For Use in a Fraud Examination Course or an Auditing Course1. Apply the fraud triangle to this case. Speculate on the motivation/pressures, opportunity, and rationalization of Ginoand possibly other board members.2. Identify at least 20 ‘‘red flags’’ for potential fraud in this case, for example, inadequate records. Why were checkswritten to board members?3. Identify internal control weaknesses present in the case and tie them to the elements of the COSO (2013) InternalControl—Integrated Framework: the control environment, risk assessment, control activities, information andcommunication, and monitoring.4. Identify and discuss the practical logistical issues of removing Gino and the other board members.5. What do you think of the accountant’s behavior? Include in your discussion the responsibility of the accountant.
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