Reporting of Suspected Fraud, Waste & Abuse The Division of State Internal Audit (DSIA) of the Virginia Department of Accounts is responsible for administering the State Employee Fraud, Waste and Abuse Hotline, which provides state employees with an opportunity to report instances of fraud, waste, and abuse that may be occurring in the Commonwealth.
Our Internal Audit Department will be notified of all cases for further investigation. If you would like to make a report concerning employee fraud, waste, and abuse, please call the Employee Fraud, Waste and Abuse Hotline at 1-800-723-1615.
The section 30-138.A of the Code of Virginia requires that the state agency head, upon the discovery of circumstances suggesting a reasonable possibility that a fraudulent transaction has occurred, must report this information to the Auditor of Public Accounts and Department of State Police. To supplement this code, the Presidential Policy 1001, Fraud Reporting Policy, was adopted and approved to inform University management of its responsibility in reporting suspected fraudulent actions to the President’s Office and the Internal Audit Unit. Click to view the Fraud Reporting Policy.
What Is Considered To Be Fraud, Waste, Or Abuse?
Fraud – The intentional deception perpetrated by an individual or individuals, or an organization or organizations, either internal or external to state government, which could result in a tangible or intangible benefit to themselves, others, or the Commonwealth or could cause detriment to others or the Commonwealth. Fraud includes a false representation of a matter of fact, whether by words or by conduct, by false or misleading statements, or by concealment of that which should have been disclosed, which deceives and is intended to deceive.
Waste – The intentional or unintentional, thoughtless or careless expenditure, consumption, mismanagement, use, or squandering of Commonwealth resources to the detriment or potential detriment of the Commonwealth. Waste also includes incurring unnecessary costs as a result of inefficient or ineffective practices, systems, or controls.
Abuse – Excessive or improper use of a thing, or to employ something in a manner contrary to the natural or legal rules for its use. Intentional destruction, diversion, manipulation, misapplication, maltreatment, or misuse of Commonwealth resources. Extravagant or excessive use as to abuse one’s position or authority. Abuse can occur in financial or non-financial settings.
Fraud Related Publications
- The Association of Certified Fraud Examiners' (ACFE) 2012 Report to the Nation on Occupational Fraud and Abuse provides insight to the costs and effects of occupational fraud. In addition, the report provides information on how occupational fraud is committed, how fraud schemes are detected, information about organizations that were defrauded, and demographic information on fraud perpetrators.
- KPMG's white paper, Fraud Risk Management - Developing a Strategy for Prevention, Detection, and Response, provides an oveview of fraud risk management fundamentals, new regulatory mandates, and spotlights on key fraud risk management practices that organizations have found to be effective in the current environment.
- Managing the Business Risk of Fraud: A Practical Guide recommends ways in which boards, senior management, and internal auditors can fight fraud in their organization.
- The Fraud Triangle, a newsletter published by the Auditor of Public Accounts (APA), describes the three basic elements (opportunity, pressure, and rationalization) that allow fraud to occur.