Dr. Glenn Miller, host of the Leadership and the Church podcast, and CEO of Miller Management is getting the mic turned around on him this month as Chris Miller, President of Miller Management, gets to ask the questions.
In the first episode in this series, we talked about the inconceivable nature of Fraud in Ministry. We provided numbers and statistics that might have made your head spin a little. But ultimately, we will be better prepared when we stare these numbers in the face. The second episode focused on the three-legged stool of fraud, or the Fraud Triangle. Last week’s episode provided tangible actionable steps organizations can use to reduce the chances of fraud in ministry.
What do you do when you suspect fraud?
First, don’t go to the person you suspect. Assess if there is possibility to commit a fraudulent activity in that area. Then let someone know. Someone in charge at the organization, and they can seek out proper channels – a professional in this industry or law enforcement. You don’t want to tip the suspecting person of your concern because they could hinder the investigation.
Next, set your goals and have a communications plan – who, what, and when. Who needs to know? The smallest group possible. What do they need to know? Just the facts, but in a way that won’t harm anyone unnecessarily. Never accuse anyone of fraud. When do they need to know? Provide when the next update will take place.
Once there has been a positive assessment, now is the time to put the fraudster on Administrative leave, and lock them out of their accounts.
Fraud Prevention Tip: at least two people need access to anything that has a key or a password. Not just one person should have access to anything. And make sure you are updating those lists as staff changes occur.
Find our book, Confessions of a Church Felon, on Amazon. A real-life fraud story.
What you believe and what you can prove are two different things. Whatever you think the amount is, it is most likely bigger and a wider scope, by 2 to 3 times.
We started seeing a trend we didn’t like. More and more causes of fraud in ministry. As far as our accounting firm, Miller Management, we wanted to figure out ways to help our clients before these causes ever happen. So we are seeking to educate, train, and help our clients with their weekly processes to avoid the pitfalls of fraud.
We aren’t paranoid. We are prudent.
Need counsel for a current situation? Mention this post or podcast episode and receive two hours of counsel for $250. We can provide help over the phone, or in person for local folks.
Contact us at GoodFaithAccounting.com/Contact to set up your appointment today.
Everyone is susceptible to fraud in their organization. If you find there is the potential, or suspect fraud has occurred, don’t go it alone. There are resources to help.
Next month for the season of Christmas, we want to discuss the Joy of doing ministry in December. You won’t want to miss these stories.
Special thanks to our guest host and master of all things podcasting, Chris Miller, for this third episode in our Reducing Fraud in Ministry series.