Is it worse to be robbed or embezzled?
According to statistics you are more likely to be the victim of “suite” crime than “street” crime. Have you stopped to think which is worse? According to the FBI, the annual cost of street crime is $15 billion compared to nearly $1 trillion for white-collar crime. https://pnklr.co/2MBty8g
Crazy question and hopefully no one will have to go through either.
But when you think about it you probably worry more about the violent robbery or burglary. Most people have insurance to cover these types of thefts. As awful as it is to even consider either of these crimes would you feel worse knowing a stranger broke into your home when you were on vacation or having your right hand go to person steal from you for many years?
Law enforcement may never find the burglar. You know the person who stole from you daily for years. What happens when they are caught? The loss of trust is heartbreaking.
You probably have a homeowner’s policy. You may have to clean up the mess in your home, fix the broken door or window for a robbery. Call your insurance company. Document what is missing.
What is your policy for employee dishonesty? Do you have one? What is the amount? You can’t take pictures of what is stolen like a homeowner’s policy and get a check quickly. There is no hour long CSI: Embezzlement. It takes months at a minimum.
What will you have to do for an embezzlement? Call your lawyer, most likely fire the employee, replace the employee, hire a CFE or forensic accountant, work with law enforcement for potentially over a year all while you are trying to recover financially. Spend money to hire all these professionals.
What do you do at night? Lock your doors. What do you do during the day? Tone at the top, internal controls, segregation of duties, mail your bank statements home, make your employees take vacations, surprise audits…