CHICAGO (WLS) — It’s severe weather season, and storm damage can leave homeowners vulnerable.
Now, the Illinois Attorney General is warning about scammers looking to cash in on cleanup and repair work.
Scam contractors and “storm chasers” often go door-to-door, offering quick repairs or “free” inspections.
Attorney General Kwame Raoul says don’t sign anything on the spot. Instead, get written estimates from multiple contractors and make sure roofers adjusters are properly licensed.
Avoid anyone demanding cash, Venmo or Zelle payments upfront.
Experts say never pay in full before the work is completed and inspected.
For more tips or to report suspected fraud, Raoul is encouraging residents and business owners to visit his office’s website to learn more and to call local law enforcement agencies and his office’s Consumer Fraud Hotline (1-800-386-5438 in Chicago, 1-800-243-0618 in…
CLICK HERE to read the FULL I-Team Quick Tip: Storm repair fraud – ABC7 Chicago article.
PAYROLL & HR CONTROLS (PREVENTING “GHOST” SCHEMES)
Payroll fraud is often the hardest to detect because it “looks” like a normal business expense.
- Segregation of Duties (SoD): The person who adds new employees to the system must not be the same person who approves the monthly pay run.
- Mandatory Vacation Policy: Require all financial and HR staff to take 5–10 consecutive days of leave annually. Fraud often surfaces when the perpetrator isn’t there to “hide” the trail.
- Ghost Employee Audit: Perform a quarterly “Headcount Reconciliation” where managers must physically verify every name on their payroll list exists.
- Self-Pay Blocking: Ensure the payroll software has a hard-coded block preventing administrators from editing their own salary or bank details.