A new report from the city auditor says eight workers were fired following investigations prompted by the city’s fraud and waste hotline.
The Fraud and Waste Hotline allows employers, contractors, vendors, and members of the public in the City to report suspected wrongdoing confidentially or anonymously.
Second Annual City Auditor Charles Brown fraud and waste report, presented to the audit, finance and administration committee on Thursday, covered 80 complaints received by the Office of the City Auditor (OCA) between July 1, 2020 and June 30, 2021.
Of the 80 complaints, 23 tips were sent directly to the office. 59% of those who reported identified themselves as employees, there was a 32% justification rate for reports, and 24 investigations were initiated.
In a statement, Brown said the number of reports received by his office “continues to exceed expectations.”
“Based on the findings of this report… it is clear that, as a city, there is work to be done to adequately address and improve our response to conflict of interest situations that arise,” Brown said.
The five main categories of complaints:
Various applicable categories: 17
Theft of employee time / misconduct: 11
Social services – fraud / irregularities: 11
Service Tone / Complaint: 8
Conflict of interest: 5
Inadequate financial reporting / budgeting: 4
Misuse of city resources: 4
Out of jurisdiction: 3
Theft / misappropriation: 3
Fraud / wrongdoing: 2
Of the investigations initiated by the city, one related to fraud, 13 were related to waste / mismanagement, eight were a combination of fraud and waste / mismanagement and two related to whistleblowers.
As a result of those investigations, eight employees were fired, one was subject to disciplinary action, and five other actions were taken, including a letter of expectations and a meeting.
As of September 30, the city is estimated to have lost approximately $ 2,000 from fraud and $ 233,000 from waste. But as of that day, the city said it also recovered $ 300 in losses and received $ 4,700 in restitution.
Fallon Hewitt is a reporter for The Spectator. [email protected]
Reference-www.thestar.com