Fiscal Misconduct

Policy Number: 7.51
Effective Date: May 2, 2023
Revision History: August 1, 2018; May 26, 2016
Policy Contact: Vice President for Business and Finance/Chief Business Officer

I. Purpose and Policy Statement

This policy is intended to reinforce fiscal accountability and promote ethical practices. Georgia Gwinnett College is committed to maintaining the highest professional standards in its administrative operations, promoting ethical practices among its faculty and staff, and ensuring a level of accountability appropriate for a public institution. This policy and related procedures for the reporting, investigation, and resolution of fiscal irregularities are established as an integral part of the College’s efforts to ensure that faculty and staff conduct themselves in accordance with high ethical standards and that College performance with respect to these matters is consistently applied.

II. Scope

This policy applies to administrators, faculty, and staff who know or suspect that other employees are engaged in theft, embezzlement, fiscal misconduct, or violation of College financial policies. The provisions of this policy apply to all Georgia Gwinnett College organizations and programs.

III. Definition

Fiscal misconduct: the deliberate action by an individual to misrepresent or conceal the facts of a business transaction.

IV. Responsibilities

1. The President has overall responsibility for implementing fiscal policies. The President has delegated responsibility to the Vice President for Business and Finance for providing overall guidance and direction for implementing and managing the Georgia Gwinnett College’s fiscal policies and ensuring proper controls are in place.
2. The Vice President of Business and Finance will:
   1. Provide overall guidance and direction for implementing Georgia Gwinnett College’s fiscal policies;
   2. Implement and manage fiscal policy to ensure fraud, waste, and abuse does not occur; and,
   3. Provide guidance and technical assistance to employees who report a case of fiscal misconduct.
3. Administrators and all levels of management are responsible for preventing and detecting instances of fiscal misconduct. In addition, administrators are expected to recognize risks and exposures inherent in their area of responsibility and to be aware of indications of fiscal fraud and related misconduct. In order to establish and maintain proper internal controls that provide security and accountability for the resources, administrators should ensure that they and their staff receive adequate fiscal management training for their level of responsibility.

V. Compliance

Fiscal irregularities and related misconduct will not be tolerated. Employees found to have participated in fraudulent fiscal acts and/or gross misconduct will be subject to disciplinary action, up to and including termination, pursuant to personnel policies and rules, or subject to criminal prosecution if in violation of Georgia or federal laws.

VI. Reporting Misconduct

1. If fiscal misconduct is reported, a preliminary investigation may be performed to evaluate the circumstances and identify any unmerited or frivolous claims. All employees will cooperate fully with those performing an investigation pursuant to this policy. Suspected instances of fiscal misconduct may be anonymously reported on the GGC Ethics and Compliance Reporting Hotline or the USG website. Administrators, faculty, and staff who know or suspect that other employees are engaged in theft, fraud, embezzlement, fiscal misconduct or violation of College and/or Board of Regents financial policies have an affirmative duty to report, and are encouraged to report it to their supervisor (unless otherwise indicated or circumstances make it inappropriate, employees should report wrongdoing through their supervisory chains), the Controller’s Office, Internal Audit, and/or the Ethics and Compliance Hotline.
2. When a suspected fiscal irregularity is reported to the Controller’s Office, the Vice President for Business and Finance, Internal Audit, Human Resources, Public Safety, Legal Affairs, and the responsible Vice President will be advised prior to investigations beginning. Public Safety will be responsible for conducting criminal investigations and Human Resources will be responsible for conducting employee investigations.  While the investigation is pending, it will be the responsibility of the responsible administrators, after consultation with the appropriate College officials (Human Resources, Office of Legal Affairs, and/or others as deemed necessary), to determine if it is necessary to take immediate personnel and administrative action to protect College faculty, staff, students, and property. Incidents involving suspected criminal malfeasance by an employee must be reported to the USG Director of Ethics and Compliance once an initial determination has been made that employee malfeasance may have occurred. Malfeasance reports involving financial fraud should also be sent to the USG Chief Audit Officer and Fiscal Affairs.
3. Once the audit or investigation is complete and circumstances surrounding the irregularity or impropriety have been determined, responsibility shall be assigned for taking appropriate personnel and operating actions to minimize the likelihood of recurrence. Results of the audit or investigation should be distributed to the Controller, Vice President for Business and Finance, Office of Legal Affairs, Chief Human Resources Officer (CHRO) and responsible Vice President. The BOR will be notified if major risks were identified during the investigation.
4. If legal issues are involved, the Office of Legal Affairs and/or CHRO should work jointly with the investigating team to determine the appropriate action to be taken. All corrective action recommendations for final resolution should have the approval of the President.

VII. Related Regulations, Statutes, Policies, and Procedures

BOR Policy Manual 7.12 Compliance
BOR Business Procedures Manual 16.5 Ethics and Compliance