Two Helpful Fraud Tools (Volume 1)

Here are two helpful tools we thought would be helpful for our governmental clients. Check them out!

What should you do when fraud is discovered?

  1. Take a deep breath; it will be figured out!
  2. Log all communications and events
  3. Write down your thoughts and recollections as they come up
  4. Eliminate access to phone, computer, logins, bank, credit card, keys, and your building
  5. Secure backups and devices to make sure you maintain evidence
  6. Secure key documents; take inventory to assist with the case
  7. Contact leadership/management – only those that need to know initially
  8. Contact legal counsel; employment law, insurance agent (coverage/limits/covered for a forensic accountant), and a forensic accountant
  9. The end game: think about it, but understand the need to obtain information will take time
  10. Consult a forensic accountant to help put a case together
  11. Mitigate future risk

Here are some of the warning flags of fraud:

  • Trusted with little or no oversight
  • Refuse to provide basic financial information
  • Offended when questions are asked of them
  • Employee is rarely absent, refuses to take vacations
  • Employee works long hours and/or when others are not present
  • Employee refuses to relinquish control; train new employees
  • Employee appears to live beyond their means

For more information about fraud or forensic accounting, contact one of our forensic accounting experts.


Tools Source: Acuity Forensics