Employee fraud is something that occurs far more frequently than it should. However, due to businesses wanting to keep this type of fraud private, most people don’t realise just how much of a problem employee fraud actually is. Therefore when it comes to handling the problem, a lot of employers simply let the matter drop.
The problem with this is that you are basically telling your employees that fraud is perfectly acceptable. If you do not reprimand the person responsible, how can you possibly prevent it from happening again? Even if the guilty employee does not commit the crime again, there is a good chance that another one will. That is why it is important to handle employee fraud correctly.
The Different Options Available
When it comes to handling employee fraud you have a number of different options. Firstly you can contact the police. In some situations the police may not be interested. It will depend upon the seriousness of the fraud and the circumstances behind it. The police currently have limited resources when it comes to dealing with fraud so they may just ask you for details to be sent to the station. You will be responsible for finding out why it happened and how it happened and you will then present that report to the police.
Another option that you have is to dismiss the employee. However, you will need to ensure that you follow the proper procedures. If you don’t you could end up in court with an unfair dismissal charge, even though the employee literally stole from you!
As you can see, handling the matter can be time consuming and it is not a very pleasant experience. The main thing that you have to remember is that fraud is stealing. Is it really worth letting the employee get away with the crime just so you can avoid a little hassle? In order to tackle fraud, it needs to be reported and in the first instance the advice of a good incvestigative forensic accountant may pay dividends.
