Are You Ready to Prevent Gambling-Related Fraud in Your Biz?

An Oregon bookkeeper recently pleaded guilty to stealing more than $70,000 from her employers–money she then used to gamble.

The woman was sentenced to five years in prison, according to OregonLive. The theft started during her first month of employment and continued for about a year. She had prior theft convictions listed under a different last name.

How Can Employers Prevent Gambling-Related Fraud?

Gambling addiction is a condition with roots in biology. It can affect anyone regardless of age, gender, ethnicity, or economic status. People who struggle with the disorder need professional treatment from counselors trained to work with this addiction.

Employers can take action to protect their businesses by enacting safeguards to prevent gambling-related fraud or at least catch it before it does significant damage. Here’s how to protect your bottom line:

Never give one employee sole charge of the company finances.

It can be easier to steal when an addicted gambler knows that no one is checking the books. Always use at least two people to handle company finances. If you can only afford to hire one person, conduct regular, unannounced internal audits to make sure the books are in order.

Divide check writing and check signing powers.

Another way to reduce gambling-related fraud risk is to assign one person the task of writing the checks and another the task of signing them. This checks-and-balance system may prevent fraud or catch it early.

Learn to recognize problem gambling warning signs.

If you see an employee exhibiting these warning signs, refer him or her to human resources or an employee assistance program (EAP):

  • Asking for payday advances;
  • Asking for pay in lieu of vacation time or sick days;
  • Frequently organizing office pools;
  • Unusual insistence on taking work home;
  • Increasing absences or tardiness;
  • Sudden lifestyle changes, such as buying pricey cars or taking expensive vacations;
  • Arguing with coworkers, friends, or family about money;
  • Borrowing money from coworkers.

For prevention resources in Lancaster or Lebanon, contact Compass Mark at 717-299-2831.

 

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