Which document can signify potential fraud in governmental operations?

A Fraud Verification Memorandum specifically indicates a formal assessment regarding the presence or suspicion of fraudulent activities within governmental operations. This document is designed to evaluate discrepancies or irregularities that might suggest fraud has occurred or is ongoing. Its purpose is to provide a structured approach to investigate claims of fraud, making it a key indicator of potential fraudulent activity.

In contrast, a Budget Report primarily outlines financial plans and allocations but does not inherently denote fraud. An Expense Report records expenditures and, while it can occasionally highlight anomalies, does not directly address the issue of fraud. A Policy Document lays out guidelines and protocols for operational procedures and governance, but like the other two documents mentioned, it does not serve as a specific tool for identifying fraud. Thus, the Fraud Verification Memorandum stands out as the most appropriate document for signifying potential fraud.