Fraud detection through inference

• US 6,421,616 B1
• Filed: 01/31/2000
• Issued: 07/16/2002
• Est. Priority Date: 01/31/2000
• Status: Expired due to Fees

• Current Assignee: Gilbarco Incorporated (Vontier Corp.)
• Original Assignee: Gilbarco Incorporated (Vontier Corp.)
• Inventors: Dickson, Timothy E.
• Primary Examiner(s): Hilten, John S.
• Assistant Examiner(s): Sun, Xiuqin
• Application Number:
  US09/495,022
• Time in Patent Office: 897 Days
• Field of Search: 702/45, 702/55, 702/100, 702/114, 700/283, 700/231, 222/25, 705/413, 141/59, 73/12.7, 73/492, 73/13.4, 73/12.3, 73/13.6, 73/405.R, 235/375, 235/381, 340/605, 340/5.62
• US Class Current: 702/45
• CPC Class Codes: G01F 15/007 comprising means to prevent fraud

Abstract

A fraud detection system within a fuel dispenser includes the ability to measure the amount of fuel dispensed through the fuel dispenser. The measurement is compared to a value independently created representing what the amount of fuel dispensed should approximate. If the values are not comparable, an alarm may be generated to indicate that the fuel dispenser has been modified to perpetrate fraud upon the customers. In particular, a reference used in the comparison is created from data known to contain fraudulent information. If there is a match between the reported profile and the known fraudulent material an alarm may be generated.

Claims

1. A method of detecting fraud in a fuel dispenser, wherein the fraud comprises reporting an amount of fuel differing from the amount of fuel actually dispensed in a fueling transaction, said method comprising:

a) reporting an amount of fuel alleged to be dispensed on the fuel dispenser to create a reported amount;

b) comparing the reported amount to a reference related to known fraudulent information; and

c) determining if the reported amount is within a confidence interval of said reference to estimate a likelihood that the reported amount differs from the amount of fuel actually dispensed.

2. The method of claim 1 wherein the step of comparing the reported amount to a reference comprises selecting the known fraudulent information from at least one data source within the group comprising:

an analysis of vapor content recovered by a vapor recovery system;

an analysis of time required to complete the fueling transaction;

an analysis of a flow rate associated with the fueling transaction; and

an analysis of an output associated with a storage tank sensor.

3. The method of claim 1 wherein the step of comparing the reported amount to a reference is performed by the fuel dispenser.

4. The method of claim 3 wherein the step of comparing the reported amount to a reference comprises the fuel dispenser comparing the reported amount to historically created data.

5. The method of claim 1 wherein the step of comparing the reported amount to a reference is performed by a central station computer.

6. The method of claim 1 wherein the step of comparing the reported amount to a reference is performed by a computer remote from a fueling environment in which the fuel dispenser is located.

7. The method of claim 6 further comprising the fuel dispenser passing data bearing on a volume of fuel dispensed to said computer remote from the fueling environment together with data bearing on the reported amount such that the computer remote from the fueling environment can perform the step of comparing.

8. The method of claim 1 further comprising making a plurality of comparisons between the reported amount and a reference generated during a single fueling transaction.

9. The method of claim 1 further comprising generating an alarm if the step of determining if the reported amount is within a confidence interval estimates that the reported amount differs from the amount of fuel actually dispensed.

10. The method of claim 1 further comprising generating an alarm if the step of comparing fails to be performed due to a failure to report the reference.

11. The method of claim 1 further comprising generating an alarm if the step of comparing fails to be performed due to a failure to report the reported amount.

12. A method of detecting fraud in a fueling environment, wherein the fraud comprises reporting on a fuel dispenser an amount of fuel differing from the amount of fuel actually dispensed in a fueling transaction, said method comprising:

a) averaging a reported amount for a plurality of fueling transactions occurring in the fueling environment;

b) reporting the average reported amount to a computer remote from the fueling environment;

c) comparing the average reported amount to a reference related to known fraudulent information; and

d) determining if the average reported amounts are within a confidence interval of said reference to estimate a likelihood that the reported amount differs from the amount of fuel actually dispensed.

13. The method of claim 12 wherein the step of comparing the average reported amount to a reference comprises selecting the known fraudulent information from at least one data source within the group comprising:

an analysis of vapor content recovered by a vapor recovery system;

an analysis of time required to complete the fueling transaction;

an analysis of a flow rate associated with the fueling transaction; and

an analysis of an output associated with a storage tank sensor.

14. The method of claim 12 wherein the step of comparing the average reported amount to a reference is performed by a computer remote from the fueling environment.

15. The method of claim 12 further comprising generating an alarm if the fueling environment fails to report the average reported amount.

16. A fuel dispenser configured to detect fraud in a fueling transaction wherein the fraud comprises reporting an amount of fuel differing from the amount of fuel actually dispensed in a fueling transaction, said fuel dispenser comprising:

a) a fuel delivery path to deliver fuel to a vehicle;

b) a user interface for reporting an amount of fuel allegedly dispensed; and

c) a control system for controlling said fuel delivery path, wherein said control system determines a reference from known fraudulent data and compares said reference to a reported amount of fuel alleged to be dispensed through the fuel delivery path during the fueling transaction and wherein said control system determines if the reported amount is within a confident interval of said reference to estimate a likelihood that the reported amount differs from the amount of fuel actually dispensed.

17. The fuel dispenser of claim 16 wherein said user interface is a visual display.

18. The fuel dispenser of claim 16 wherein said user interface is an audio user interface.

19. The fuel dispenser of claim 16 wherein said reference is calculated from at least one data source within the group comprising:

an analysis of vapor content recovered by a vapor recovery system;

an analysis of time required to complete the fueling transaction;

an analysis of a flow rate associated with the fueling transaction; and

an analysis of an output associated with a storage tank sensor.

20. The fuel dispenser of claim 16 wherein said control system makes a plurality of comparisons during a single fueling transaction between concurrently reported amounts of fuel dispensed and a reference derived from the vapor recovered.

21. The fuel dispenser of claim 19 wherein said control system is configured to pass the data to a central station computer.

22. The fuel dispenser of claim 19 wherein said control system is configured to pass the data to a computer remote from the fuel dispenser.

23. A central station computer configured to detect fraud in a fueling transaction wherein the fraud comprises reporting an amount of fuel differing from the amount of fuel actually dispensed in a fueling transaction, said central station computer configured to:

receive a reported amount of fuel alleged to be dispensed on a fuel dispenser;

compare the reported amount to a reference derived from known fraudulent data; and

determine if the reported amount is within a confidence interval of said reference to estimate a likelihood that the reported amount differs from an amount of fuel actually dispensed.

24. The central station computer of claim 23 wherein said computer is further configured to select the known fraudulent information from at least one data source within the group comprising:

an analysis of vapor content recovered by a vapor recovery system;

an analysis of time required to complete the fueling transaction;

an analysis of a flow rate associated with the fueling transaction; and

an analysis of all output associated with a storage tank sensor.

25. The central station computer of claim 23 wherein said computer is further configured to perform a plurality of comparisons during a single fueling transaction.

26. A computer remote from a fueling environment configured to detect fraud in a fuel dispenser wherein the fraud comprises reporting an amount of fuel differing from the amount of fuel actually dispensed in a fueling transaction, said computer configured to:

receive data related to a reported amount of fuel alleged to be dispensed on a fuel dispenser;

compare the data related to a reported amount to a reference derived from known fraudulent data; and

determine if the data related to a reported amount is within a confidence interval of said reference to estimate a likelihood that the reported amount differs from an amount of fuel actually dispensed.

27. The computer of claim 26 wherein the data related to a reported amount of fuel alleged to be dispensed on a fuel dispenser comprises a fueling environment average.

28. The computer of claim 26 wherein the data related to a reported amount of fuel alleged to be dispensed on a fuel dispenser comprises an average reported amount from a single fuel dispenser accumulated over a plurality of fueling transactions.

29. The computer of claim 26 wherein said reference is determined by comparing data from a plurality of fueling environments.

30. The computer of claim 26 wherein said computer is configured to generate an alarm if said computer does not receive the data.

31. A fuel dispenser configured to detect fraud in a fueling transaction wherein the fraud comprises reporting an amount of fuel differing from the amount of fuel actually dispensed in a fueling transaction, said fuel dispenser comprising:

a) a fuel delivery path to deliver fuel to a vehicle;

b) a user interface for reporting an amount of fuel allegedly dispensed; and

c) a control system for controlling said fuel delivery path, wherein said control system is configured to pass information related to a reported amount of fuel allegedly dispensed to a computer remote from the fuel dispenser for comparison to a reference derived from known fraudulent data to estimate a likelihood that the reported amount differs from the amount of fuel actually dispensed.

32. The fuel dispenser of claim 31 wherein said reference is calculated from at least one data source within the group comprising:

an analysis of vapor content recovered by a vapor recovery system;

an analysis of time required to complete the fueling transaction;

an analysis of a flow rate associated with the fueling transaction; and

an analysis of an output associated with a storage tank sensor.

33. A computer readable medium including software configured to accept data related to a reported amount of fuel alleged to be dispensed in a fueling transaction at a fuel dispenser and comparing said data to a reference derived from known fraudulent data to estimate a likelihood that the reported amount differs from an amount of fuel actually dispensed in the fueling transaction.

34. The computer readable medium of claim 33 wherein said reference is calculated from at least one data source within the group comprising:

an analysis of vapor content recovered by a vapor recovery system;

an analysis of time required to complete the fueling transaction;

an analysis of a flow rate associated with the fueling transaction; and

an analysis of an output associated with a storage tank sensor.