Thursday: How Do I Increase Awareness?
Anti-Fraud Culture and Training
Preventing fraud, waste, and abuse of state assets and resources is the responsibility of every state employee. This is outlined in the Statewide Code of Ethical Conduct Policy , which must be followed by all executive branch employees. Everyone must take the ethics training and acknowledge understanding of the policy.
Support an anti-fraud culture and enhance fraud awareness by:
- Providing regular training and resources on internal controls and prevention techniques.
- Conduct risk assessments on programs and processes to analyze new fraud chances and impacts.
- Embrace new technology options equipped with effective controls and documented processes.
- Increase communication between operational areas to improve risk response and strategy.
- Follow specific fraud reporting mechanisms within your agency and provide anonymous channels.
- Periodically discuss consequences of fraud , including termination and civil/criminal charges.
These practices will help detect fraud, waste, and abuse and increase the perception of detection, making it less likely for a would-be fraudster to act.
Be Fraud Aware
Maintain professional skepticism every day! If something doesn’t look or feel right, say something! Be sure to know the three factors needed for fraud to occur -- rationalization, pressure, and opportunity -- depicted on the Fraud Triangle .
All employees should use ongoing monitoring techniques to help stop fraud. Ongoing monitoring is valuable to identify what has potentially changed in an agency, process, or program, such as:
- Compliance changes (statute, laws, regulatory, etc.)
- Additional funding resulting in new staff and/or new programs
- Ineffective technology and/or internal controls
- Outdated policies and procedures
- Turnover in key areas
- Audit findings that need resolution
- New or changing risk environment or tolerance
With any change comes the need to reassess whether internal controls are working as intended. Ongoing monitoring can help managers and staff react and adapt by adjusting controls and continuing to achieve agency goals.
Short Video Clips
For more information on basic fraud theory and messages from convicted fraudsters, review these videos.
Table 1: Short video clips, video length, and video description
Minnesota Management and Budget’s Internal Control and Accountability Unit (ICA) offers resources, training, and consultation for executive agencies to prioritize and document their internal control systems. The unit offers content for Fraud Awareness and Prevention Week for a tenth consecutive year, aligning with the Associated Certified Fraud Examiners (ACFE) annual International Fraud Awareness Week.
Resources: Occupational Fraud 2022: A Report to the Nations;Code of Ethical Conduct policy .