Which of the following is NOT an appropriate technique for detecting a nonconforming goods or services scheme?

• A. Review the Inspection and Testing Reports of Questioned Goods or Materials
• B. Interview Procurement Personnel about Red Flags
• C. Conduct Unannounced Inspections of Questioned Goods or Materials
• D. Determine if Contract Costs Have Exceeded or Are Expected to Exceed the Contract Value

Answer: (D)

Detecting a nonconforming goods or services scheme relies on direct evidence gathering about the actual items and how they were procured. Reviewing inspection and testing reports of questioned goods or materials provides concrete evidence about whether the items meet specifications, helping verify conformity. Interviewing procurement personnel about red flags taps into potential clues, uncovering suspicious practices, inconsistencies, or control gaps that could conceal nonconforming goods. Conducting unannounced inspections of questioned goods or materials adds a surprise check to ensure the items on hand match what was claimed and to catch tampering or falsified documentation.

Determining if contract costs have exceeded or are expected to exceed the contract value does not directly uncover nonconforming goods or services. It’s a financial or contractual indicator and can signal risk, but it isn’t a hands-on or evidence-based detection method for conformity issues by itself.