Explain the pass through fraud.

What will be an ideal response?

The perpetrator creates a false vendor and issues purchases orders to it for inventory or supplies. The false vendor then purchases the needed inventory from a legitimate vendor. The false vendor charges the victim company a much higher than market price for the items, but pays only the market price to the legitimate vendor. The difference is the profit that the perpetrator pockets.

Computer Science & Information Technology

You might also like to view...

Clip art is typically small drawings that are used to illustrate points

Indicate whether the statement is true or false

Computer Science & Information Technology

A .pdf at the end of a filename requires an Adobe reader application in order to open the file

Indicate whether the statement is true or false

Computer Science & Information Technology