A Comprehensive Guide to Successful Claims Outcomes (Part I of II) Fidelity/crime/financial institution bonds, in a general sense, cover an insured from the willful theft of property, money, and securities by one of their employees or an outside third-party carried out through a variety of means. Such fraud can impact myriad industries. In this two-part article, the authors provide fundamental aspects of a fidelity investigation, from inception to recovery of stolen funds. Introduction: Understanding Fidelity Investigations Fidelity/crime/financial institution bonds, in a general sense, cover an insured from the willful theft of property, money, and securities by one of their employees…
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Fraudulent Payroll and Expense Schemes (Part III of III) This article represents the third installment of a three-part series discussing the potential for embezzlement within an organization by its Accountant Bookkeeper Office Manager (ABOM). Part one discussed how the ABOM could mishandle incoming cash receipts to commit fraud. Part two discussed how the ABOM could mishandle outgoing cash disbursements to commit fraud. This article will be discussing how an ABOM can alter payroll data to embezzle cash. There are two types of payroll schemes that a law organization can fall victim. An ABOM can engage in a ghost employee scheme…
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Cash Receipts (Part I of III) This article represents the first of a three-part series discussing the potential for embezzlement within an organization by its accountant/bookkeeper/office manager (ABOM). ABOM is considered one of the most trusted employees within an organization, making them prime candidates to commit internal fraud. On a daily basis, an ABOM may be dealing with incoming cash receipts, cash disbursements, and processing payroll, including employee benefits programs and expense report reimbursements. This article, specifically, will address the ABOM’s ability to embezzle funds related to cash receipts using skimming and larceny techniques.