EXHIBIT 101 / THE HANDBOOK

Methodology

How We Score & Rank Restaurant Fraud

A transparent, weighted model across four forensic dimensions.

The Formula

Score = (Frequency × 0.30) + (Financial Loss × 0.35)
+ (Detection Difficulty × 0.25) + (Prevention Ease × 0.10)

Frequency

30%

How often this scheme occurs across the industry

Financial Loss

35%

Average financial impact per incident

Detection Difficulty

25%

How hard it is to catch without automated tools

Prevention Ease

10%

How easily standard controls can prevent it

The Four Dimensions

What each axis measures

Each top-ranked fraud scheme includes a flow diagram showing how the fraud is executed from initiation to concealment.

Fraud flow step
Actor or system involved
Point of loss or exposure
🔴
Detection opportunity
🟡
Prevention control point
🟢

Risk Tiers

How scores map to severity

Composite scores are grouped into three tiers that determine how prominently a scheme is featured.

Score≥ 94CRITICAL

CRITICAL

Composite score ≥ 94

Score≥ 75SEVERE

SEVERE

Composite score ≥ 75

Score< 75HIGH

HIGH

Composite score < 75