Office of Audit and Advisory Services Coral Gables Campus Contact Information: Marina L. Garcia...
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Office of Audit and Advisory Services Coral Gables Campus Contact Information: Marina L. Garcia University of Miami Tel: 305-284-2605 Email: [email protected]@miami.edu
Office of Audit and Advisory Services Coral Gables Campus
Contact Information: Marina L. Garcia University of Miami Tel:
305-284-2605 Email: [email protected]@miami.edu
Slide 2
Controls - Reviews and Reconciliations Perform frequent reviews
of financial activity reflected in FRS Report 90s Closely review
expenses reflected in accounts for your department/area. Look for
inappropriate charges - is the transaction allowable and
appropriate to the funding source? Is it reasonable? Is it for
legitimate purposes to help further the universitys mission? Review
revenues, including cash receipts, for reasonability, outliers,
anomalies, and trends. Optimal review entails comparing expense
charge to supporting approved source document (e.g., Invoice,
purchase order, contract, etc.). Question everything. Do not accept
an answer that does not make sense.
Slide 3
Examples of Other Controls Individual in charge of reviewing
financial transactions in Report 90s for a department/area should
not be approving or recording expenses reflected in the account.
Individual performing the cash collecting function should not be
responsible for recording deposits or for reviewing Report 90s.
Compensating controls, such as performing a reasonability check or
a review of inventory variances by an independent party (one with
no access to cash, inventory, etc. and no approval authority),
could help mitigate a lack of segregation of duties as depicted
above. Segregation of duties and compensating controls
Slide 4
Ensure an Open and Ethical U 1 Over the last several years, the
U has been the victim of financial fraud perpetrated by its
employees. 2 Fraud is an avoidable waste of University resources. 3
There are things that each of us can do to maintain ethical
standards and financial controls. 4 Tell your supervisor or make an
anonymous report to the CaneWatch hotline
(www.canewatch.ethicspoint.com) regarding any concerns about
financial improprieties or
irregularities.www.canewatch.ethicspoint.com 5 You dont need to be
certain theres a problem and may choose to remain anonymous. 6 You
can also report concerns to: Office of Audit and Advisory Services
(8-2605) or Controller (8-6429). 7 Source: 4/5/2012 Email by Joe
Natoli, Sr. Vice President and CFO to Faculty and Staff
Slide 5
Detection Methods of Occupational Fraud and Abuse TipManagement
ReviewInternal AuditBy Accident Account ReconciliationDocument
ExaminationExternal AuditNotified by Police
Surveillance/MonitoringConfessionIT ControlsOther
Slide 6
Guess the percent attributed to Tips as the detection method in
reported occupational fraud and abuse cases
Slide 7
Initial Detection of Occupational Frauds As Figure 11
demonstrates, tips are consistently the most common detection
method for cases of occupational fraud by a significant margin,
which has been an observed trend since the ACFE first began
tracking this data in 2002. Management review and internal audit
follow tips, which was also true for the 2010 and 2012 Reports.
Source: ACFE 2014 Global Fraud Study
Slide 8
Thank You Turn Your Watchful Eye Into Responsible Action That
Benefits All Of Us