Home For accounting professionals General accounting discussion
Current updates regarding coronavirus (Covid-19) and the precautions AAT are taking will be continually updated on the below page.

Please check this link for the latest updates:
We hope you are all safe and well and if you need us we will be here. 💚

Possible fraud

slackdaslackda Trusted RegularRegistered Posts: 460
Hi guys, been a while... Have been busy finishing cima and changing jobs,. Been at my new job for a couple of months and the lack of controls in place is shocking but what I expect for a small org. Strange thing occurred today, I was looking into sundry expenses and noticed that the accounts controller ( my direct report) had done some "shopping" for the company, few bits like toilet rolls, few odd bits like tv mags, wasn't too bothered about the tv mags what concerned me was the receipt was in the pretty cash tin with the cash claimed... Closer inspection the "shopping" was paid for on what appears to be with the company credit card( last 4 digits and exp date are the same, is possible tht the employee has the same ending card number but highly unlikely) checked out the credit card statement and the amount is there. Does this sound like theft or an honest mistake..... If it does surmount to theft the amount is around £50 in my mind any accountant stealing any amount of cash cannot be trusted. And should be asked to leave immediately , your thoughts? There is also the possibility that there may be other occurrences of similar behaviour , I guess some more digging is required. Now I'm going through a process of changing the controls within the department to ensure petty cash is double approved and all recited correctly, but currently there was bigger issues to deal with. Thanks slackda


  • villapbvillapb Trusted Regular Registered Posts: 357
    Hi it doesn't look like theft as the receipt wasn,t hidden and looks like the card was used for company items. If it was me I would be asking the directors who has access to the card and get control over it. Also I would create policies for petty cash as a start how petty cash is used...........Sounds like you just have to bring some controls and policies into the business. I have found in the past the directors are the worst culprits and I bet you discover it was a director using the card. They usually think petty cash means not just cash purchases but card also,,,
  • slackdaslackda Trusted Regular Registered Posts: 460
    To clarify this isn't a director they have there own cards and my own worries about them are a separate concern.

  • villapbvillapb Trusted Regular Registered Posts: 357
    Cirkey sounds like you maybe moving on..............soooooon
  • RachelRachel Trusted Regular FMAAT, AAT Licensed Accountant Posts: 349
    Beware -as I think you already are.
    My old boss (ACCA Financial Director) did this and yes, it was fraud. He also started to hide the credit card statements, which was his downfall as the dd came out hence a call to Barclaycard for a copy. Also took petty cash promising receipt, foreign currency went missing. Never worked in finance again.
Sign In or Register to comment.