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Home > Our departments > Finance Services > Financial regulations and policies > Fraud Policy Statement > 2: Definition of fraud
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Finance Services
  • 1: Introduction
  • 2: Definition of fraud
  • 3: Warning signs
  • 4: Culture
  • 5: Prevention
  • 6: Detection
  • 7: Investigations
  • 8: Policy review

2:  Definition of fraud

2.1 - This Fraud Policy covers staff, students and activities of the University and its subsidiary companies.   For the purposes of the University's policy, fraud is defined as the use of deception with the intention of:

  • Gaining an advantage, personally and for family or friends; or 
  • Causing financial loss to the University or one of its subsidiary companies.

2.2 - The main types of irregularity are: 

  • Theft -this may include the removal or misuse of funds, assets or cash
  • False accounting - dishonestly destroying, defacing, concealing or falsifying any account, record or document required for any accounting purpose, with a view to personal gain or gain for another, or with the intent to cause loss to the University or furnishing information which is or may be misleading, false or deceptive
  • Abuse of position - abusing authorities and misusing University resources or information for personal gain or causing loss to the University.  The University's Financial Regulations http://admin.exeter.ac.uk/finance/publications/rfr/index.shtml   set out the University's controls to minimise the risk of the above occurring. 

2.3 - Examples of fraud, which are neither exclusive or exhaustive, include the following:

  • Misappropriation of cash e.g. theft of cash from cash boxes, cash registers, and takings from trading outlets, vending machines, or from social fund;
  • Theft of stock;
  • Fraudulent encashment of payable orders or cheques;
  • Misappropriation of other assets including information and intellectual property. This would also include theft of stationery for private use, unauthorised use of University property e.g. vehicles, computers, other equipment;
  • Purchasing or purchase ledger fraud (e.g. approving/paying for goods not received, approving/paying bogus suppliers, approving/paying inflated prices for goods and services, accepting any bribe);
  • Travel and subsistence claims overstated or falsely claimed. This may include advances not recovered or forging of counter-signatories;
  • Accepting pay for time not worked (e.g. false claim for hours worked, failing to work full contracted hours by any member of staff, false overtime claims, or falsification of sickness self-certification);
  • Computer Fraud (eg altering or substituting records, duplicating or creating spurious records, or destroying or suppressing records)

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