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The Audit Connection Blog

Results for: Fraud


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State Auditor’s Office uncovers $7 million misappropriation

December 16, 2019

Today, the Office of the Washington State Auditor released its report on a major fraud investigation involving the Pierce County Housing Authority. The State Auditor’s Office investigation found nearly $7 million in misappropriated public funds, which is the largest case of its kind on record for a Washington local government.

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A drainage ditch along an agricultural field

Auditor’s Office issues fraud report regarding troubled King County drainage district, calls for public engagement in government accountability

May 22, 2019

Today the Office of the Washington State Auditor released a pair of reports regarding King County Drainage District 5: a fraud investigation and a new type of report identifying the district as “unauditable.”
The Office also published an online guide to more than 35 other small local governments that have failed to file any public financial information for years, rendering them unauditable.

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Know what to look for to prevent disbursement fraud

October 9, 2018

Fraudulent disbursements are the most common form of asset misappropriation. This type of disbursement occurs when an employee uses their position to make payment for an inappropriate purpose. They are on-book fraud schemes, which means that money in the form of checks leaves the entity fraudulently, but is recorded on the books and leaves an audit trail. In this way, entities can become victims of fraud, even when no cash is involved.

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Ensure your bank deposit slips are detailed

August 6, 2018

We have learned that not all banking institutions are providing a detailed breakout of cash and checks on bank validated deposit slips. If your banking records do not contain the detailed cash/check composition of your deposit, you will want to take corrective action as soon as possible.

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Know what to look for to prevent cash receipting fraud

April 2, 2018

While cash transactions might be less frequent than those involving credit or debit cards, or have individual low dollar values, over time small daily losses can add up. According to the Association of Certified Fraud Examiners’ (ACFE) 2016 Report to the Nations, the average median loss when cash was misappropriated ranged from $25,000 to $90,000.

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