A-to-Z Index

3010 - Cash Shortages and Fraudulent Transactions

Effective Date: July 1, 2009


Table of Contents:

   .100 General
   .200 Procedure
      .210 Suspected Cash Shortages
      .220 Suspected Fraudulent Transactions
   .300 Definitions

.100 General

This section iterates the requirements of James Madison University for reporting suspected cash shortage, and fraudulent transactions. Also refer to James Madison University, Policy Number 1603, "Reporting of Fraudulent Transactions."

.200 Procedure

.210 Suspected Cash Shortages

In the event that a cash shortage is suspected, area management is to notify the Assistant Vice President for Finance immediately. The Assistant Vice President for Finance may authorize a specific dollar amount as non-reportable when associated with daily checkout procedures. Cash shortages, which are within that restriction, need not be reported. The Assistant Vice President for Finance will notify the Director of Audit and Management Services of significant or unusual cash shortages.

.220 Suspected Fraudulent Transactions

Senior Vice Presidents, Assistant/Associate Vice Presidents, Directors, Deans, or Department heads are to notify the Director of Audit and Management Services immediately of suspected fraudulent transactions.

.300 Definitions

Suspected Cash Shortage: Any instance when a person cannot prove the total amount of cash, for which that person is responsible. Cash includes currency, coin, checks, signed credit card slips, and other negotiable instruments.

Immediately: Upon discovery.

Fraudulent Transaction: The intentional deception perpetrated by an individual or individuals, which could result in a tangible or intangible benefit to themselves and/or could cause detriment to others, the University, or the Commonwealth. Fraud includes a false representation of a matter of fact (whether by words or by conduct, by false or misleading statements, or by concealment of that which should have been disclosed) that deceives and is intended to deceive.