OEH's management of risk is a crucial component of its strategic management and corporate governance framework. The agency adopts a balanced approach to its management of risk. This means that although all risks are identified and addressed, the primary focus is on controlling those activities with a high and medium risk. In addition, the resources and controls applied to address risks should be commensurate to the significance of those risks. http://www.environment.nsw.gov.au/whoweare/fraud.htm
Overview: This Fraud and Corruption Prevention Strategy sets out the fraud and corruption prevention policies and procedures followed by the Office of Environment and Heritage (OEH). It details OEH's approach to the prevention, detection, reporting and investigation of fraud and corruption. It also identifies current activities that may be susceptible to fraud and corruption, and provides strategies for better management and control of those activities.
Apart from the legal consequences of fraud and corruption, improper acts have the potential to damage OEH's public image and reputation. Unresolved allegations can also undermine an otherwise credible position and reflect negatively on innocent individuals.
Relationship with other policies and plans
In addition to the Code of Ethical Conduct, this strategy has a close relationship with the following policies, plans and documents:
- Risk Management Policy
- Risk Management Procedures
- Audit and Compliance Program
- Protected Disclosures Guidelines
- Policy and Approach for Managing External Complaints and Allegations
- Statement of Business Ethics
- NSW Government Personnel Handbook (Chapter 9 – Management of Conduct and Performance).
Definitions of fraud and corruption
Corruption: Dishonest activity in which a director, executive, manager, employee, contractor, volunteer or work experience student acts contrary to the interests of OEH and abuses his/her position of trust in order to achieve some personal gain or advantage for him or herself or for another person or entity.
Fraud: Dishonest activity, by OEH employees, contractors, volunteers, work experience students or external persons, causing actual or potential financial loss to OEH, including the theft of moneys or other property. This includes the deliberate falsification, concealment, destruction or improper use of documentation used for a normal business purpose or the improper use of other information or position.
Fraud and corruption risk management
Regular program for fraud risk assessment: An important part of fraud and corruption http://www.good.is/posts/crown-capital-eco-management-biomass-boiler-addresses-environmental-concerns is understanding where the areas of risk are in relation to OEH's responsibilities and functions. OEH systemically assesses its functions and responsibilities to identify all potential risk areas and to develop a risk management plan to control high and medium risk issues. Building on this broad risk assessment, a further specific risk assessment of potential fraud and corruption issues is undertaken. A dedicated review of OEH's fraud and corruption risk assessment occurs every three years. OEH's Executive, as well as its Audit and Risk Committee, oversees this risk assessment activity. Current fraud and corruption risk assessment: The former Department of Environment and Climate Change completed a fraud and corruption risk assessment during 2008-09. The methodology used for this assessment was based on AS/NZS 4360, the Risk Management Standard. Overall the fraud and corruption risk assessment project concluded that the agency had in place effective controls to minimize the risk of fraud and corruption.