Multiple Choice Questions
1. Victims of frauds:
a. Usually do not sue the fraudster.
Correct.
b. Sue the fraudster almost 100 percent of the time.
c. Sue the fraudster when they are large companies.
d. None of the above.

2. Which of the following types of losses would usually be estimated in a fraud investigation report?
a. Losses of valuable papers and records.
b. Loss of income.
c. Both a and b.
d. Neither a nor b.
Correct.

3. In general, fraud investigators:
a. May be at risk for being sued by a perpetrator.
Correct.
b. Are protected from being sued by a perpetrator if they act in good faith.
c. Are protected from being sued by a perpetrator under the federal Whistleblowers Act.
d. None of the above.

4. The effect on the investigator’s professional liability insurance as the result of a perpetrator’s lawsuit against the investigator is:
a. Not an issue if the investigator is found not to be liable in a court of law.
b. Not an issue if the investigator is found not to be liable in a court of law and pays the litigation costs.
c. Possibly negative even if the investigator is completely innocent and wins in court.
Correct.
d. None of the above.


5. Which of the following is not part of the fraud recovery process?
a. Collecting insurance if it exists.
b. Recovering from the fraudster through a civil action or restitution ordered by a criminal court.
c. Reviewing and repairing any internal control weaknesses that may have permitted the fraud to occur.
d. All of the above are part of the fraud recovery process.
Correct.