Expense fraud

Expense fraud refers to the intentional misrepresentation, manipulation, or falsification of travel expenses by employees to obtain financial gain or reimbursement to which they are not entitled.

Expense fraud can happen in various ways, often by exploiting gaps or weaknesses in travel policies, oversight, or expense reporting systems. Common methods include submitting fictitious receipts, inflating legitimate expenses, claiming personal expenditures as business-related, duplicating expense claims, or misreporting dates and locations of travel. 

Modern organizations use automated expense management systems, receipt scanning technologies, and data analytics to identify anomalies, detect suspicious patterns, and enforce compliance. 

Auditing, approval hierarchies, and clear expense policies also reduce the risk of fraudulent activity and ensure that all reimbursements are legitimate and accurate.