Part 2 - Computer Crime

Question 1

1. What is the definition of a computer system?

Answer 1

a) means-
i) a computer; or
ii) 2 or more interconnected computers; or
iii) any communication links between computers or to remote terminals or another device; or
iv) 2 or more interconnected computers combined with any communication links between computers or to remote terminals or any other device; and
b) includes any part of the items described in paragraph (a) and all related input, output, processing, storage, software, or communication facilities, and stored data

Question 2

2. When investigating credit card and cheque offences what steps should you follow when interviewing the accounts manager at the bank?

Answer 2

• the account holder’s full name, occupation, private and business addresses and telephone numbers
• the date the account was opened
• the account history and how it has been operated
• the date the cheque book or credit card was reported missing
• how and by whom a loss was reported
• the serial numbers of any missing cheques
• details of any cheques dishonoured and returned
• whether the account holder is suspected ofissuing valueless cheques

Question 3

3. When an account has been opened with fictitious details, what should you find out?

Answer 3

• the account number and the date it was opened
• the nature and amount of the first deposit
• details of any other deposits
• the details used when the account was opened
• descriptions of the suspect and any of their associates at the time
• the names and addresses of the employee who opened the account and any other employees who can identify the suspect. Interview these employees and obtain statements
• the serial numbers of the cheques supplied
• details of the dishonoured cheques and the people or firms defrauded

Question 4

4. What information should you find out from the account holder when cheques have been dishonoured through lack of funds?

Answer 4

• the suspect’s full name, address, occupation and age
• the date the account was opened
• the nature and amount of the first deposit eg cash, tax refund or stolen cheque
• any arrangements for regular deposits such as direct crediting of wages, and the dates and amounts of irregular ones
• details of any overdraft arrangement - check the bank’s diary notes for any extension to this
• the general pattern of the way the account has been operated
• the state of the account at the time the cheques were issued
• whether the suspect was aware of the state of the account. If so, find out when and by whom the suspect was informed. Obtain any correspondence asking him or her not to issue any more cheques and confirm that this was not returned to the bank undelivered
• details of the dishonoured cheques and the people or firms defrauded
• the amount of any saving in other accounts

Question 5

5. The key to a successful company fraud investigation is to seek advice early. What agencies can help and what service can they provide?

Answer 5

• Police accountants and legal officers - Police forensic accountants at Auckland, Wellington and Christchurch are available to give you advice and, if necessary, to assist personally. Legal section can be of particular help in preparing production orders, search warrants and charges
• Ministry of business, innovation and employment Possible resources of information are:
• Registrar of companies
• companies office
• Official assignee
• insolvency services
• Commerce commission - Can assist in matters relating to
• the fair trading act 86
• the unsolicited goods and services act 75
• pyramid selling
• Financial Markets Authority - the financial markets authority can assist in matters relating to the securities act 78 and the issuing of prospectuses
• NZ Customs - customs can assist in matters involving international travel and CAPPS alerts
• Liquidators and receivers - These administer companies that are in liquidation or receivership. They are usually accountants