Corporate fraud is most commonly performed by taking the advantage of the sensitive & confidential information and also the valuable assets, using them to maximise the gains. There are many methods that help predict fraud before they occur. These activities are often hidden behind legitimate business transactions and exchanges to hide it from the authorities. This paper focuses on various tools which can be used to detect such activities how they are administered. Fraud is defined under section 447 of the companies act 2013 which says that “fraud in relation to affairs of a company or a body corporate, includes any act, omission, concealment of any fact or abuse of position committed by any person or any other person with the connivance in any manner, with intent to deceive, to gain undue advantage from, or to injure the interests of, the company or its shareholders or its creditors or any other person, whether or not there is any wrongful gain or wrongful loss” But in order to prevent fraud from happening, one must know what it is, what are its consequences, how they are committed and how can it be prevented. The information that we obtain from these exercises should be put back into the system so that the fraud prevention measures can implemented, and monitoring can be done to prevent a reoccurrence. The detection of them is directly related to their prevention. There are various methods for detecting fraud and reporting it to the authorities. Poor corporate governance and internal control are the mains reasons of frauds occurring, preventing them would ensure a healthy financial statement. “Inside a business firm, the corporate managers play a primary role for fraud prevention and detection withing a business firm but employees have an important role to play as well” . “Effective employee training, thorough screening and internal control, board oversight” . There many ways in which corporate fraud may be detected. They are, internal audit, external audit, whistle blowing, forensic assessment etc.