Skip to content

Deconstructing the origins of Cressey’s Fraud Triangle

Research output: Contribution to journalArticlepeer-review

Purpose: Cressey’s Fraud Triangle has been referenced in 8,584 studies and academic papers [1] and is a stalwart of training courses for accounting and audit practitioners and fraud investigators. The Fraud Triangle has endured for three decades in the academic and practitioner worlds. This study aims to explore the origins of Cressey’s Fraud Triangle and challenge its practical value to a fraud investigator.

Design/methodology/approach: This study has developed from analysis of a targeted literature review carried out as part of a wider study into occupational fraud and corruption.

Findings: Cressey’s name is intrinsically linked to the Fraud Triangle, although he never used the expression during his lifetime. Two of the three motivational factors identified by Cressey (1953) were developed from the earlier work of Svend Riemer (1941), who it is suggested should have equal billing with Donald Cressey for the concepts that led to the creation of the Fraud Triangle.

Practical implications: The paper illustrates the limitations of Cressey’s Fraud Triangle for practitioners.

Originality/value: Many academics and researchers have either misunderstood Cressey’s role in the development of the Fraud Triangle or been unaware of its true origins. Although the pioneering work of Riemer is referenced in a 2014 study on the Fraud Triangle by Alexander Schuchter and Michael Levi, to the best of the authors’ knowledge, this paper is the first to identify the influence of Riemer on Cressey’s thinking and the development of the Fraud Triangle.
Original languageEnglish
JournalJournal of Financial Crime
Early online date2 Jun 2021
DOIs
Publication statusEarly online - 2 Jun 2021

Documents

  • The Fraud Triangle origin and meaning pure.docx

    Rights statement: This author accepted manuscript is deposited under a Creative Commons Attribution Non-commercial 4.0 International (CC BY-NC) licence. This means that anyone may distribute, adapt, and build upon the work for non-commercial purposes, subject to full attribution. If you wish to use this manuscript for commercial purposes, please contact permissions@emerald.com.

    Accepted author manuscript (Post-print), 768 KB, PDF document

    Licence: CC BY-NC

Related information

Relations Get citation (various referencing formats)

ID: 27860324