Does fraud really occur in the higher education environment? Fraud is present in every industry, including higher education.  Here is some helpful information: 

• the definition of fraud,
• preventative measures that will reduce the risk of fraud in your area, and 
• what to do if you discover fraud in your area.

Definition of Fraud

Fraud can be defined as the intentional misrepresentation or concealment of information in order to deceive, mislead, or acquire something of value. Fraud may be realized in several different ways in a College environment.

For example:

• Billing for Services not Performed
• Conflict of Interest or Kickback Schemes
• Diversion of Cash Receipts

Preventative Measures

Although the risk of fraud cannot be completely eliminated, steps can be taken to reduce the risk. The following simple preventative action measures are offered to assist Collin College management, faculty and staff in reducing the risk of fraud in our work environment.

Implement a system of strong internal controls.

• Very few departments at Collin College have the ideal number of staff members.
• However, with the available staff, we can ensure that one employee is not responsible for entire processes without any reviews.

Let employees know that you are aware of the potential for fraud and are proactive in responding to its effects.

• Perform surprise checks of subordinates' work. However, do not create a tone that you suspect your employees, but attempt to get buy-in from the employees. Help them realize that fraud impacts all of us, by reducing the funds available for raises, new computers, or additional employee needed.

Set an honest tone at the top for employees to follow. 

• Most employees look to their supervisors and to other employees for guidelines to create a tone of honesty and accountability in the workplace.

Discovery of Fraud

If you suspect or discover fraud in your department, contact Internal Audit (IA) or the Chief of Police immediately.

Chief of Police
Chief William Taylor - 972 578-5579 - wtaylor@collin.edu  

Senior Vice President of Organizational Effectiveness
Kim Davison - 972 985-3781 - kdavison@collin.edu 

Acting Vice President of Administration
Ken Lynn - 972 758-3831 - klynn@collin.edu 

• IA will assist HR in performing an examination of the process and the situation in question, as needed.
• The examination will be conducted to allow for confidential communications with those who have information concerning the suspected fraudulent activity, as appropriate.
• The appropriate campus, local, state, or national agencies will be notified by the appropriate administrator.