Section 30 -138 of the Code of Virginia requires state agencies, courts, and local constitutional officers to report to the Auditor of Public Accounts (Auditor), the State Inspector General, and the Superintendent of State Police (Superintendent) when:
• they discover circumstances that suggest a reasonable possibility that a fraudulent transaction has occurred involving funds or property under their control; and
• an officer or employee of the state or local government may have participated in the possible fraud.
The notification requirements allow the Auditor, State Inspector General, and State Police to determine the best course of action in investigating potential fraud. The Auditor of Public Accounts does not have law enforcement capabilities and is primarily consulted in investigations of a financial nature that require expertise in accounting and financial controls.
The reporting should be in writing (either via postal mail or e-mail) and should be done when you initially determine there is a reasonable possibility that fraud has occurred. Entities required to report under Section 30-138 of the Code of Virginia cannot hire any person, firm, corporation, or other legal entity to conduct an investigation or audit of information reported without first obtaining approval from our office and the Superintendent of State Police. However, entities may use their employees to audit the circumstances reported to prevent loss of assets. One you are aware of the reasonable possibility of fraud, please do not wait to do an investigation as it is better to check with us, the State Inspector General, and with the State Police, so we can mutually determine the best course of action. All notifications should be sent to Staci Henshaw. If you have confidential information to transmit, please contact Staci for instructions for accessing our secure portal.