Because it involves the payment of cash, manipulation of purchasing is involved in many frauds.
Typical cases include :
- An employee (e.g., a buyer or purchasing manager) places purchase orders with a particular vendor in exchange for a kickback, secret commission, or other form of inducement from the vendor.
- An employee has a conflict of interest between his responsibilities to his employer and his financial interest-direct or indirect-in a company with whom the employer dose business.