Fraud Awareness and Preventative Framework MEC Maureen Modiselle

The African approach to law Legal dilemmas are approached and applied according to historical and legal precedents, but... Matters of law are not the domain of a few legal experts The legal solution may engage the whole community Each person in the community can have a decisive role in the satisfactory resolution of the matter

The NWPG’s approach to fraud Relevant Acts, regulations and procedures are in place to implement the law, but… Prevention is better than cure Every person in the community can play a decisive role to ensure that budgeted funds are spent where they are intended

It’s YOUR budget; become a player This campaign is founded on the principle that every citizen in the North West Province can do their part to stop the wastage, poor administration, fraud, theft and corruption that eat away at the budgeted funds

Goals of the campaign Create awareness Training in moral and ethical conduct Educating (controls, procedures and Acts)

Creating Awareness Characterisation of responses to fraud and corruption Lizz, the spectator who doesn’t get involved On-the-take Jake, the manipulator Humphrey, the critic who offers no solutions Kelebogile The “Player”

Training Teaching what constitutes a “fraud” or impropriety Encouraging professional ethics and integrity Familiarising everyone with the type of fraud that can occur in their area of responsibility Teaching fraud detection and response skills

Educating Wide distribution of Regulatory framework in an easy-to-read format Informing what platforms/bodies exist to manage the prevention, detection and prosecution of fraud and corruption

Components at risk Extensive exercise in all departments of the North West Provincial Administration In conjunction with Provincial Auditor General’s office Identification of the components and activities considered to be most at risk in terms of fraud

Fraud identification procedure Possible irregularities and wasteful practices identified Try to resolve by line management As a last resort, the player would blow the whistle on the perpetrator Report to management or the Office of the Premier Civil Recovery by State Attorney Disciplinary Enquiry by Misconduct Unit at the Office of the Premier Criminal investigation by SAPS Confidentiality and protection ensured at all times Office of Premier to investigate allegation Feedback to all role players Protected Disclosures Act, 26 of 2002

Fraud Prevention Strategies National Public Sector Anti-Corruption Strategy North West Province Fraud Awareness Strategy North West Provincial Fraud Prevention Framework Fraud Prevention Plans (prescribed by Treasury Regulations) Common denominator: Awareness Training Education

Fraud Prevention platforms National Anti-Corruption Forum Special Investigations The Office of the National Director of Public Prosecution (NDPP) National Prosecuting Authority (NPA) Platforms and bodies that manage prevention, detection and prosecution of fraud Asset Forfeiture Unit (AFU) Special Investigating Unit

Potential Liability Vicarious liability Statutory offences relating to dishonesty –Prevention and Combating of Corrupt Activities Act, 12 of 2004 –Financial Intelligence Centre Act, 2001 Acts, regulations and policies of general application –NW Delegation of Power Act, 20 of 1994 –NW Commission Act, 18 of 1994 –Promotion of Access to Information and Provision of Communicated Information Act, 2 of 2000 –Regulation of Interception of Communications Act, 70 of 2002 –Promotion of Administrative Justice Act, 3 of 2000