Uncovering what really motivates fraud at the top—beyond the classic triangle.
This CPE training event examines executive-level fraud through the lens of the well-known Walmart case involving Tom Coughlin, its former Vice Chairman. The session compares two fraud motivation frameworks—the traditional Fraud Triangle and the more behaviorally rich M.I.C.E. model—to provide attendees with a clearer understanding of how and why financial statement and expense frauds occur at the highest levels of an organization.
The Fraud Triangle, long a staple in audit training, focuses on three classic elements: Pressure, Opportunity, and Rationalization. While effective in many occupational fraud cases, this model can fall short in explaining the actions of high-ranking executives who already have access, authority, and insulation from oversight. When used alone, it may not fully capture the complexity of their motivations. Most financial statement frauds are committed by senior executives that are better understood by looking at Money, Ideology, Coercion, and Ego (M.I.C.E.).
The M.I.C.E. model—originally used in intelligence and counterintelligence—adds depth by identifying four drivers of unethical behavior: Money, Ideology, Coercion, and Ego. In executive financial statement and expense fraud cases, these motivations often overlap. A sense of entitlement (“Ego”), misplaced loyalty, or subtle coercion can drive fraud even in the absence of financial need.
Tom Coughlin’s case illustrates this dynamic perfectly. Despite earning millions in salary, bonuses, and stock options, he orchestrated an elaborate expense fraud scheme that involved misusing gift cards, falsifying travel reimbursements, and manipulating internal systems to conceal personal expenditures. These schemes were not executed alone—Coughlin relied on a “sidekick” to prepare fake vouchers, mislabel transactions, and bypass internal controls.
The event also looks at three examples of recent financial statement frauds that were committed while PCOAB registered accounting firms were providing clean opinions on the 10K financial statements.
This event explores not only how the fraud was committed, but why it was allowed to persist for years undetected. Attendees will analyze how weak documentation, vague justifications, and loyalty-based enabling behavior created an environment ripe for abuse. The course also highlights red flags and risk indicators that internal auditors should look for when dealing with executive transactions.
By comparing both models and applying them to a real-world cases, participants gain a deeper perspective on fraud motivations and practical tools to enhance internal audit effectiveness. This training will be especially valuable for auditors, fraud examiners, and compliance professionals looking to strengthen oversight where authority and influence often escape routine scrutiny.
The lessons from this event go beyond theory—they serve as a practical roadmap for identifying behavioral cues, designing better controls, and holding even the most powerful individuals accountable.
Don't miss this opportunity to sharpen your fraud detection skills. Whether you're an internal auditor, compliance officer, or fraud examiner, this session will give you practical insights into the behavioral dynamics of executive fraud and the tools to detect it early.
Learn from one of the most notorious corporate fraud cases and apply lessons that can protect your organization from similar risks. Register now to reserve your spot in this essential CPE event and take your audit effectiveness to the next level.
M.I.C.E. vs. Fraud Triangle: Executive Fraud
Offered every eight weeks on Mondays at 1:00 p.m. to 3:00 p.m. Central Time in two CPE-Credit event.
We can schedule private events on your timetable for two or more attendees.
NASBA Program Disclosures
Program Level of Understanding: Internmediate
Prerequisites: Basic knowledge of internal controls or fraud risk
Advance Preparation: None
Delivery Format: Group Internet Based
NASBA Field(s) of Study: Auditing
CPE Credits: 2, based on 50 minutes of instruction per hour
