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RAY
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World Athletics has sacked an employee and a consultation after they defrauded the organization nearly $2 million over a number of years.
World Athletics have fallen victims of internal theft after losing $1.7 million following fraud from two employees and a contracted consultant.
The global athletics governing body said the financial fraud carried out by the two employees and contracted consultant was carried out for several years and was uncovered following a first annual audit under a new financial leadership team.
One of the employees had already left by the time the anomaly was discovered while the other and the consultant were sacked after an internal investigation.
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“World Athletics instructed an independent forensic accounting review of the period to supplement its own internal investigation and no other fraudulent activity was found. A set of enhanced internal financial controls are being introduced across the organization,” said World Athletics via a statement.
Sebastian Coe Sends Firm Warning
Commenting on the theft, World Athletics President Sebastian Coe said: “Unfortunately, corporate theft happens in organisations around the world and across all industry sectors at different levels. The most important thing is to identify it, review how it was able to happen and then introduce new processes and enhanced controls to ensure it doesn’t happen again. This is what we have done.”
“We are also determined to recover whatever monies we are able using the full force of the law to do this. Too many organisations brush incidents like this under the carpet, terminating employment with limited information which allows perpetrators to continue their scams and thefts within new organisations. We are not that type of organization,” he added.
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“We have built a strong reputation for good governance, transparency and for defending what is right, even if it is sometimes a little uncomfortable. This is uncomfortable but it is important that we do the right thing.”
World Athletics plans to introduce a number of new financial controls to prevent future fraud at the organization.