Fraud Identification Training Sept-Oct 2022

Attached Case Review: Kansas Couple Kiting

Situation: You are the new Chief Operations Officer (COO) of Bank hired by the Board of this Bank in which the Fraud was perpetrated against. The Bank Examiner’s are coming shortly to determine the extent of the loss and involvement of potential bank employees and other individuals. Questions: 1. What are the Red Flags prior to the Bank Exam which were key factors in identifying these deficiencies? List 3 ideas.

Response:

2. What specific areas of the Bank are impacted by the Fraud and may need additional attention prior to the Regulatory Exam which is scheduled in 3 weeks? List 2 ideas.

Response:

Action Plan: As the Chief Operations Officer (COO), what are the 3 most important action items necessary ensuring that your Bank meets with Regulatory and Board approval?

Response:

Do you engage the Regulators regarding your findings prior to the Scheduled Exam?

Why or Why Not?