THE FRAUD AND FRAUD REPORTING policies represent general policies of protection that serve as the foundation of a strong anti-fraud environment. There are numerous other policies to be considered that specifically address certain issues including Internet usage, e-mail usage, and personal use of computers; however, these policies can be considered more of a control activity.
I now firmly believe a specific policy needs to be raised to the level of a foundational policy. Credit and debit card usage, which also includes the normal provisions of the expense and travel reimbursement policy, has become a policy of absolute necessity. As a unit, this will be described as the expense reimbursement policy.
CASE: “NO QUESTIONS ASKED”
Ann was responsible for reserving meeting rooms for corporate training events for her company. There were weeks when she had three or four of these events to schedule. After about six months of working for the company, Ann devised a way to substantially supplement her modest salary. She would call a hotel or convention center and ask for a faxed quote for the cost of reserving a meeting room for 200 participants. The quote amounted to approximately $8,000. She would then submit this faxed quote to her company for reimbursement, stating that she paid for the event with her personal credit ...