Fraud costs businesses and shareholders billion of dollars each. Knowing it is possible for one group to do that much damage to some of the world’s largest businesses can be unsettling. Considering the possibilities, you never know the negative effect an employee could have if they were committing fraud in your company. There are a number of different types of fraud committed by employees, and some businesses may be overwhelmed with trying to prevent it. One of the ideal ways to prevent fraudulent activities amongst employees is to identify employee fraud early before it escalates. In order to keep your business running profitably, we at Advanced Private Investigator & Security of Miami, FL would like to share some fraud methods to help you better identify them. Below are the most common types of employee fraud that you should look out for.
Check Forgery
Although it is a little more difficult in today’s age, this is an extremely common form of fraud. In order to take money from the company, this is the process of an employee forging the signature of a superior on a check. Though check forging is more challenging, and not as common as it once was, it is still a problem and should be monitored.
Inventory Theft
Depending on the level of involvement that the employee has, this form of fraud can be more or less complicated. Being as complicated as diverting large amounts of products to alternate warehouses in order to sell them for their own profit or something as simple as pocketing inventory as it is being put on the shelves, employees taking inventory is a common and costly problem. Keeping a close eye on the books, and making sure that all of the inventory that you purchase is received and accounted for can better protect your inventory.
Procurement Fraud
An employee who is responsible for taking orders and dealing with returns is most typically involved in this kind of fraud. In order to have the opportunity to return it and pocket the refund, an employee might purposefully over-order a product. Employees could have an extremely easy time doing this if no one is double checking the work of the person overseeing purchase orders.
Fraudulent Worker’s Comp Claims
This primarily happens when an employee claims to have been injured while working but it actually happened outside the office. It can be extended to an employee who is in recovery as well. They are receiving compensation that is not rightly deserved if someone is ready to come back to work but they claim to still be injured.
Private Investigator & Security Services in Greater Miami, Sunny Isles, Hialeah, Fort Lauderdale, Pembroke Pines, Hollywood, Miramar, Boca Raton, West Palm Beach & Miami Gardens Florida
Fortunately, there are resources available to businesses who suspect employee fraud. With a number of investigator services, Advanced Private Investigator & Security of Miami, FL is readily available to help you find the source of the fraud along with documented evidence that can help you if you choose to file criminal charges. Call us today!
