Summary: Pursuant to a congressional request, GAO evaluated the efficiency of the Department of Defense (DOD) Fraud Hotline as a means of receiving and processing allegations of waste, fraud, and mismanagement in DOD, focusing on: (1) the adequacy of Hotline procedures for receiving, recording, and referring allegations for investigation; (2) the independence of investigators working on Hotline allegations; (3) the completeness and thoroughness of the investigative work; and (4) the extent of Hotline staff efforts to review and analyze completed investigative report findings for possible patterns, trends, and systematic weaknesses in DOD programs and operations.
In its analysis of 127 investigated allegations, GAO found that: (1) the individuals who investigated the allegations were not always sufficiently objective; (2) some of the cases lacked sufficient documentary evidence to fully support the investigator's statements and conclusions; (3) the investigative reports were incomplete and did not comply with DOD reporting requirements; and (4) the Hotline staff did not comply with policies for following up on completed investigations. Further, the Hotline has no formal process for evaluating the quality of the investigative efforts. Since the Hotline has been under the DOD Office of the Inspector General (OIG), adequate policies and procedures have been established for receiving, controlling, and screening allegations. Without a proper quality review process and standardized review criteria, there is no way for the Hotline to ensure the quality and consistency of the work being done on the allegations.
