What is a "whistleblower"?

Prepare for the ACFE Certified Fraud Examiner Test. Study effectively with flashcards and multiple-choice questions, complete with hints and explanations. Ace your exam effortlessly!

A whistleblower is defined as an individual who reports suspected fraud or unethical conduct within an organization. This person often brings to light activities that violate laws, regulations, or company policies, and by doing so, they help safeguard the integrity of the organization and protect stakeholders from potential harm.

Whistleblowers play a crucial role in maintaining transparency and accountability within organizations. Their actions can lead to investigations that uncover fraud or misconduct, and they often face difficult situations, including potential retaliation or job loss, for coming forward. This definition aligns directly with the concept of whistleblowing as a means to expose wrongdoing for the greater good.

In contrast, other options describe different roles or functions within a company that do not specifically relate to reporting fraud. For instance, promoting company policies or being part of management does not imply involvement in whistleblowing. A professional fraud investigator, while related to the detection of fraud, typically performs investigations rather than reporting suspected fraud themselves. Therefore, the focus is correctly placed on the individual who actively reports suspicious activities, defining them as a whistleblower.

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