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Fraud Detection & Prevention Policy
Fraud Detection & Prevention Policy

Covers internal and external fraud risks, prevention measures, detection methods, and incident response procedures.

Tyler Bryden avatar
Written by Tyler Bryden
Updated over 3 weeks ago

1. Purpose

This Fraud Detection & Prevention Policy establishes guidelines for identifying, preventing, and responding to fraudulent activities within Speak AI Inc. The policy aims to safeguard the company’s assets, ensure compliance with legal requirements, and promote ethical business conduct.

2. Scope

This policy applies to all employees, contractors, vendors, and third parties who conduct business with Speak AI Inc. It encompasses all business operations, financial transactions, and digital activities related to fraud prevention.

3. Definition of Fraud

Fraud includes, but is not limited to, the following activities:

  • Misrepresentation of financial statements

  • Identity theft and unauthorized access to company systems

  • Embezzlement or misappropriation of funds

  • Bribery and corruption

  • Manipulation of data for personal gain

  • Vendor or procurement fraud

  • Phishing, cyber fraud, and other digital fraud schemes

4. Fraud Prevention Measures

Speak AI Inc. implements the following preventative measures to mitigate fraud risks:

  • Internal Controls: Regular audits and checks on financial transactions and access to sensitive information.

  • Segregation of Duties: Ensuring that no single employee has sole authority over critical financial processes.

  • Background Checks: Screening of new employees and vendors before engagement.

  • Training & Awareness: Mandatory fraud prevention training for all employees.

  • Access Controls: Implementation of multi-factor authentication and role-based access to sensitive data.

  • Whistleblower Protection: Confidential reporting mechanisms to encourage the reporting of suspected fraud without retaliation.

5. Fraud Detection Methods

Speak AI Inc. utilizes the following methods to detect fraudulent activities:

  • Automated Monitoring: Use of AI and analytics to identify anomalies in financial transactions and system usage.

  • Internal Audits: Routine and surprise audits to identify discrepancies and suspicious activities.

  • Incident Reporting: A defined process for employees and stakeholders to report suspected fraud.

  • Third-Party Assessments: Periodic reviews of vendors and business partners to assess compliance with ethical standards.

6. Incident Response Procedures

If fraudulent activity is suspected, Speak AI Inc. follows these steps:

  1. Immediate Reporting: Employees must report suspected fraud to their manager or the compliance team at [email protected].

  2. Investigation: The compliance team conducts a confidential investigation with support from legal and IT teams as necessary.

  3. Corrective Action: If fraud is confirmed, Speak AI Inc. takes appropriate disciplinary action, including termination, legal action, or criminal prosecution.

  4. Process Improvement: Post-incident analysis to strengthen internal controls and prevent future occurrences.

7. Compliance & Enforcement

All employees and stakeholders must adhere to this policy. Violations of this policy may result in disciplinary action, including termination and legal prosecution.

8. Policy Review & Updates

This policy is reviewed annually and updated as necessary to align with industry best practices and legal requirements.

9. Supporting Documents & References

For any questions or concerns, please contact [email protected].

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