Facts About Fraud

Fraud is an illegal act, the concealment of an act and receipt of benefits (generally in the form of financial gain) from that act. All types of organizations are susceptible to fraud - even colleges and universities. Fraudulent acts include but are not limited to the following:

• Making or altering documents or computer files with the intent to defraud
• Purposefully inaccurate financial reporting
• Misappropriation or misuse of resources, such as funds, supplies or other assets
• Improper handling or reporting of cash transactions
• Authorizing or receiving compensation for goods not received or services not performed

Roles and Responsibilities

The university's Board of Trustees and administration are responsible for promoting and maintaining a rigorous environment in which robust internal controls are mandated. They have a legal and ethical obligation to adequately support fraud prevention and detection, including the development of strong fraud and conflict of interest policies.

The university's internal auditors are responsible for appraising the adequacy and effectiveness of internal controls. We monitor compliance with policy, regulatory requirements and operating procedures and actively search for fraud during our audit engagements.

The university's employees are responsible for upholding its values and ethics in their actions. They should examine internal controls in their own operations and work with their supervisors to strengthen weak controls. They are obligated to report any suspicion or knowledge of unethical or fraudulent activity to the university's Office of Internal Auditors or legal affairs.