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#441303 08/05/08 09:52 PM
Joined: Jul 2008
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Gecko
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You just became aware of a wrongdoing.To your surprise,the fraudster was a trusted employee very close to the owners. They ask your input in this case. The decision is either to let him or her resign or to open an investigation.

What would you suggest?

Your comments are helpful to all of us!


Consuelo Herrera - Accounting Editor

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An investigation will give the firm an opportunity to determine the extent of the activity, people, dollars, many things. Letting them hire only lets the senior management cover their ineptitude at keeping things under control.

Kirk


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Joined: Jul 2008
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Gecko
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I strongly believe that an investigation is worth as long as benefits outweigh costs.

Letting a fraudster resign opens doors for another organization to be victimized.


Consuelo Herrera - Accounting Editor

A typical business loses 5% of its gross revenue to fraud Report to the Nations issued by ACFE Fraud Solutions International: Fraud Prevention/Investigation and training. Contact us!
info@fraudawareness.org

Accountingwebsite
Accounting Forum

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i would suggest him to resign if he is close to me. i wouldnt risk my friendship with someone, just for his mistake. if that friend is working for me and he is found of doing frauds. i would sack and terminate as he broken the important thing in friendship called 'Trust'
vik


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