M.I.C.E. vs. Fraud Triangle: Executive Fraud

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 fraud occurs 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.
In contrast, 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 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.
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 case, 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.

Details on Event Presentation
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
CPE Event Highlights
- In-depth review of the Tom Coughlin expense fraud case at Walmart
- A practical comparison of two leading fraud motivation models: Fraud Triangle vs. M.I.C.E.
- Exploration of executive behavior patterns and red flags signaling potential fraud
- Detailed breakdown of fraud schemes involving misappropriated funds, override of controls, and false documentation
- Examination of how sidekicks and loyalty-based coercion enable fraud at the executive level
- Insights for internal auditors and fraud examiners on strengthening controls and detecting complex fraud schemes
Learning Objectives
Upon completion of this course, participants will be able to:
- Compare the traditional Fraud Triangle with the M.I.C.E. fraud motivation model, and explain the strengths and limitations of each.
- Identify behavioral red flags and risk factors specific to executive-level expense fraud.
- Evaluate the role of enablers or "sidekicks" in facilitating fraud committed by high-ranking individuals.
- Apply the M.I.C.E. model to real-world fraud scenarios to better understand underlying motivations and audit implications.
- Enhance internal audit strategies for detecting and responding to fraud schemes involving authority override, vague expense justifications, and misuse of corporate resources.
Key Issues on the Agenda
- Executive fraud red flags: recognizing behavioral and transactional warning signs
- The traditional Fraud Triangle (Pressure – Opportunity – Rationalization): where it works and where it fails
- Introduction to the M.I.C.E. model of fraud motivation:
  - Money
  - Ideology
  - Coercion
  - Ego
- Case Study: Tom Coughlin of Walmart – anatomy of a ten-year expense fraud
- The “Sidekick” dynamic: enablers of executive fraud and their motivations
- Analysis of expense fraud schemes involving:
  - Gift cards
  - False travel reimbursements
  - Handwritten check requests
  - Concealed vendors
- Comparing the effectiveness of the M.I.C.E. model versus the Fraud Triangle in real-world cases
- Implications for internal auditors: lessons learned and control enhancements
Summary of the Subject Matter
M.I.C.E. vs. Fraud Triangle: Executive Fraud

This course explores executive-level fraud through the lens of a high-profile case study—Tom Coughlin, former Vice Chairman of Walmart. Participants will examine the fraud schemes that unfolded over a decade, including the misuse of expense reimbursements, gift cards, and false vendor arrangements.

The session contrasts two fraud motivation frameworks: the traditional Fraud Triangle (Pressure, Opportunity, Rationalization) and the M.I.C.E. model (Money, Ideology, Coercion, Ego). Using real-world examples, the course illustrates how the M.I.C.E. model offers a more nuanced understanding of the motivations behind high-ranking individuals committing fraud.

The training emphasizes behavioral red flags, control failures, and the role of enablers or “sidekicks” in facilitating fraud. It is designed to equip internal auditors and compliance professionals with tools to better assess risk, detect misconduct, and enhance fraud prevention strategies in complex organizational settings.
Authoritative Sources
This course draws upon the following authoritative sources and professional guidance relevant to the detection, investigation, and prevention of fraud:
- The Institute of Internal Auditors (IIA):
  - International Professional Practices Framework (IPPF)
  - Practice Guide: Internal Auditing and Fraud
  - Code of Ethics and Standards for the Professional Practice of Internal Auditing
- Association of Certified Fraud Examiners (ACFE):
  - 2024 Report to the Nations on Occupational Fraud and Abuse
  - Fraud Risk Management Guide (with COSO)
- Committee of Sponsoring Organizations of the Treadway Commission (COSO):
  - Internal Control – Integrated Framework (2013)
  - Fraud Risk Management Guide (Joint with ACFE)
- U.S. Department of Justice (DOJ):
  - Public filings and court documents in United States v. Thomas Coughlin
- Scholarly and Practical Fraud Models:
  - The Fraud Triangle (Cressey, 1953)
  - M.I.C.E. Model (Used in intelligence, counterintelligence, and fraud contexts)

$140.00

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M.I.C.E. vs. Fraud Triangle: Executive Fraud

Details on Event Presentation

CPE Event Highlights

Learning Objectives

Key Issues on the Agenda

Summary of the Subject Matter

Authoritative Sources

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