HOTLINES AND REPORTING MECHANISMS

The presence of a hotline or other reporting mechanism affects

how organizations detect fraud and the outcome of the case.

Fraud losses were

63 $200,000
LOREM IPSUM
%
of victim
organizations
had hotlines
46%
OF CASES
DETECTED
BY TIP

HOTLINES
30%
OF CASES
DETECTED
BY TIP

NO HOTLINES

Corruption is particularly likely

Organizations
with hotlines
detected fraud by
tip more often

50% SMALLER
at organizations
$100,000
DOLOR SIT
to be detected by tip
with hotlines Asset Financial

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Corruption Misappropriation Statement Fraud
than those without

Organizations without hotlines were 50%

DETECTED
38%
DETECTED
38%
DETECTED
more than TWICE AS LIKELY to detect BY TIP BY TIP BY TIP

fraud by accident or by external audit

Telephone hotlines are most popular, but

whistleblowers use various reporting mechanisms NOT ALL TIPS COME
THROUGH HOTLINES
Web-based/ When a reporting mechanism is not
Telephone hotline Email online form used, whistleblowers are most likely
to report to:

42% 26% 23% DIRECT SUPERVISOR 32%

EXECUTIVE 15%
Mailed letter/form Other Fax FRAUD INVESTIGATION TEAM 13%
16% 9% 1% COWORKER 12%
INTERNAL AUDIT 10%