OasisLMS

Fraud remains one of the most pressing challenges in federal, state, and local government grant programs, with federal losses estimated between $233 billion and $521 billion annually. Sophisticated schemes—including identity theft, fictitious applicants, and misrepresented eligibility—continue to exploit vulnerabilities in application and distribution processes. The COVID-19 pandemic further revealed how quickly fraudsters adapt when oversight systems are stretched.

This session will provide grants managers with practical ideas and strategies for addressing fraud risks. We’ll begin with an overview of how fraud manifests across government funding programs, highlighting common challenges such as decentralized oversight, insufficient verification processes, and the tension between speed and accountability.

Participants will then learn how Knowledge-Based Authentication (KBA) and Identity Verification (IDV) technologies can be integrated into the grants lifecycle to reduce fraud risk without creating unnecessary barriers for legitimate applicants. A case study with a state government and US Bank will demonstrate how the use of identity verification and secure funds distribution controls successfully prevented $2.2 million in attempted fraud.

The webinar will also examine the role of grants management systems (GMS) in fraud detection and monitoring, as well as how financial institutions can serve as a final safeguard in the distribution process.

Learning Objectives:

• Recognize the most prevalent fraud risks in the grants process and where they typically occur.
• Understand how KBA and IDV work and identify use cases for integrating them into grants workflows.
• Understand the complementary roles of GMS and financial institutions in safeguarding funds.