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Structural asymmetry as a fraud signature: detecting collusion with Heron's Information Coefficient
November 14, 2025 Β· Declared Dead Β· π arXiv.org
Authors
Allana Tavares Bastos, Tiago Alves Schieber, Renato Hadad, Laura Carpi, MartΓn GΓ³mez Ravetti
arXiv ID
2511.10957
Category
cs.SI: Social & Info Networks
Cross-listed
cs.IT
Citations
0
Venue
arXiv.org
Repository
https://github.com/FutureLab-DCC/Heron_coefficient
Last Checked
2 months ago
Abstract
Fraud in public procurement remains a persistent challenge, especially in large, decentralized systems like Brazil's Unified Health System. We introduce Heron's Information Coefficient (HIC), a geometric measure that quantifies how subgraphs deviate from the global structure of a network. Applied to over eight years of Brazilian bidding data for medical supplies, this measure highlights collusive patterns that standard indicators may overlook. Unlike conventional robustness metrics, the Heron coefficient focuses on the interaction between active and inactive subgraphs, revealing structural shifts that may signal coordinated behavior, such as cartel formation. Synthetic experiments support these findings, demonstrating strong detection performance across varying corruption intensities and network sizes. While our results do not replace legal or economic analyses, they offer an effective complementary tool for auditors and policymakers to monitor procurement integrity more effectively. This study demonstrates that simple geometric insight can reveal hidden dynamics in real-world networks better than other Information Theoretic metrics.
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