The NAFCU Journal May - June 2019 - 32

''

I award a semiannual fraud
defender award - and it has a
monetary benefit to it.
- JON CRAWFORD, SECURITY MANAGER,
APPLE FEDERAL CREDIT UNION

an incentive for following the "if you see
something, say something" culture, says
Crawford. "I award a semiannual fraud
defender award - and it has a monetary
benefit to it."

Ongoing Training Is Essential

Training on what is and isn't appropriate and ethical can help keep credit
union employees diligent in their
anti-fraud behavior.
Apple Federal Credit Union begins its
fraud training at new employee orientation. Crawford says he is "charged with
discussing fraud and fraud issues at the

''

''

credit union." He discusses external fraud
schemes employees can look out for and
then describes his and Carroll's roles in
preventing internal fraud. He also demonstrates the anonymous tip link on Apple's
intranet - which goes only to internal
audit to protect anonymity - and their
policy that "if you bring something to our
attention, we're going to look into it."
Annual bank security training presents
the perfect opportunity for ongoing
reminders about internal fraud, says
Waner. "Besides just suspicious activity,"
she says, "we talk about internal issues
and employee fraud."

Having a fresh set of eyes
look at your controls is
extremely important.

''

- MICHAEL J. CARROLL, ASSISTANT VICE PRESIDENT
OF INTERNAL AUDIT, APPLE FEDERAL CREDIT UNION

32

Crawford has developed an in-house
e-learning module on internal fraud. It's
updated annually based on real cases
in the past year from nonsupervisory
employees all the way up the chain. He
includes criminal penalties for fraud
so they understand what the potential
ramifications are from a criminal perspective. Crawford and Carroll also work
together to create one-off trainings based
on what they're seeing in the credit union.
A recent example is a training on dual
controls to help everyone understand and
follow the policies as outlined.
Also important is ongoing training for
a credit union's fraud and loss prevention staff, say Crawford and Carroll.
The ACFE, the Association of Certified
Anti-Money Laundering Specialists, the
Association of Credit Union Internal
Auditors, and regional and local groups
for credit union management and law
enforcement and security professionals offer education and training, while
NAFCU can connect members with
resources at www.nafcu.org.
Preventing internal fraud requires a holistic approach and an open culture. One of
the hallmarks of success at Pen Air, Apple
and Allegiance is that the culture of fraud
prevention is embraced at all levels, from
the tellers to the board of directors. Policies and procedures work to support that
culture, and training ensures that policies
and procedures are followed.
Jennifer Roland Cadiente is a freelance
writer based in Oregon. She focuses on technology, financial institutions and education.
THE NAFCU JOURNAL  MAY-JUNE 2019


http://www.nafcu.org

The NAFCU Journal May - June 2019

Table of Contents for the Digital Edition of The NAFCU Journal May - June 2019

The NAFCU Journal May - June 2019
Contents
Conferences
From the Chair
Washington and Industry Briefs
The Bottom Line
Welcome, New Members
Knowledge Is Power Credit unions leverage data and analytics for strategic business growth.
Lowering the High Cost of Internal Fraud Policies, culture and training work together to improve fraud detection and prevention.
2019 Annual Conference Exhibitor Directory
Executive Spotlight
Management Insight
Compliance Central
Inside NAFCU Services
From the President’s Desk
The NAFCU Journal May - June 2019 - The NAFCU Journal May - June 2019
The NAFCU Journal May - June 2019 - Cover2
The NAFCU Journal May - June 2019 - Contents
The NAFCU Journal May - June 2019 - 2
The NAFCU Journal May - June 2019 - Conferences
The NAFCU Journal May - June 2019 - From the Chair
The NAFCU Journal May - June 2019 - 5
The NAFCU Journal May - June 2019 - Washington and Industry Briefs
The NAFCU Journal May - June 2019 - 7
The NAFCU Journal May - June 2019 - The Bottom Line
The NAFCU Journal May - June 2019 - 9
The NAFCU Journal May - June 2019 - 10
The NAFCU Journal May - June 2019 - 11
The NAFCU Journal May - June 2019 - Welcome, New Members
The NAFCU Journal May - June 2019 - 13
The NAFCU Journal May - June 2019 - 14
The NAFCU Journal May - June 2019 - 15
The NAFCU Journal May - June 2019 - 16
The NAFCU Journal May - June 2019 - 17
The NAFCU Journal May - June 2019 - Knowledge Is Power Credit unions leverage data and analytics for strategic business growth.
The NAFCU Journal May - June 2019 - 19
The NAFCU Journal May - June 2019 - 20
The NAFCU Journal May - June 2019 - 21
The NAFCU Journal May - June 2019 - 22
The NAFCU Journal May - June 2019 - 23
The NAFCU Journal May - June 2019 - 24
The NAFCU Journal May - June 2019 - 25
The NAFCU Journal May - June 2019 - Lowering the High Cost of Internal Fraud Policies, culture and training work together to improve fraud detection and prevention.
The NAFCU Journal May - June 2019 - 27
The NAFCU Journal May - June 2019 - 28
The NAFCU Journal May - June 2019 - 29
The NAFCU Journal May - June 2019 - 30
The NAFCU Journal May - June 2019 - 31
The NAFCU Journal May - June 2019 - 32
The NAFCU Journal May - June 2019 - 33
The NAFCU Journal May - June 2019 - 34
The NAFCU Journal May - June 2019 - 2019 Annual Conference Exhibitor Directory
The NAFCU Journal May - June 2019 - 36
The NAFCU Journal May - June 2019 - 37
The NAFCU Journal May - June 2019 - 38
The NAFCU Journal May - June 2019 - 39
The NAFCU Journal May - June 2019 - 40
The NAFCU Journal May - June 2019 - 41
The NAFCU Journal May - June 2019 - Executive Spotlight
The NAFCU Journal May - June 2019 - 43
The NAFCU Journal May - June 2019 - 44
The NAFCU Journal May - June 2019 - 45
The NAFCU Journal May - June 2019 - Management Insight
The NAFCU Journal May - June 2019 - 47
The NAFCU Journal May - June 2019 - Compliance Central
The NAFCU Journal May - June 2019 - 49
The NAFCU Journal May - June 2019 - Inside NAFCU Services
The NAFCU Journal May - June 2019 - 51
The NAFCU Journal May - June 2019 - From the President’s Desk
The NAFCU Journal May - June 2019 - Cover3
The NAFCU Journal May - June 2019 - Cover4
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