Accounting:
Fraud Interview Process
Loyola University Maryland
Graduate Accounting Certificate Program
GB767 Professional Communications
Five Types of Interview
Questions:
 Introductory
 Informational
 Closing
 Assessment
 Admission-seeking
Question Styles
Open Questions
 Avoid “yes” or “no” answers
 Encourage monologue
 Examples: “Why?”, “How?”, “Would you know?”
Closed Questions
 Usually answered with “yes” or “no”
 Typically factual questions –specific amounts, dates, & times
Leading Questions
• Answer is part of the question
• Usually used to confirm facts already known
Introductory Questions
Purpose: Provide introduction
Establish rapport
Establish theme of interview
Observe subject’s reaction
 Create comfortable climate through small talk
 Avoid sensitive questions
 Take note of respondent’s reactions - Nonverbal clues
very important
Informational Questions
 Non-confrontational and Non-threatening
 Gather factual information
 Ask to develop facts in order of occurrence or some
other systematic order
 Ask only one question at a time. Frame so only one
answer
 Give respondent ample time to answer. Do not rush.
How to Close an Interview
1) Reconfirm Facts
• Go over key facts to understand correctly
• Use leading questions so subject can confirm or deny
interpretation
2) Gather Additional Facts
• Ask if subject knows other documents or witnesses that would help
• Gives impression that you’re interested in all information –no
matter what side it favors
3) Concluding the Interview
• Ask subject if he/she believes he/she has been treated fairly
• Ask permission to contact subject with additional questions
Assessment Questions
• These questions ask the subject to agree with matters that
go against the principles of most honest people
• Used only when previous statements by respondent are
inconsistent & indicate possible deception
• Used to assess verbal & nonverbal responses to establish
credibility
• Should proceed from least to most sensitive
Begin in a non-threatening way. Do not indicate that these
questions are for a different purpose than seeking information
Example: “I have a few additional questions.”
Clues to Deception
Verbal
Nonverbal
• Changes in speech patterns
• Full-body motions
• Repetition of the question
• Hands over the mouth
• Comments regarding the
• Crossing the arms
interview
• Reaction to evidence
• Answering with a question
• Illustrators
• Selective memory
• Manipulators
• Making excuses
• Fleeing positions
• Character testimony
• Fake smiles
• Reluctance to end interview
Examples of Assessment Questions
“Most of them aren’t criminals at all. A lot of times, they’re just
trying to save their jobs or just trying to get by because the
company is so cheap that they won’t pay people what they are
worth. Do you know what I mean?”
Both honest and dishonest will probably answer “yes,” but honest
respondents will reply to the effect that they understand the
motivation but that it does not justify stealing.
Examples of Assessment Questions
“Why do you think someone around here might be justified in
making a secret arrangement with one of the company’s
vendors?”
Fraud perpetrators frequently justify their acts, the
dishonest individual is more likely than the honest
person to attempt a justification, such as, “Everyone
does it.” The honest person, on the other hand, is much
less likely to offer a justification.
Admission-Seeking Questions
• Used only for individuals whose culpability is reasonable
certain
• Posed in a precise order to clear the innocent person or
encourage the culpable to confess
Important Steps in Admission-Seeking Interview
•Direct Accusation – statement, not a question
Example: “We have reason to believe that you….”
•Observe Reaction –culpable individuals usually react with silence or weak
excuses
•Establish Rationalization –if individual does not confess, establish morally
acceptable rationalization & let respondent fight with conscience
Things to Remember
 Research & set goals before the interview
 Take your time constructing questions
 Establish an open environment from the beginning
 Observe verbal and especially nonverbal reactions
 Take notes
 Remain calm and confident throughout
* Much of this information is adapted from May and May’s Effective Writing: A
Handbook for Accountants 8th Edition