Nonprofit Spark – How fraud happens and how to prevent it in nonprofits like your own – 12/09/13
This week, we look at fraud because it’s been in the news a lot lately. It all started with a series of stories in the Washington Post the fall, and the tales of woe for organizations large to small are heartbreaking. My guest is John P. Langan, a CPA and managing partner with CliftonLarsonAllen, our show sponsor.
We discuss common ways people steal from organizations and their personality types; accounting procedures that can protect your from fraud; what to do if you suspect fraud; how to think about investments, and more. This interview clips along and is easy to follow for even the most novice nonprofit leader.
A related show is a courageous and generous interview with the leader of Open Arms of Minnesota who describes her organization’s experience with fraud. How they handled it is a textbook example of what you should be prepared to do if it happens to you. That show aired the week of March 19, 2012.
You owe it to your staff, donors and constituents to be good stewards of your resources. It’s not hard if you use time-tested procedures and create a climate where everyone can ask questions.
I hope you enjoy and share the show.