It used to be that only the old and naive were vulnerable to scams on the internet, however, with the creativity of scammers increasing, even the most tech-savvy can fall victim if they’re not careful these days. Everything from pop ups to emails can be potential threats, but gone are the days of obvious attacks. These days scams are a lot more subtle and more believable and so it’s important to be wary of the latest and most popular scams as well as how to avoid them.
The following list is based on statistics from scamwatch.gov.au and is ordered according to how much money they have cost their victims. Here are the 5 most popular scams of 2017 so far:
Investment Schemes
Investment schemes is a broad heading to describe internet scams where the target is enticed to hand over money with false promises of making a return on their investment. The most popular investment schemes are forex trading, Ponzi schemes, and offshore investment schemes.
Forex trading is a means of buying different currencies and selling them once the exchange rate has increased. Forex trading is very risky because it is usually done by big international banks with large accounts, specially trained staff and advanced technology that can handle the complexities of the trading.. The likelihood that an individual working independently can compete with the resources of these banks is very slim, which is why Forex trading so often leads to failed investments. In addition to the stiff competition, a lot of times the companies online that promise great success in forex trading are actually fraudulent and won’t actually invest your money in anything, resulting in you losing a lot of money.
A Ponzi scheme, also known as a pyramid scheme, is disguised as an opportunity to earn money from an investment when in actuality there really isn’t any investment. What the promoters of these schemes do is they get you to invest money with promises of making a big return, however, you must invite/recruit others into the program in order to get any payoff. Eventually, though, people stop joining the group and the benefits that the first few investors used to receive begin to diminish because the ‘investment checks’ that they were receiving were actually coming from their investments and the money that their recruits added into the scheme. Due to this flawed system, Ponzi schemes always collapse when the money owed to previous investors becomes greater than the money being raised from the new ones.
Offshore investment schemes, are schemess that encourage you to transfer your money to an account in another country in order to avoid or pay fewer taxes. This is a big red flag when investing your money because if you get caught you could end up owing your government in back taxes, penalties, and interest. You should stay clear of any opportunity that lists avoiding tax paying as an advantage.
Dating and Romance Scams
Not only are our identities and money at risk, but with dating and romance scams lurking around every other web page now our emotions are also at risk as well. Many times people will make false profiles on dating sites in order to scam people out of money.
What the scammers do is play on your emotions by using the information you post on your profile in order to make it appear as if you share the same interests, then they build a relationship with you until they begin to manipulate you and trick you into giving them money.
The FBI has a great video, which explains how dating and romance scams work, which you can view below:
Where is the video?
Another form of romance scams that occur online is ‘Catfishing.’ This kind of scam usually doesn’t involve any loss of money but results in other kinds of loss such as loss of time, distress, and disappointment. A ‘catfish’ is when you’ve been speaking to someone online and they turn out to be a different person from whom they claimed to be online.
A great way spot romance scams are by performing a Google image search of the profile picture that the person is using and see if the picture come up with a different name. This is an obvious red flag that the person you are talking to isn’t who they say they are.
Up-Front Payment and Advanced Fees Fraud
Up-front payment and advanced fees fraud refers to any scam that requires you to pay a fee up front in order to receive a ‘reward’ later. ScamAlert lists reclaim scams, unexpected prize scams, travel prize scams, and rental scams as common examples of upfront payment and advanced fees fraud.
Reclaim scams happen when a scammer tells you that qualify for a rebate/reimbursement, but in order to receive it you must pay a fee This is the same thing that happens with the unexpected prize scam: You are told that you are a winner of a grand prize but that you need to pay processing fees before you can get it.
The travel prize scam, on the other hand, is when you are presented with a free or discounted trip on one condition, you must first buy ‘travel vouchers’ before you can book your holiday. The rental scam is similar to the travel prize scam, usually you are offered a discounted price on a room with a catch of having to pay a booking fee upfront. Both scams take your money without delivering the promised product or service.
The best way to protect yourself from such scams is to always be cautious of up front fees. If you are ever asked to pay up front under the guise of shipping costs, taxes, administration fees, or postage, then you should immediately become suspicious. If you truly did win something for free then most of the time such fees would have already been covered. There are cases, however when companies offer products for free and only require you to pay for shipping. Just be sure to contact the company using a number that you have found either in the phone book or by performing an online search. Never use the contact details that they provide.
Buying and Selling Scams
According to ScamWatch, buying and selling scams include classified scams, overpayment scams, online shopping scams, and false billing. A total of 4.4 million dollars has already been lost due to buying and selling scams since the start of the year, with 14.5% of cases occurring on the Internet.
With these kinds of scams, scammers pretend to be an online seller, overpay you on an item you’re selling online, and send fake bills of ‘overdue’ payments. The ones that pose as a seller is simply copying the details of an already existing legitimate ad, including the pictures of the product. In order to lure you in, they will advertise the product at a much lower price than the competitors. Unfortunately, however, they often make up a story about being overseas and needing to use an agent to send you the item once you pay for it. As soon as you send the payment,they will flee with your money, leaving you with a fake receipt of payment via email.
To avoid selling scams it is advised that you only buy from reputable sites online, and if buying from eBay you should always check the reviews of the seller before making a purchase.
How the overpayment scam works is a scammer will send you more money than you’re asking for on something you’re selling online and then ask for a ‘refund,’ claiming that they sent the extra money to cover extra shipping costs or some excuse. The catch to this scam is that you are asked to ‘refund’ the money by sending a wire transfer, using a prepaid card or an online bank transfer and after you send the money their check bounces.
To avoid overpayment scams be sure to wait on the person’s check to clear before you return any money to them.
The final kind of scam in this category is the false billing scam. This occurs when a scammer sends you or your company a bill/invoice for an advertising listing, domain renewal or directory listing. Often times these claims are false and the scammers put emphasis on paying the amount due as quickly as possible. Sometimes they even threaten ‘legal’ action if you don’t pay the invoice in a timely manner. The best thing to do in a situation like this is to check with your employer to confirm that the invoice is actually real, or to speak to a lawyer about the validity of the invoice.
Inheritance Scams
An inheritance scam begins when you are contacted by someone posing as a lawyer or banker claiming that an unrelated wealthy person with your last name has died leaving a large fortune and no will behind. The fake lawyer/banker will then tell you that you can claim the money left behind because of a legal loophole due to you both having the same last name.
Often times these wealthy persons live in another country and because of this, once again, you will have to pay processing fees in order for the bank to release the funds to you. However, the inheritance scam can be very convincing because the scammers go as far as to provide fake birth certificates and bank statements. Often times, they push the scam further by asking you to provide a copy of your birth certificate as well as your bank account details. (That being said, it is important to never provide a copy of your identification or bank account details to someone you don’t know, especially over email.)
A few things to look out for to spot an inheritance scam is that these cases of receiving money from unknown people who share a last name are never real. Not only that, but there are often spelling/grammatical errors in the documents they send you, they often ask for processing fees in order to receive the money, or they ask for your bank account details. If at anytime you suspect a scam you should always report it to the FTC. According to ScamWatch, there were 199 reports of inheritance scams in June alone .
Honorable Mentions
There are a few scams that didn’t make it to the top 5 because they haven’t resulted in as much monetary loss as the ones listed above, but there are still popular scams out there that are worth mentioning.
Lottery Scam
The lottery scam comes in the form of an email congratulating you for winning a large sum of money. The only catch is that in order to receive the money you must first send thousands of dollars to pay for the ‘processing fees.’ Often times what happens is that persons become so distracted by the thought of ‘winning’ that much money that they tend to forgot they didn’t enter a raffle or buy a ticket to begin with.
One of the basic rules to bear in mind when looking into opportunities online, is that if something is too good to be true, it probably is.
Make Money Online Scam
There are many false online money making opportunities out there. Always insist on payment for work you do for someone immediately, do not agree to wait for months at a time before receiving payment. That way you will not waste a lot of your time working for someone who is not going to end up paying you.
Disaster Relief Scam
Scammers take advantage of tragic events that leave people devastated. In most cases these people have suffered major loss; this could be the death of loved ones or the loss of property. Scammers know that there are many charities set up to provide disaster relief for these victims. The scammers set up phony charity websites to prey on people who wish to help the victims of these various disasters. At first glance these websites may seem legitimate, but the majority of real charities do not ask for donations online, much less prod you to provide your credit card and/or bank information.
The fact that the charity is online is a big indication that it is not an authentic charity. If you’re really convinced that the website is an actual charity, though, then you can double check by trying to contact them over the phone and speaking to one of their agents or representatives over the phone. As an extra safety measure, when donating anything to charity, it’s always best to visit the office of the organization in person.
Conclusion
There are several scams out there on the Internet. The best way to stay safe is to be careful and be cautious of anything suspicious. If you’d like to learn more about avoiding scams then we suggest you check out this list of 10 things you can do to avoid fraud by the Federal Trade Commission (FTC)
Also, if you’ve spotted a scam or have been scammed be sure to report it to the FTC as you wouldn’t like others to suffer the same fate you have.
Oftentimes Private Investigators are thought of as serving mainly the private sector. They are who you would call when you have a missing persons case, a case of infidelity or a private issue that you need resolved. In reality, this is a misconception based on common stereotypes. Private Investigators frequently serve the professional sector, and there are many careers where you may find yourself one day needing the help of a private eye. In this blog post we outline the 7 main professions that use Private Investigators, and what they typically rely on them for.
Doctor’s office- Doctor’s offices and hospitals rely on private investigators to research cases of potential abuse for their patients, background checks for employees and most importantly, malpractice lawsuits against the doctors, nurses, or technical professionals on their team. Private investigators often also research malpractice cases for patients who were the victim of malpractice. This can go both ways; however, oftentimes it is the doctor’s office that relies on the private investigation firm to help protect them from unfair accusations.
Attorneys- Attorneys often use private investigators to help them build a case against opposing counsel. Private investigators help them to collect evidence, conduct background checks on the opposing counsel, check their facts, disprove allegations they may be making against a client and generally dig up information surrounding the case. Private investigators also help clients and attorneys understand the laws surrounding common issues arising in court, such as a spouse’s right to surveillance family computers or a business owners right to spy on its employees. As lawyers commonly need to have a comprehensive idea of legal restrictions, and often are caught in cases of mistrust, betrayal, and suspicion; they are one of the private investigation industry’s most common clients.
Business owners- Business owners need to hire private investigators for various activities, which also makes them one of the private investigation industry’s most popular clients. As expected, P.I.’s often are hired simply to conduct background checks on employees, but more importantly, they are known to investigate suspicious activity in the workplace and investigate possible identity theft, monetary theft or fraud within the company or between competing companies. Private investigators can also help to regulate accounting irregularities or help handle publicity concerns for businesses. No matter the issue, business owners can rely on private investigators for confidential, fast investigations into sensitive issues.6
Human Resources Departments- Human resource representatives are another common client of private investigators because of their concern for employees. HR reps mainly use private investigators for background checks, but they also commonly use them for investigation into employee misconduct, such as fraud, employee theft and sexual harassment. Private investigators also commonly help human resource representatives look into fraudulent insurance claim investigations, mainly when employees abuse the disability insurance offered by the company. There are multiple issues where HR departments hire private investigators to look into their employees and regulate disputes, often in the attempt to avoid legal action.
Accountants- Accountants are focused on tracking numbers and answering financial questions, which is why their line of work often intersects with private investigators. Accountants have been known to use private investigators to help investigate bookkeeping issues like missing funds, fudged numbers or fraudulent checks.
IRS representatives- The IRS also sometimes needs to enlist the help of private investigators when researching tax fraud. Tax fraud can be a complex and complicated web that is difficult to untangle without the technology and knowledge that a industry specific private investigator can offer.
These professions comprise the issues of the majority of private investigation work. If you are someone in one of these positions and dealing with an issue listed above, don’t hesitate to get in touch with us here.
The Private Investigation Business often deals with cases related to improper handling of company money, whether it be from a partner, a spouse, or an employee. Most of the time, these issues could have been caught sooner if the person in charge had incorporated a few easy checks into his or her financial routine. This blog post spells out three easy money managing tips that will help any manager or owner keep a better handle on company finances and catch any suspicious activity.
Change up the roles- This is one of the most important things you can do when trying to protect your money. Cases of theft, fraud, and deceit occur when people get too comfortable in their position. Switching up the roles of who 1) records transactions 2) physically handles the money 3) balances the books 4) approves expenditures is a great way to keep everyone on their toes and naturally provide employee checks. In the case of employee theft, In over ¼ of all employee theft cases, it is a tip off from a fellow employee that eventually catches the perpetrator. This is all the more reason to have your employees checking each other’s work, and it will simultaneously prevent anyone from “counting on” having a certain responsibility or getting too comfortable in a certain role. That being said, make sure that switching the roles does not get messy. Keep track of who is in charge of what at every moment, and never let there be a question as to who was the last one to touch the money, balance the books, etc.
Save receipts- Saving receipts is another necessary habit for absolutely every business. Receipts can feel outdated nowadays and it can be hard and tedious to try and physically hold on to paper receipts or take the time to download and print online ones. However, when it comes time to provide monthly expense reports, there should be no reason why every single employee/client expense should not be properly documented. Abuse of a company credit card is one of the main ways that employees play the system, and saving receipts helps prevent this. Not only that, but it will help the accountant keep a clear record of purchases and will help the company in the case of a tax audit. Saving receipts is always a good idea, and again, the fact that an employee knows he or she needs to record and save the receipt of every purchase will make them far more careful about spending company money.
Outsource- An easy way to avoid untrustworthy employees is by outsourcing some of your needs. For example, by outsourcing your accountant, you are able to get an objective person balancing your books every month who your other employees don’t even know and will have limited contact with. This outsourced accountant won’t be spending company money and will have zero interest in fudging numbers. Similarly, outsourcing security can be a great way to keep a level of professionalism in the workplace by keeping the security separate and objective from the rest of the office. Lastly, outsourcing an investigator is a way to get an objective voice and expert opinion in the event that you do suspect something is going wrong with your company’s money. Essentially, outsourcing allows you to save money, keep some distance between important roles and the rest of the company, and offer an objective opinion and expertise when it comes to money issues.
Be your company’s final calculator- At the end of the day, you are not going to be able to truly be at peace of mind with your company’s financial situation unless you are the end of the line for all financial concerns. Delegating and trusting your employees is necessary in order to be successful, but you should strategically plan check-ins every week and quarter to stay on top of your company’s finances, double check work, and feel out your employees and their attitudes. Being involved is the best way to keep your employees loyalty and maintain your own peace of mind. Remember, nobody, not even your business partner or long time friend, should be completely trusted with any one task exclusively. If people know that you’ll be asking questions, they will be far less likely to do something questionable.
Change passwords frequently- Perhaps the most simple advice on this list, and yet it is possibly the most important. We are living in a time where we are constantly vulnerable for theft, whether it be from those we know in our office, or identity thieves online. Changing your passwords often, making them difficult to crack, and not keeping them all recorded in one place is an important way to protect yourself from those looking for access. This is not just true with personal passwords but with any company wide access codes, lockboxes, or computers.
You can never 100% protect yourself from the unexpected. However being prepared and not putting anyone at your company in the position to be tempted to act unfairly is one of the best ways to protect against unwanted trouble.
When your team or yourself have the feeling that someone is not being honest with you it can be unsettling. Corporate theft is a serious issue, costing American companies billions of dollars every year. About a third of a time, these cases of theft are from high level managers. No matter the details of the situation, it is stressful and confusing.
You don’t want to wrongly accuse them, but you also want to get down to the bottom of the situation as soon as possible. If you are in a professional setting, there are also policies and laws to consider before you can take any action. No matter what the situation, the most important thing is to sort out the truth without doing any permanent damage.
So what should somebody do if they think they are being lied to? Here are five tips from the perspective of a private investigator.
Gather the facts- It’s a lot harder for someone to lie to you if you are well informed of the facts. In the case of possible employee theft, go over your books immediately. If you suspect your spouse is cheating on you, go over the credit card transactions for days you suspect he or she was lying to you. Further, if you suspect a new employee might be lying about their past experience, invest in a thorough background check that you can obtain police reports, court documents, protective orders, bankruptcies or other debt. In the investigations stages, knowledge is power, and if you don’t have all the information, you will not be able to hone in on misdeed or specific mistruths. (Of course, do not tell the person in question that you are gathering this information.)
Look for hints- It’s a myth that you can detect a lie by the direction in which the person looks when asked a question, or by how they hold their arms, or any of those easy options. However, it’s completely true that analyzing someone’s behavior and body language can reveal when they are uncomfortable or stressed. Try sprinkling information into normal conversations to see if you can see a reaction in your suspect. For example, if you have a hunch that your friend is stealing your prescription drugs, try mentioning the drugs in a story when she is not looking at you and see if she pauses, looks up, or hesitates. While this is not a 100% effective strategy for discovering a lie, it can help you find something revealing.
Learn the policies- As mentioned above, if the potential lie is taking place in a professional environment, it is important to get familiar with the laws and policies surrounding investigating, firing, and pressing charges against an employee. Whether the employee is a superior or entry level, you need to make sure that his or her rights and privacy are respected, otherwise you may end up with bigger problems. Similarly, if you suspect lying taking place in your private life, you need to make sure you don’t cross any boundaries of privacy. Logging onto someone’s social media or reading their private messages can be considered trespassing in some instances.
Call an Investigator- No matter how thorough and careful you are during your investigation, if the situation is of serious importance, it’s always better to hire an outside professional to help you understand the situation. Though it might seem like a big step to hire a private investigator, it can save you a lot of stress and worry by getting you reliable answers quickly. With issues such as theft or fraud where you risk losing money, the investment in a P.I. (which usually ends up somewhere around $2,500) will seem like nothing compared to the money you save by presenting a solid case of evidence in court. Sometimes in personal situations, people have a hard time deciding to call a private investigator because they feel like it is putting the nail in the coffin of a relationship. But this does not have to be the case. Private investigators are experts at being discreet and if they don’t find anything, your partner may not even ever find out that you hired an investigator. Private investigators are not for everyone and not applicable to every situation, but it’s important to know your options if you are in trouble.
Wait to confront- Whether you just suspect someone is lying to you or you have officially confirmed it, it’s best to wait to confront the person until you have spoken to professionals (police, detective, lawyer) and have a solid plan of action in place. Confrontations can be difficult, dangerous, and emotional, so it is best to make absolutely sure that you know what you want to do next (Fire them? Get a divorce? Press charges?) before the confrontation occurs. If you can, let the professionals support you during the confrontation process so that you have an objective third party present.
If you suspect someone is lying to you, you may be right, but always keep in mind that you may be wrong as well. Never jump to conclusions, it could lead you to betraying the trust of someone you care about. Instead, take the time to smartly and respectfully gather more information and get the right help.
Whether you’re going on a blind date, meeting someone from Craigslist, planning a camping trip, or simply staying out late, it’s important to have a failsafe in case something goes awry. With the violent crime rate on a rise, it’s never a bad idea to have a backup plan when you’re alone or going into uncharted territory, as the situation may call for you to notify the authorities without being noticed. Luckily, technology has got you covered, and there are now several different mobile apps available, both free and paid, that can assist you in this area. Here are just a few great mobile apps that you can use to contact 911 discretely if you ever find yourself in danger. However, you must ensure that the “text-to-911”option is available in your area before downloading any of these apps.
SafeTrek
The SafeTrek app works by automatically sending police to your exact location through 2 easy steps. If you sense danger or feel scared and you need assistance from your local police you simply open the app and hold down your thumb on the ‘safe button.’ Once you release the button, the police will be contacted within 10 seconds with your location, name, and emergency. However, if you feel the danger has passed and you are safe, you should enter your secret 4-digit pin to prevent the app from calling the police.
According to their website, SafeTrek can determine your location with an accuracy of up to 5 meters away within 5 seconds, compared to a 911 call which can take over 6 minutes, and only gives a location accuracy of 50 – 300 meters.
SafeTrek works all across the United States and can be found on the App Store and Google Play Store. The pricing for the app starts at $2.99 per month, but SafeTrek offers a free trial of 30 days, which you can use to test out the app to find out if it’s for you.
SirenGPS
SirenGPS acts as a panic button to contact your local police, fire department, or hospital when you need help. Since the app works almost everywhere in the world, you can use it while you’re on vacation or on a business trip. The app has the ability to create a profile detailing vital information such as your address, emergency contact numbers, allergies, medical condition, and more. The only downside to this feature is that your community needs to be subscribed to Siren 911 in order for your profile and location to be sent, but the panic button is always available.
When traveling the app will automatically detect a change in the country you are in and update the emergency numbers accordingly. It is possible to manually change the location and numbers, but SirenGPS expresses caution when using this feature. They also warn that the continued use of GPS running in the background can decrease the life of your phone battery dramatically. Customers have complained about the drainage of their batteries due to the constant GPS monitoring.
The SirenGPS app is available on both iOS and Android.
React Mobile
The React Mobile app works alongside with the React Sidekick, which is a Bluetooth panic button. When you pair the React Sidekick with your mobile phone, you can quickly send out a widespread emergency alert to either your most trusted contacts or local authorities with just the click of a button and without having access to or unlocking your phone. As long as your phone is within a range of 100ft to your Sidekick, it will work.
The app itself comes with a variety of features including automatic 911 dialing support, worldwide emergency support, location share with friends through the “Follow-Me” Real-Time Tracking function, emergency alerts via text message and email, and even the ability to post emergency alerts to Facebook and Twitter.
The “Follow-Me” feature can be used when you want to alert specific contacts that you will be going somewhere that might be dangerous. Once you activate this mode on the app an email and text message is sent to your selected contacts with a link to a website where they can track your location in real-time. The message can also include your destination, the type of business you’re on, and how long you’re expected to be at the location. If something happens to you while you’re in the “Follow-Me” mode you can switch to the “Help Me” mode in order to contact authorities. However, once you feel that you are safe, simply switch your mode to “I’m Fine” and your contacts will be notified.
The React Mobile app is available for both iOS and Android.
OnWatchOnCampus
This final app is mainly catered to College and University students, as it provides an option to contact campus police. The idea came about in response to a challenge held by the Obama Administration called Apps Against Abuse. The initiative was led by Vice President Joe Biden in an attempt to capture the attention of software developers in order to address the high number of sexual violence and abuse of college-aged young women, which, according to OnWatchOnCampus, has a statistic of 1 in 5. Jill Campbell took on this challenge and, with the help of her team, created the app.
The app works by sending out a “Watch” to campus police, which is a message that you configure beforehand. It can also be used to contact the local authorities, as well as any predetermined emergency contact/s you set in place by sending them a text, an email, or even a Facebook message. It is available for both iOS and Android and comes with a 30-day free trial, after which, you can subscribe for the full features for either $9.99 per year or 99 cents per month.
Red Panic Button
The Red Panic Button App allows you to instantly inform your family and friends if you’re in distress by sending them a message with your location. Recently, the app has also added the feature to include an Emergency Number that can be called by pressing the red button. The app is designed for personal security, your loved one’s security, the security of transporters and varying professionals, and lastly, the security of the elderly and disabled.
Some key features of the Red Panic Button mobile app are integration with Twitter, voice note emailing, and the customization of your alert text. Whether you’re using an iPhone or an Android you can easily access the Red Panic Button.
Honorable Mention – ICE Standard
Although ICE Standard doesn’t contact the police for you when you’re in danger, it’s still an app that’s worth looking into. ICE Standard prides itself on being the worlds #1 emergency response toolkit. What it does is provides first responders with a detailed medical profile of you on the lock screen of your smartphone.
Using color codes, critical information about your medical condition can be easily conveyed to whoever is providing first-aid care to you. ICE Standard categorizes information by placing high-risk information in red, telling EMT’s of any severe allergies or health conditions, information in yellow is about any medication you are on, and green means “good-to-go.”
The ICE Standard app is catered for disasters, travelers, parents, and accidents. The app has been recommended by over 14,000 Hospitals, Medical Clinics and Medical Schools in the United States. It has also been featured on The Today Show and in the Costco Connections Magazine. The app is available on both the App Store and Google Play Store.
Conclusion
Apps like these become useful in tough emergency situations when you are unsure of the location you are in, you are in a panic, or are physically unable to speak to a first responder. Please note, however, that whenever possible, your first response should be to contact the authorities directly because an app can malfunction. Never rely solely on mobile apps for help, but also use other means of safeguarding yourself in emergency situations.
If you have questions about any of the aforementioned apps above be sure to follow the links to the manufacturer’s websites for more information. Are there any apps that you would have liked to see on the list? Let us know in the comments below.
When you suspect, or have already confirmed, that an employee is abusing your company with their misconduct, it can be hard to figure out what to do next. When situations of employee misconduct occur, they often fall on the shoulders of the company’s CFO and HR department. As the CFO scrambles to handle the devastating loss of product and revenue, the HR department needs to investigate the case, come to a conclusion, and carry out the appropriate action. Often times these already sensitive issues are compounded by the fact that the employee in question has personal relationships with everyone in the company, and the HR officers and CFO can be affected by the emotional implications of betrayal, suspicion, confusion, and anger.
As the CFO and HR department work together to recover the losses of a case of employee theft, it is common to invest in the help of private investigators and police officers. However, finding and employing help can in itself be an overwhelming endeavor when someone is inexperienced in these issues. This blog post is intended to help those dealing with a case of employee misconduct navigate when and how to hire outside help, and how to handle the process.
Hiring the right investigator – The first thing that a department official should consider when looking to hire a private investigator is that different investigators have different domain specialities.
Many P.I.’s focus primarily on personal investigative issues such as
missing persons
cases of suspected infidelity,
Divorce/custody cases
Theft from a friend or family member
However, there are specific P.I.’s who specialize in corporate P.I. cases. These corporate cases can be anything from helping attorneys with legal investigations to investigating cases of employee fraud.
Investigators are further divided by firm type. There are a growing number of national investigation firms that farm out cases to local branches. There are also the more traditional local private investigation offices that target specific demographics and specialize in regional issues. Finding the right investigator will require researching the different options available in your area and making sure you find an investigator that serves your industry and personal needs.
Investigating the case- After hiring a private investigator, the best thing to do is to pass over the investigation to him or her. This is because looking into the history of an employee while respecting his or her rights can be a difficult maze to navigate. Private investigators are well versed on the best practices of investigation and the laws surrounding the practice, so they will be better at walking the fine lines of legality while still conducting a thorough research. Even more importantly, private investigators are personally detached from the case, and therefore will be able to research and investigate without the feelings of betrayal, frustration and hurt that often arise in these situations. It may sound like a minor detail, but passing over the case to someone with some perspective and objectivity often leads to more peaceful resolutions and better results.
Handling personnel- While investigating an employee, confidentiality and proper handling of the rest of your employees as well as the employee in question is of the utmost importance. Remember these few tips:
For no reason should anyone be brought into the case unless it is absolutely necessary, and all operations in the office should continue as they normally would.
In general, the HR department and CFO should work hard to ensure that it is business as usual as much as possible.
When cases such as these arise, it is difficult and unsettling for every employee in the company, not just those directly involved. Maintaining stability and a sense of trust is extremely important when going through an employee investigation, and a private investigator can help you maintain this stability.
Making up for losses- It can be frustrating and anxiety inducing when a case of employee theft has left the company in a loss. It is important for the CFO of the company to remain calm, focused, and determined when this occurs. A CFO must assume that even if the employee is brought to court and found guilty, they will almost definitely not receive full compensation for damages. This means that it is the job of the CFO to get creative and craft a plan for recuping losses without putting unnecessary pressures on the other employees. Reducing cost wherever possible can be an option, but in the long run, it can be better to absorb the loss and work to slowly and consistently increase revenue over time. Patience, strategy, and initiative are key in these moments, and the right private investigator can help you with some best practices for mitigating damages.
Doing better next time- Cases of employee theft are never the fault of the employer, however there are always things you can do to protect yourself from this happening again. If you do not already do so, make sure to conduct thorough background checks of all potential hires and implement proper surveillance technology on your company premises. The added security is always worth it to ensure that you are at peace with your company and employees.
Finding out that an employee has taken advantage of your company is never easy. But hiring the right help and staying calm in the moment can make a world of difference.
