SAISD Implements New Fraud Reporting Procedure
July 27, 2005
The management of a school district is responsible for implementing appropriate administrative systems and policies that will sufficiently diminish the risk of fraud.
As a result of recent recommendations by the Texas Education Agency, SAISD has implemented an online tool for those who wish to report suspicions of fraud within the school district. Go Now
TEA's recommendations come as a result of new audit requirements resulting from Statement on Auditing Standards 99. One specific recommendation of TEA is that districts have in a place "Reporting systems to promote prompt reporting of suspected fraud to appropriate levels of internal management." Click here to read the full report by TEA regarding this new auditing statement.
According to SAISD's Policy Online, Fraud and financial impropriety shall include but not be limited to:
- Forgery or unauthorized alteration of any document or account belonging to the District.
- Forgery or unauthorized alteration of a check, bank draft, or any other financial document.
- Misappropriation of funds, securities, supplies, or other District assets, including employee time.
- Impropriety in the handling of money or reporting of District financial transactions.
- Profiteering as a result of insider knowledge of District information or activities.
- Unauthorized disclosure of confidential or proprietary information to outside parties.
- Unauthorized disclosure of investment activities engaged in or contemplated by the District.
- Accepting or seeking anything of material value from contractors, vendors, or other persons providing services or materials to the District.
- Destroying, removing, or inappropriately using records, furniture, fixtures, or equipment.
- Failing to provide financial records required by state or local entities.
- Failure to disclose conflicts of interest as required by policy.
- Any other dishonest act regarding the finances of the District.
Any individual who suspects an instance of fraud within the school district as defined above is invited to use this new online tool to report the incident. All submissions will be reported to the appropriate district administrator for follow-up and treated as confidential to the extent permitted by law (see district policy).