Forged Check Procedure

Effective Date:	July 20, 2018
Function:	AP/PO
Contact:	Megan Moran

Basis for Procedure

This procedure outlines the steps campuses must take to prove the endorsement on a check does not belong to the vendor to whom the check was made payable to.

Procedure Summary

When a vendor claims not to have cashed a check that the Research Foundation believes has cleared, a forgery investigation should take place. Campuses obtain a copy of the cashed check, and once it has been determined that the check in question was indeed cashed, the vendor can fill- out and submit an Affidavit of Forged Maker/Endorsement to initiate an investigation by Key Bank.

Procedure Steps

The forged check procedure includes the following steps:

Step	Role or Responsibility	References or Tips
Obtain a copy of the check in question.	Campus
Complete an Affidavit of Forged Maker/Endorsement.	Vendor
Submit the completed and notarized form and check copy to Central Office Treasury Department.	Campus
Submit the forgery claim to Key Bank and monitor the claim.	Central Office Treasury Department
Investigates and resolves the forgery claim.	Key Bank
Reissues the payment to the vendor when a claim is approved.	Campus

Each step is described in the following sections.

Obtaining a Check Copy

Before a forged check investigation takes place, the campus representative must obtain a copy of the check in question through Key Navigator. For details, refer to the Check Copy Procedure.

Completing an Affidavit of Forged Maker/Endorsement

The vendor must complete an Affidavit of Forged Maker/Endorsement. The following table outlines how to complete the form:

Field Name	What to Enter
Key Bank Case #	Leave blank.
Customer Name	Name of the company or person claiming the check was forged.
Customer’s Name	Name of the contact person at the company filling out the form, including his or her job title, OR the name already entered in the Customer Name field.
I have examined the following	Circle check.
Bearing my signature as	Circle endorser.
Check #	The number of the check in question.
Date	Date on check (the date the check printed).
Amount	Amount of the check in question.
Payable to	Vendor listed on the check in question.
Drawn on	Key Bank.
I first learned of the forgery	The date when it was determined the check was cashed fraudulently.
Concerning the rest of the fields, including the ones pertaining to the filing of a police report:	Fill out if applicable. If not applicable, do not leave blank. Write N/A.

Important! The bottom of the form contains a space for a notary public seal. The form MUST be notarized to be considered complete.

Submitting the Affidavit of Forged Maker/Endorsement to Central Office

The vendor must forward the original notarized form to their campus contact. The campus contact then submits the form, along with a copy of the check, to the RF Central Office Treasury Department.

Submitting the Forged Check Claim to Key Bank

Central Office Treasury Department takes the following steps to submit the forged check claim:

Contacts the Key Bank Specialized Service Group to submit the claim over the phone, and obtain a reference number.
Mails the original paperwork to the Key Bank Domestic Collections unit.
Notifies the campus that the claim has been submitted, and gives the campus representative the estimated 60-day completion date.
Note: Central office will monitor the claim and follow-up if 60-days have passed and Key Bank has not been in contact. Key Bank requires 60-days from date of submission to settle the forged check claim; however it could take a shorter or longer period of time.

Claim Resolution

Key Bank will either deny or approve the claim. If the claim is denied, no refund is made and the campus should notify the vendor.

If the claim is approved, the RF receives a refund and the campus should reissue the payment to the vendor. Refer to the next section for details on processing the refund.

Processing a Refund for Approved Forgery Claims

The following steps are taken to process a refund when Key Bank approves a forgery claim:

Step	Role or Responsibility	References or Tips
Notify Central Office of the date that the vendor checking account was credited.	Key Bank Specialized Service Group Representative
Notify the Cash Receipts Department at Central Office of the exact amount and date of the credit.	AP/PO Department at Central Office
Reset the payment to Unreconciled in Oracle.	Cash Receipts Department at Central Office
Notify the campus that the payment can be reissued to the vendor.	AP/PO Department at Central Office

Definitions

None

Related Information

Check Copy Procedure

Forms

Affidavit of Forged Maker/Endorsement

Change History

Date	Summary of Change
July 20, 2018	Updated

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