One can find social security programs with high targeting errors but low levels of EFC(error, fraud, corruption). The two concepts refer to different aspects of program design and implementation. For example, targeting error is used to indicate the fraction of program beneficiaries of social security programs that are not reaching the needs.

Fraud refers to intentional behaviors on the part of the benefit claimant to defraud the benefit system. The main caused of fraud are benefit claimants being deliberately dishonest on benefit forms, claimants deliberately exploiting the system by providing a false identity and the complexity of the benefit system, which offers opportunities and incentives for claimants to defraud the system.

We suggest several remedial measures. A strategy including prevention detection, and deterrence must by developed to establish good practice.