks how to prevent and detect fraud in his new venture.

What is one fraud scheme that you would warn Scott to be concerned about and what steps could Scott take to detect and prevent it? (Try to identify and describe a fraud scheme that has not already been identified by your classmates or to add a perspective/opinion not already shared.)


Your company, ImSecure Inc., is a security investigation firm. You have been contracted by Darling Company, a producer of cardstock for greeting card companies such as Hallmike and Birthday Wishes Company. Darling currently requires orders to be placed several weeks in advance of the delivery date. Orders come in through traditional channels (account reps, paper forms, etc.). Hallmike, Darling’s largest client, now requires Darling to use e-commerce for order transmission and payment. Because of this new change, Darling is considering moving all of its clients to electronic data interchange (EDI) for orders and payments.

What are the new opportunities that e-commerce solutions such as EDI present for internal perpetrators to defraud Darling Company?

What are the new opportunities that e-commerce solutions such as EDI present for external perpetrators to defraud Darling Company?



eBay has become one of the most popular auction sites in the world. Each day, millions of products and services are bought and sold on the site. Because of its popularity, eBay is also a home for many different types of scams. Your business wants to start buying and selling on eBay, and you have been asked to find one type of scam that is popular on eBay.

Search the internet for scams common to eBay and other online auction sites, select ONE (look for one that has not already been identified by your classmates), and then answer the following questions in your own words rather than just copying information from our text or a website:

Which eBay/online auction scam did you choose? How does it occur?

What types of products or services are involved?

How it can be prevented or detected by potential buyers?

Had you heard of the scam before? If so, how did you know about it?



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