We in the nonprofit sector don’t like the “F” word … fraud, that is.
After all, we’re in the business of doing good, and fraud is just bad and ugly. However, turning a blind eye to the possibility can be even more damaging than the actual deception.
Consider this: Of those who responded to the Association of Certified Fraud Examiners’ 2016 Global Fraud Study, 10.1 percent of victim organizations were nonprofits that reported a median loss of $100,000; 18.7 percent were government agencies that reported a median loss of $109,000.
Is your nonprofit ripe for fraud? If we’re being totally honest, it probably is, particularly if any or all of the following scenarios sound familiar: