Occupational Fraud – (Part 3 of 7)
By: Mark Palmer, President e:countable, LLC
One of the most common ways that fraud occurs in businesses is through the process of paying your bills.
You know how it goes. Your business purchases a product or service. You receive a bill. The bill is entered into accounts payable. When the due date arrives – you pay it. Sounds simple enough, but the process is wide open for some unethical person to complicate your life in any number of ways.
Let’s start by first looking at how you pay your vendors. Just as we mentioned in our previous post, leaving all your financial processes in the hands of one person can be a dangerous thing. A dishonest bookkeeper for instance – left to his or her own devices – could cr