Fraud Prevention

 

Fraud comes in many forms. Consider this:

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• Buddy Punching (time theft) accounts for approximately 2-3% of gross payroll. So if your payroll costs $1 million per year, about $25,000 of that is lost working capital that could be used to hire another worker or put toward other business purposes.

 

• Benefits Fraud is estimated at about 4.07% and costs federal taxpayers $3 billion per year in fraudulent payouts due to trafficking, fraud and overpayments according to federal audits. This is for EBT fraud alone and does not include lost funding opportunities that arise from the inability to accurately account for beneficiaries.

 

• Voter Fraud is a hotly contested topic in the US and reliable statistics on voter fraud in American is hard to come by. Regardless, there is no arguing that other countries have enacted effective biometric voting systems as a means for de-duplicating election registers and streamline the voting process to eliminate the potential for fraud.

 

• Credential Fraud includes the falsification of credentials like drivers license and state IDs that are used to obtain benefits. An example given in Minnesota noted an individual who had at least 9 IDs and driver's licenses in Minnesota alone, enabling this individual to obtain over $12,000 in erroneously-qualified human services and housing assistance. This is the primary reason so many Department of Motor Vehicles (DMVs) require fingerprint and/or face capture when applying for a driver's license or state ID.

 

What to Expect

 

Biometric-enabled fraud prevention systems are composed of various system components, which include:

 

• Client-side enrollment and identification software application;

• Demographic database;

• Biometric template repository and matching engine;

• Biometric capture devices (single- or multi- fingerprint scanner, face webcam, iris camera, signature capture);

• Computing resources (client/server hardware).

 

In many cases, you may be able to provide your own computing hardware as long as it meets minimum system requirements.