What impact does the CFE have on shaping policies aimed at preventing financial fraud in government institutions?

When it comes to government institutions, malicious actors have always been one step ahead of exposing the most critical systems and exploiting them for financial gain. Moreover, making the government systems vulnerable to fraud not just disrupts the national economy, but also derelicts its global image. So, with public trust on the line and taxpayer’s funds at stake, revisiting government policies that are aimed at preventing fraudulent incidents becomes highly crucial. 

A certified fraud examiner (CFE) is considered an ideal professional who carries the ability, skills, and knowledge to enforce such policies, monitor their normal operation, and amend when required. A CFE is a trained professional who undergoes rigorous training in fraud-relevant subjects and has to pass the highly revered certification from ACFE that is considered the gold standard in identifying, addressing, and preventing frauds across industry verticals. 

Therefore, CFEs have the expertise in shaping policies and can also offer important insights into the existing as well as modified government policies that are aimed at preventing financial fraud. 

Here is how a CFE can help in shaping policies aimed at preventing financial fraud in government institutions-

A. Policy Development

Certified fraud examiners make a huge contribution to the creation and development of financial policies. Their thoughts, views, and knowledge significantly enhance the quality of financial policies.

• CFE professionals can find faults and defects related to anti-fraud so they can be removed or amended.
• By harnessing their expertise, CFEs will also help in designing stronger policies and practices that incorporate the best technology in combating fraud. These policies may involve the segregation of duties, double confirmations on financial transactions, and periodic audits that act as checkpoints to guarantee that they are being abided by.
• A CFE ensures policy alignment with industry standards and compliance with regulatory requirements, therefore organizations adapt better to new risks and changes in regulations.

B. Internal Control Enhancement

CFEs ensure internal controls by helping to discern the weaknesses in the existing systems and control processes.

• CFE’s main responsibilities involve the execution of detailed audits to ensure that internal control systems are up to par with the other existing systems that are geared at minimizing fraud risks.
• CFE recommendations are based on the risk profile of the organization. and rely on the expertise of professionals in control measures who can provide fraud prevention advice to organizations.
• CFEs enhance access controls and implement whistle-blower hotlines to proactively act in any suspicious incident.
• Through strengthening in-house inspection CFEs add an internal barrier to financial wrongdoings, asset waste, and a culture of honesty and accountability in organizations.

C. Compliance and Regulation

CFEs encompass the general knowledge of the financial world along with the changing compliance and regulatory aspects of financial irregularities.

• CFEs play the watchdog role that includes changes in laws, regulations, and industry directives, thus guaranteeing that organizations take their time to remain compliant.
• CFEs draw up statutory provisions, and they are involved in the organization’s change management processes to comply with regulatory environments.
• They collaborate with units in formulating the compliance policies and guidelines that deal with specific sections of the regulation such as the anti-money laundering laws and the data security laws.
• Enabling the companies to accordingly implement regulations, CFEs will help organizations lower the chance of breaking the law and having a bad reputation, thereby promoting confidence among different stakeholders.

Netrika collaborates with ACFE for instructor-led CFE courses to support the prevention of financial fraud in government institutions

Netrika Consulting is a revered institution and the only authorized ACFE partner in India that offers an instructor-led CFE course. Through our CFE certificate program, participants can enhance their global employability and job security while gaining professional recognition and reputation. The instructor-led certified fraud examiner training course from Netrika gives professionals and organisations the tools and awareness they need to stop potential frauds and lower the risk of already-existing ones.