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CS Professional · Internal and Forensic Audit · Fraud Detecting Techniques

An internal auditor at a Jaipur retailer interviews a store manager about missing inventory. To obtain the most reliable information, which sequence of interviewing is generally recommended in fraud investigation?

The recommended approach moves from general, non-threatening questions to specific ones and puts direct confrontation last. This builds rapport, gathers information before the suspect is alerted, and reduces the risk of defensive responses, which is why accusing early or interviewing the suspect first is poor practice.

  1. AStart with general, non-threatening questions, move to specific questions, and confront the suspect lastCorrect
  2. BBegin by accusing the suspect directly to provoke a confession
  3. CInterview the suspect first, before any witnesses or documents are reviewed
  4. DAsk only closed questions requiring yes or no answers

Explanation

Good practice is to review documents, interview neutral witnesses first, and with the suspect move from open, general questions to specific ones, keeping the direct confrontation for the end. Accusing at the start closes cooperation and risks legal problems. Interviewing the suspect first loses the advantage of prior evidence.

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