FRAUD AWARENESS TRAINING

INTRODUCTION

 o DISCUSS ADOPTION OF FRAUD AND THEFT POLICY

o ASSIGNS RESPONSIBILITY FOR REPORTING FRAUD AND THEFT

o PROVIDES GUIDELINES FOR INVESTIGATIONS OF SUSPECTED FRAUD OR THEFT

o FRAUD AWARENESS TRAINING REQUIREMENTS

o CONSEQUENCES - READ THE POLICY

o FRAUD, THEFT (AND WHISTLEBLOWER) HOTLINE AND WEBSITE

DEFINITIONSWHAT ARE SOME EXAMPLES OF FRAUD?Forgery or alteration of a check, bank draft, or any

other financial documentTheft of a check or other diversion of a payment

made to the cityImproper or dishonest handling of funds, supplies

or other assetsImproper handling or reporting of financial

transactionsProfiteering as a result of insider knowledge of

City operationsSelling or using confidential City information in the

conduct of an outside business activity

DEFINITIONS

WHAT ARE SOME EXAMPLES OF THEFT?

The act of taking something from someone unlawfully

Taking equipment or supplies belonging to the City and keeping it for personal use

Improper use of employee purchasing privileges (for example: using ID card for personal use)

AUDITOR QUESTIONNAIRE:

DISCUSS QUESTIONNAIRE   

- Sent to financial managers & to randomly selected employees

RESPONSIBILITY TO REPORT FRAUD

EMPLOYEES OR VOLUNTEERS: • IF YOU SUSPECT FRAUD OR THEFT, WHAT DO YOU DO?

o REPORT TO SUPERVISOR OR ETHICS OFFICER (WHO IS THE ETHICS OFFICER ?) CITY ATTORNEY

o THE SUPERVISOR DOES NOT HAVE THE AUTHORITY TO DETERMINE THE MERITS OF A REPORT OF KNOWN OR SUSPECTED FRAUD OR THEFT; ONLY THE ETHICS OFFICER MAKES THIS DETERMINATION; SUPERVISORS SHOULD MAKE REPORTS TO THE ETHICS OFFICER FOR FURTHER INVESTIGATION 

• IDENTITY OF COMPLAINANT WILL BE PROTECTED TO THE FULL EXTENT ALLOWED BY LAW 

-anonymous reporting makes this point moot (debatable)

• ANY FORM OF RETALIATION AGAINST COMPLAINANT WILL NOT BE

TOLERATED

ELECTED OFFICIALS: • IF YOU SUSPECT FRAUD OR THEFT, WHAT DO YOU DO?

o REPORT TO ETHICS OFFICER OR CITY MANAGER 

GUIDELINES

•DO NOT CONTACT THE SUSPECTED INDIVIDUAL

•ALLOW THE ETHICS OFFICER TO CONDUCT THE INVESTIGATION

•OBSERVE STRICT CONFIDENTIALITY - DO NOT DISCUSS WITH ANYONE OTHER THAN YOUR SUPERVISOR OR THE ETHICS OFFICER

o Progress of investigation can be accessed by use of a confidential code system

RESPONSIBILITIES OF THE ETHICS OFFICER AND GUIDELINES FOR THE INVESTIGATION

•CONDUCT THE INVESTIGATION, DETERMINE IF THE REPORT IS CREDIBLE AND DOCUMENT THE RESULTS

•MAKES EVERY EFFORT TO PROTECT THE IDENTITY OF THE PERSON WHO, IN GOOD FAITH, REPORTED THE SUSPECTED FRAUD

DISCIPLINARY ACTION WILL BE TAKE IF:

•EMPLOYEE ENGAGES IN FRAUD OR THEFT

•EMPLOYEE SUSPECTS OR DISCOVERS FRAUD AND FAILS TO REPORT

-could give the appearance of complicity

•EMPLOYEE INTENTIONALLY REPORTS FALSE OR MISLEADING INFORMATION

FRAUD AWARENESS TRAINING

•ALL EMPLOYEES ARE REQUIRED TO ATTEND FRAUD AWARENESS TRAINING AT LEAST ONCE EVERY THREE YEARS

•ALL EMPLOYEES IN FINANCIAL POSITIONS MUST HAVE TRAINING EVERY YEAR

ANNUAL REPORT

•INCIDENTS REPORTED TO AUDIT COMMITTEE

WHISTLEBLOWER POLICY

•FRAUD HOTLINE AND WEBSITE: THE WHISTLEBLOWER POLICY COVERS SEVERAL OTHER AREAS IN ADDITION TO THEFT AND FRAUD

–hand out bill-fold card, and HR director information on other areas of reporting

Questions and answers:

Speak Up for rCity Values of Integrity and Respect Report Suspected Fraud or Theft

Telephone: 1-866-607-0157Website:

https://WhistleblowerTipLine.alertline.comReports are confidential

Log in to report behaviors that violate the law and rCity values.

• Harassment or discrimination• Threats or violence• Theft or fraud; accounting or financial irregularities• Violations of laws or regulations• On-the-job drug or alcohol abuse

It’s easy, confidential, and always available!