What is Fraud, Waste, and Abuse?
A variety of situations may be considered fraud, waste, or abuse in State government operations. The following are definitions and common examples:
There are three categories of fraud: financial statement fraud, misappropriation of assets, and corruption.
- Falsifying financial records to cover up theft.
- Theft or misuse of State money, equipment, supplies, or other materials.
- Intentionally misrepresenting the costs of goods or services provided.
- Falsifying payroll information.
- Use of State equipment or property for personal gain.
- Submitting false claims for reimbursements.
- Soliciting or accepting a bribe or kickback.
- Intentional use of false weights or measures.
- Purchase of unneeded supplies or equipment.
- Purchase of goods at inflated prices.
- Failure to reuse or recycle major resources or reduce waste generation.
- Failure to report damage to State equipment or property.
- Using one's position in one State department to gain an advantage over another State resident when conducting personal business in another State department.
- Serious abuse of State time, such as significant unauthorized time away from work or significant use of State time for personal business.
- Abusing the system of travel reimbursement.
- Receiving favors for awarding contracts to certain vendors.
- Manipulation, falsification, or alteration of accounting records or supporting documents from which financial statements are prepared.
- Misrepresentation in or an intentional omission from the financial statements of events, transactions, or other significant information.
- Intentional misapplication of accounting principles relating to amounts, classification, manner of presentation, or disclosure.
- Embezzling funds.
- Stealing assets.
- Causing an entity to pay for goods and services that have not been received.
- Skimming revenues.
- Committing payroll fraud.
- Accepting kickbacks.
- Engaging in conflicts of interest.
- Bid rigging.
- Economic extortion.
- Illegal gratuities.