In the Equity Funding fraud, approximately $2 billion of insurance policies that were claimed to have been sold by the company were bogus.

The bogus policies, which were supported by falsified policy applications, were listed along with real policies in Equity Funding’s computer files. Equity Funding personnel, including the computer programmers, kept these files in a separate room where they were easily accessible.

In addition, computer programmers and other company personnel had access to the computer.

What general weaknesses in Equity Funding’s internal controls contributed to the occurrence and the size of the fraud?