When you suspect internal fraud

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Question:

Among my many duties, I hold the title of Security Officer. I suspect a person on our staff is involved with something odd, potentially internal fraud. What should I do?

Answer:

This is a difficult situation. Before presuming guilt or beginning a formal investigation, you should review three things:. First, review the person’s job description. Is what they are doing a part of their job function? In small to medium institutions where people have many different job functions this could be a person actually performing one of those duties. Secondly, review the loss accounts for the areas the person is working in. Have they been increasing, decreasing or staying the same? Third, is the person responsible for any suspense accounts and if so have they been balanced recently? Your answers to these questions will help you determine how to proceed.

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Learn more about Barry’s webinar Internal Fraud Investigations