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Washington State Auditors Office

Fraud External Investigation Review Checklist
June 2011 (Revised 10/30/2011)


Fraud Case Number F-13-253
Client Seattle School District
Investigator SEATTLE ETHICS AND ELECTIONS COMMISSION
Date Reviewed May 21 2013


Objective:

Audit Policy 1410 may allow all or a portion of an investigation to be performed by a client, law enforcement
agency (LEA) or other third party. In such cases, fraud investigators will review this work using the external
fraud review checklist to determine if the investigative methods and conclusion can be relied on or if additional
procedures are needed.

Investigators will contact Sarah Walker, Fraud Manager, if you have questions or concerns during your review.


Notification of Suspected Loss
1
When was our Office notified of the suspected loss? If we
identified the suspected loss, when and how?
No suspected loss was identified.
2
What was the amount or potential amount of the
suspected loss?
0
3
What is the suspected method used to perpetrate the
loss?
Shredded all supporting documents for receipts of
cash.
4
Does the individual suspected in the loss have access to
other accounting and financial systems? If yes, describe.
No
5
Was the individual suspected in the loss placed on
administrative leave?
No. The individual was transferred to a different
job that does not require any cash handling.
Objectivity and Competence
6 Who conducted the investigation? Name, Title Seattle Ethics and Elections Commission
7
In your judgment, is the individual investigating able to
conduct an objective investigation? If no, describe.
Yes
8
Does the individual have the experience and/or knowledge
necessary to conduct the investigation? If no, describe.
Yes
9
Has our Office had any prior concerns working with the
individual investing? If yes, describe.
No
Scope, Methodology, and Evidence
10
What was the scope and methodology of the
investigation?
Existing records of deposits for School years
2010, 2011 and 2012
Interviews, record review and analysis

2
11
Did the individual investigating address the what else
question?
Yes
12 Were any subpoenas issued? If yes, describe. No
13
Describe analytical procedures performed. Are any other
analytical procedures necessary?
Analysis of cash deposits was performed. We
dont believe that it is necessary or possible to
perform any additional analytics.
14
Were tests of transactions conducted using the lowest
possible original source documents?
Transactions cannot be tested because source
documents were not maintained or destroyed.
15 Were interviews conducted of entity personnel? Yes
16
Was the individual in question interviewed or given the
opportunity to respond to the allegations? I n cases where
the individual is not interviewed, is the justification
documented?
Yes
17
Did the individual in question admit to the suspected loss?
If yes, when and how much?
The individual in questions denied allegations
stating that money were used for various school
needs.
18
Is there an overall summary including a schedule of the
fraudulent activities and amounts misappropriated? Is the
summary supported by work performed?
There is a summary of findings of investigation
that lists wrong doing. No schedule of fraudulent
activities, just violations of policies and
procedures.
19
Is there fixed responsibility? Do you agree with the
methodology used to assign fixed responsibility?
Yes.
20
When did the individual investigating complete the
investigation?
May 2013
21
What are the results of the investigation and the amount of
the loss?
No loss was identified by investigation
22
Who received the results of the investigation? When? Districts Management. In May 2013

Conclusions
23
Do you have any concerns about the work or evidence
obtained? If yes, describe.
No
24 Do you agree with the conclusions? If no, describe. Yes
25
Document how any concerns noted during this review will
be resolved. If you think additional procedures should be
performed, please describe and contact Sarah Walker,
Fraud Manager, to discuss and obtain approval for the
investigative plan and budget.
We do notice any concerns during our review that
were not already resolved by investigator. We do
not expect to perform any additional work on this
investigation.
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E-mail a copy of this review checklist to Sarah Walker,
Fraud Manager.
e-mailed on 6-10-14