Always bringing us interesting stories regarding thieves in your workplace and their methods, Randall did not disappoint this week. During his discussion, Randall gave us examples of ghost payrolls, redirected inventory credits and other issues that may be occurring right under your nose.
Ghost payrolls oftentimes go unnoticed, and in Randall’s example, were for multiple people for small amounts that would typically not get reported on a 1099 tax filing. Randall was able to find this however after being hired and reviewing the client’s books and realizing something was amiss. He immediately notified the client, and they were able to find the guilty party.
Inventory credits are another method for shady employees to take advantage of a business, making it even more important to have someone handle reconciliation separate from the same person handling the books. In Randall’s example, his client had an employee who was redirecting inventory credits by actually taking the inventory themselves, claiming it was “returned”, and selling it on their own. Randall was able to identify this issue by realizing the credits were not coming in for any of the returned inventory, and notified the client of the discrepancy.
To ensure your business is operating squeaky clean, speak with Randall, and visit https://www.counton-us.com/ today.