Structural asymmetry as a fraud signature: Detecting collusion with Heron’s information coefficient

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 possible 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. • Heron’s coefficient quantifies structural imbalance in dynamic networks. • Applied to 8 years of Brazilian health bidding data, patterns suggest collusion. • Artificial network tests confirm anomaly detection stability when scaled. • HIC detects unusual network motifs and links more sensitively than other metrics.

Authors

Institutions

Publication Details

Journal
Chaos Solitons & Fractals
Published
2026-03-04
DOI
https://doi.org/10.1016/j.chaos.2026.118119
Primary Topic
Auction Theory and Applications
Type
article
Field-Weighted Citation Impact
0.00
Controls
|||
ALL TIME
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
article

Structural asymmetry as a fraud signature: Detecting collusion with Heron’s information coefficient

Laura C. Carpi, Renato Moreira Hadad, A. L. Bastos, Martín Gómez Ravetti et al.
Chaos Solitons & Fractals
Auction Theory and Applications
article

Structural asymmetry as a fraud signature: Detecting collusion with Heron’s information coefficient

Laura C. Carpi, Renato Moreira Hadad, A. L. Bastos, Martín Gómez Ravetti, Tiago Alves Schieber
article en

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 possible 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. • Heron’s coefficient quantifies structural imbalance in dynamic networks. • Applied to 8 years of Brazilian health bidding data, patterns suggest collusion. • Artificial network tests confirm anomaly detection stability when scaled. • HIC detects unusual network motifs and links more sensitively than other metrics.

Chaos Solitons & FractalsVol. 208
Universidade Federal de Minas Gerais (BR), Pontifícia Universidade Católica de Minas Gerais (BR)
Peace, Justice and strong institutions
Openalex Percentile: Top 41%
Auction Theory and Applications
AI Navigator

Ask Laika to Summarize, Analyze, and Connect papers live on the map.

Summarize Papers & Methodologies

Extract key findings, datasets, and comparative methods across publications.

Benchmark Rankings & Visual Analytics

Rank top research institutions, authors, funders, topics, and journals by Field-Weighted Citation Impact (FWCI) and paper volume with instant charts.

Connect Distant Disciplines

Bridge topological clusters on the map to find hidden collaborative intersections.