Earlier this year the Federal Trade Commission issued their latest fraud data, and it may surprise you that in the age of digital payments and electronic transactions fake check scams and check fraud remain in the "Top 10 Fraud Categories" and cases continue to rise. Check fraud can take many forms. Would you recognize an instance when it's presented at your institution? How can you educate your accountholders to help them avoid falling victim to these schemes? What is the process for reporting these scams?
Instances of fraud can be even more difficult to detect when they are occurring right under our noses. More and more regulatory enforcement actions and civil money penalties involve embezzlement by anyone from the frontline, to the loan department to the executive office. In fact, according to an FBI report, 60% of employees would steal if they knew they wouldn't get caught. Reassuring, right? In this session, we will also review the red flags which may indicate an instance of embezzlement at your institution. We will review specific, real-life scenarios and how you can protect your institution.
Some of the topics covered:
- Review of Current Fraud and Scams
- A thorough review of red flags for common types of fraud and scams facing your institution and its accountholders.
- Identify Red Flags for Embezzlement
- An overview of real-life and sample scenarios that could threaten your institution.
- Risk Management Practices
- A thorough discussion of risk management practices and controls over your risk management program.
- Effective Internal Monitoring of Employee Accounts
- A list of internal reports you should review to identify potential employee fraud.
- Understand the Reporting Process
- A review of reporting requirements to meet the requirements and guidance of the Bank Secrecy Act (BSA), FTC and other federal and state agencies.
- Implement Procedures for Employee Reporting
- Samples and best practices to develop policies and procedures for employees to report suspected instances of internal fraud, including the importance of various departments working together to identify and resolve cases of potential embezzlement.