Using fictitious supplier accounts to hide improper transactions is a typical fraud that usually involves the following operations： 1. **False invoices**: False invoices are generated through fictitious supplier accounts and funds are transferred to these accounts to conceal the true whereabouts of the funds. 2. **False procurement**: A fictitious purchase order in which funds are paid to a fictitious supplier, but in fact no real goods or services are purchased. 3. **Fund transfer**: Transfer funds to other accounts or entities through fictitious supplier accounts, thereby concealing the true flow path of funds. 4. **Asset concealment**: Assets are transferred to these accounts through fictitious supplier accounts to hide the existence of these assets in the financial statements. 5. **Tax fraud**: False tax declarations are made through fictitious supplier accounts to reduce tax payable or obtain undeserved tax refunds. 6. **Money laundering**: Illegal funds are converted into seemingly legal capital flows through fictitious supplier accounts, thereby concealing the illegal source of funds. ### How to prevent such fraud? 1. **Strict supplier audit**: Conduct detailed background checks on suppliers to ensure their true existence and legal business operations. 2. **Internal control mechanism**: Establish a sound internal control mechanism, including the separation and mutual supervision of procurement, payment, audit and other links. 3. **Regular audits**: Conduct regular internal and external audits to check the accuracy and compliance of financial records. 4. **Staff training**: Conduct anti-fraud training for employees to improve their ability to identify and prevent fraud. 5. **Reporting mechanism**: Establish an anonymous reporting mechanism to encourage employees to report suspicious behavior. ### Legal consequences The use of fictitious supplier accounts to commit fraud not only violates the company's internal regulations, but may also violate the law and lead to serious legal consequences, including fines, imprisonment and other criminal penalties. Therefore, it is strongly recommended to abide by laws and ethics under all circumstances and avoid participating in or condoning such behavior. If you suspect or find such behavior, you should immediately report it to the company's internal compliance department or relevant legal agencies.