Fraud vs Crime

There is a difference between computer fraud and computer crime. These terms are often used interchangeably with little distinction made between them although substantial differences between them exist.

A general definition of computer fraud is:

Any defalcation or embezzlement accomplished by tampering with computer programs, data files, operations, equipment, or media, and resulting in losses sustained by the organisation whose computer system was manipulated.

The distinguishing characteristic of computer fraud is that access occurs with the intent to defraud.

About half of reported frauds are committed by insiders who have authorised access to the computer system. When investigating cases of potential computer fraud, it is vital to establish the system of the organisation's authorisation procedures.