http://www.theiia.org/intAuditor/feature-articles/2011/september/fraud-in-faith-based-organizations/ Blogen-us Tue, 17 Jul 2012 10:07:52 AMTue, 17 Jul 2012 10:07:52 AM http://www.theiia.org/intAuditor/feature-articles/2011/september/fraud-in-faith-based-organizations/2011-10-08Both small and large churches rely on "Volunteer Members" for financial and operational purposes. In most cases no one performs background checks, e-verify or any other security functions.Fraud and theft are seldom revealed and in most cases the thief is "Forgiven" of his sin and sent on his way. Internal control should start in the home office of a denomination with the establishment of an Internal Audit department that can travel both nationally and internationally to churches and perform annual financial and operational audits. Every penney that rolls out of the U.S. Treasury says "In God We Trust". Let's get back to basics and provide a little protection for Him. Thank You. http://www.theiia.org/intAuditor/feature-articles/2011/september/fraud-in-faith-based-organizations/2011-09-26The article could have not come at a righter time. I am working with a faith based organization as a CAE. But my organization is regulated by the country's Central Bank. However I see that not only the volunteer workers but everyone, the MD,and the others directors are susceptible to fraud; either by allowing their "Father of faith" to do as he wants within the bank by ordering them to authorize payments and loans absolutely against the ethics. The biggest danger is that these fathers brainwash the professionals with "The Lord talks through me, if you dont obey you are acting against the will of the Lord" cliche and many others. I have seen my collegues who have worked in the banking industry for at least fifteen years go absolutely bananas. I thing there should be moderation. Those working in such positions as mine should ensure, as it is our job is one hundred percent ethics, that they train them on the areas of fraud and risks associated with them. I have many to say, but let me end up here today. http://www.theiia.org/intAuditor/feature-articles/2011/september/fraud-in-faith-based-organizations/2011-09-23The audit process must consistently include deliverable like written audit report to board of trustees. The trustees goals and objectives must be consistent with the faith based organizations own faith who otherwise would not have become members of such faith based organization at the first place. Written audit committee charter helps communicating the objectives of the audit to the the board of trustees also. Changes in the board members cannot automatically change the faith based organization own belief all the time. This is looked within the audit process that includes deliverable like distribution of audit report.