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HOW TO DETECT FRAUD
+20% more accurately than Benford's Law

Benford‘s Law and
Fraud Detection

Fraud experts have used Benford’s Law for a long time. It’s a powerful approach to detect fabricated transactions, but with one caveat: too many false positives. We’ve worked
to mitigate that. Our algorithm is based on Benford’s Law while mitigating this weakness.
What we improved in Benford’s Law:
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Using a predefined sample size. Without it, false positives are almost inevitable.
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Benford’s Law fails with non-Benford data.
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Detecting fraudsters who try to mimic Benford’s Law.
Types of fraud detection:
Our algorithm detects where a human may have fabricated transactions, such as:
✔ Accounting fraud
✔ Invoice fraud
✔ Tax fraud
The result: our algorithm can detect corporate fraud with a +20% higher accuracy than the traditional Benford’s Law approach.
Dr. Franco Arda
Analytics Consultant
Frankfurt am Main, Germany
Website: www.benfordanalytics.com
Email: franco@benfordanalytics.com
Phone: +49 1 525 425 35 34
Booking: Book a 30-minute call

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