Workplace fraud costs more than you realize
FRAUD has a higher cost than most people realize. March is fraud prevention month in Canada and a good time to review the losses from, and reasons for, workplace fraud.
Fraud occurs when someone uses deceit, falsehood and/ or any other fraudulent means to steal your money, your property or some other valuable. With technology and globalization, both the incidence and innovativeness of fraud has been growing. Some of the more common fraud includes requesting upfront fees for a product or service that doesn’t get delivered, false billing, counterfeit cheques, writing cheques when there are insufficient funds and/or misrepresenting the financial activities of a company.
Not long ago, for instance, police uncovered a major mortgage fraud where people deliberately used false, misleading and fraudulent information to secure a mortgage. Last year saw an Alberta man plead guilty to selling counterfeit cancer drugs on the Internet. Car insurance schemes have also been discovered and of course, everyone is familiar with incidents of personal identity theft and falsifying a resumé.
Employee theft or occupational fraud, as it is also known, occurs when an individual fraudulently acquires company assets such as cash, supplies or equipment.