Ernst & Young debuts FBI co-designed anti-fraud software


Specialist anti-fraud language-analysing technology has uncovered 3,000 words and phrases that suggest fraud could be about to take place, claims Ernst & Young.

The software, which has been co-developed by Ernst & Young's anti-fraud unit and the FBI, analyses emails to find phrases that are commonly used when fraud takes place.

It can also identify unusual changes in tone that suggest an underlying problem and can be targeted to specific sectors, particularly traders.

According to the advisory firm, some of the most common phrases used by fraudsters include "cover up", "nobody will find out", "off the books", "grey area" and "failed investment".

The software also looks for phrases that indicate an employee is nervous of eavesdropping, such as "call my mobile" and "come by office".

Ernst & Young claims targeted analysis of suspect email conversations could save companies millions of pounds by uncovering major frauds before they are committed.

Such analysis can also be used to identify the key linguistics used by successful traders, so that others may replicate their techniques, the company added.

Dr Rashmi Joshi, director of Ernst & Young's Fraud Investigation & Disputes Services, said: "Email traffic is only seized upon by regulators or fraud investigators when the damage has been done.

"Firms are increasingly seeking to proactively search for specific trends and red flags initially anonymously but with the potential for investigation where a consistent pattern of potential fraud is flagged."

Jane McCallion
Managing Editor

Jane McCallion is ITPro's Managing Editor, specializing in data centers and enterprise IT infrastructure. Before becoming Managing Editor, she held the role of Deputy Editor and, prior to that, Features Editor, managing a pool of freelance and internal writers, while continuing to specialize in enterprise IT infrastructure, and business strategy.

Prior to joining ITPro, Jane was a freelance business journalist writing as both Jane McCallion and Jane Bordenave for titles such as European CEO, World Finance, and Business Excellence Magazine.