Embezzlement during employment 1

Embezzlement during employment 1

Quite recently our consultants closed an extensive investigation into embezzlement during employment. When we accepted the assignment, we could not predict that we would blow the lid off something so excessive.

A company producing computer parts estimated that the output of one of their production lines was too low. At first it was presumed this was due to growing pains and frequent startup issues. However, when the output did not increase and management received several dubitable messages from external parties, BN was consulted.

After thorough investigation, during which we used facility support, static and dynamic surveillance, pseudo-purchase and infiltration, an exhaustive report was prepared. From this, it appeared that one of the production employees (the so-called intellectual perpetrator) had ‘recruited’ some of his co-workers (the so-called material perpetrators) to start up their own production line.

The weakness of the flesh soon became apparent. The illegal production line already involved two shifts in which:

• Production employees produced the parts
• Shift leaders (middle management) looked the other way
• The internal transport department transported the pallets towards the exit
• External transport transported the pallets to the outlets
• The internal perpetrator paid the weekly bonuses

Clearly this was a case of organized crime, in which each link was essential to the operation’s success. All persons involved in this crime have been summarily dismissed and have been made legally liable with a claim of far over one million Euros.

In our client’s company, things are slowly settling down and HR are busy conducting interviews for the number of job positions which have opened up. Another job to do, since not one applicant will be hired without a pre-employment check. There is truth in that old adage.