KVUE ABC reported:
The Austin City Auditor's Office alleges former Austin Energy employee Mark Ybarra falsely reported the transactions over nearly six years.
According to the audit, former Austin Energy facility service specialist Mark Ybarra falsely reported about $980,000 of transactions to at least 30 fake vendors starting in 2018. Eight of the 30 vendors were reportedly connected to the city, and many payments did not appear to include details like addresses or phone numbers.
The audit also says Austin Energy's then-facility services supervisor approved roughly $750,000 of Ybarra's purchases, despite some of these payments failing to include vendor details. The supervisor retired in June 2022, and Austin Energy's building services manager took over in an interim role.
The Austin City Auditor's Office alleges former Austin Energy employee Mark Ybarra falsely reported the transactions over nearly six years.
According to the audit, former Austin Energy facility service specialist Mark Ybarra falsely reported about $980,000 of transactions to at least 30 fake vendors starting in 2018. Eight of the 30 vendors were reportedly connected to the city, and many payments did not appear to include details like addresses or phone numbers.
The audit also says Austin Energy's then-facility services supervisor approved roughly $750,000 of Ybarra's purchases, despite some of these payments failing to include vendor details. The supervisor retired in June 2022, and Austin Energy's building services manager took over in an interim role.
Find the original article here.
Takeway: Add compensating internal controls to prevent internal fraudsters from creating fake vendors.
Enroll in Training Sessions: Last Thursday of Every Month is Training on Frauds and New Scam Alerts and How to Combat
Takeway: Add compensating internal controls to prevent internal fraudsters from creating fake vendors.
Enroll in Training Sessions: Last Thursday of Every Month is Training on Frauds and New Scam Alerts and How to Combat