Another "giveaway" to what might be contract and procurement fraud are abonormal bid pattterns.
Most companies that receive multiple bids for high dollar procurements will log the bid prices received on a bid abtract or similar document. If most bid prices are high and one is low there is an obvious anomaly. For example, if you observe three similar high bids and one low bid it may be an indication that the three high bidders never expected an honest low bidder to submit a price proposal for the same contract. The low bid may be honest while the three high bids are intentionally inflated.
Credit is given to Charles Piper and the July/August 2012 issue of Fraud Magazine.
Most companies that receive multiple bids for high dollar procurements will log the bid prices received on a bid abtract or similar document. If most bid prices are high and one is low there is an obvious anomaly. For example, if you observe three similar high bids and one low bid it may be an indication that the three high bidders never expected an honest low bidder to submit a price proposal for the same contract. The low bid may be honest while the three high bids are intentionally inflated.
Credit is given to Charles Piper and the July/August 2012 issue of Fraud Magazine.
NOTE: THE INFORMATION IN THIS BLOG IS NOT LEGAL ADVICE NOR
IS IT INTENDED TO BE LEGAL ADVICE. IF
THE READER HAS ANY LEGAL QUESTIONS, PLEASE REFER TO AN ATTORNEY.
Have a great and fraud-free day.
----------à>>>>>>>>>>>>>>>gene
tausk
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