Keeping your information and assets secure.
A recent, high profile case in South Australia has highlighted a serious situation where a staff member of a large company was able to misappropriate company funds over many years. It serves as a timely reminder that, in many businesses, responsibility is given to staff members to access company funds and bank accounts, exposing the company to staff honesty, or in this case, dishonesty.
Measures should be in place to ensure that the businesses are is protected from fraudulent activity and that correct procedures are in place to protect both the business and staff from suspicion and blame should property or funds go missing.
Businesses should consider implementing the following practice:
- Don’t share passwords;
- Change passwords regularly;
- Use programs where each person has their own personalised password;
- Conduct regular audits;
- Have checks and balances in place to ensure your staff understand company policies regarding the handling of company funds and assets;
- Set procedures so that any transfer of money, small or large, is first approved and signed off on by a director or departmental head; and
- Have dual signatories on cheques.
Should you have a situation you would like to discuss regarding the misappropriation of funds or assets, call Dooley & Associates and one of our legal staff will be happy to assist.Back