Never underestimate the opportunities for theft and fraud in your business! From taking home office supplies to devising elaborate embezzlement schemes, the possibilities for dishonesty are endless. Here are a few of the most commonly recognized types of fraud and what you as a business owner should keep an eye out for.
Larceny: taking cash or property from the business. This category covers everything from taking cash out of the cash register to stealing inventory from the loading dock.
Embezzlement: theft of cash or property by someone in a position of trust, like a bookkeeper or senior executive.
Billing Schemes: setting up a false vendor account and paying the vendor (actually the employee) for nonexistent goods or services.
Payroll Schemes: falsifying time-cards to receive compensation for a greater amount of hours than actually worked, or writing payroll checks to “phantom employees.”
Expense Reimbursement Schemes: padding expense reports by adding items that were never incurred or were not business-related.
Time Theft: one of the most common forms of employee theft, this crime is committed by using company time to conduct personal business.
Information Theft: supplying proprietary information such as customer lists or trade secrets to a competitor.
A recent study was conducted and they found that South African organizations reported that senior and middle management commit 77% of all internal fraud and that the profile of the typical fraudster is;
- Aged between 31 and 40,
- Has worked for his employer for more than 10 years
- Has acquired a university degree
Should your organization need assistance with a theft, fraud, or corruption investigation get in touch with Uphando Forensic & HR Services.