Experts at the American Institute of Certified Public Accountants’ Governmental and Not-for-Profit Industry Conference in Dallas discussed how auditors can detect fraudulent use of federal funds. Jacqueline Matthew of Houldsworth, Russo & Co. defined audit fraud as intentional acts causing material noncompliance or misappropriation. Troy Rector of Clark Nuber highlighted the Feeding Our Future case, where a $250 million scheme led to a 41-year prison sentence. He noted that rapid revenue growth and unrealistic service claims are key indicators of heightened risk. Auditors should assess each major program individually and consider factors like staff turnover and budget pressures.
Read the full story at cfodive.com.
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