Security & Risk Management Seminar

Embezzlers: Working With Liars, Cheats & Thieves

Presentation Abstract

Embezzlement is the nation’s favorite financial crime (after money laundering) -- and losses attributed to embezzlement are greater than those from all other financial crimes combined. Embezzlement is often the most complicated crime to discover -- or to investigate. Embezzlement is a "people" crime -- it's not just a document or technological crime. Embezzlement is the one financial crime that is nearly 100% preventable. Embezzlement, or defalcation, is the intentional misuse or misappropriation of funds or property entrusted to an employee -- or some other person who has power, control, trust or authority over money or property.

A company's structure -- and the manner in which various functions are designated and managed -- may contribute significantly to the development of "windows of opportunity" for embezzlers to act. Every company should examine each facet of the organization using a risk assessment device -- and then locate and "close" the company's "windows of opportunity". One of a company's best tools for both preventing and investigating embezzlement is the continuing awareness of people, and understanding the significance of the behaviors those people display. The principle of cause and effect applies to the relationship between a change in some aspect of a person’s life -- and an accompanying change in that person’s behavior. Embezzlement is a crime that involves:

l        Trust

l        Ego

l        Rationalization

l        Power

l        Greed

l        Rhythm

l        Cycles

l        Habits

l        Patterns

l        Predictors

This presentation provides a basic methodology and appropriate techniques for identifying potential -- and practicing -- embezzlers, and it's appropriate for employees at all organizational levels. Useful for pre-employment screening, audit work and for conducting internal investigations, these techniques focus upon the steps that an institution may take to prevent or identify these crimes and the offenders. Seminar participants "become" liars, cheats and thieves during this highly interactive presentation. Examples are provided for identifying both people and processes that place the institution at risk.

Presentation Topics

l        Introduction

l        The Embezzler In You

l        Occupational Fraud Statistics

l        Organizational Structure & Functions

l        Where Embezzlers Look For Opportunities

l        Identifying Offenders

l        Motives For Committing Embezzlement

l        The Embezzler's Characteristics

l        The Embezzler's Behavior

l        The Differences Between Men & Women Embezzlers

l        Summary

Presentation Objectives

This presentation is designed to help you:

l        Understand why embezzlement is really the nation's favorite financial crime

l        Show the proven links between an organization's structure and its vulnerability to loss -- and the critical areas of risk

l        Craft an alliance between the Security, Audit and Human Resources functions to work together to prevent and resolve embezzlement issues

l        Demonstrate who embezzles, how much they steal -- and why -- within your own organization

l        Learn what motivates an embezzler, where they look for opportunities -- and why this is such a rhythmic, cyclical and predictable crime

l        Chart a person's characteristics and a person's habits to identify potential and practicing embezzlers

l        Understand what women embezzlers do that is different than what men do who embezzle

Presentation Audience

l        Security Officers

l        Auditors

l        Human Resources Managers

l        Compliance Officers

Presentation Tools

l        Workbook text

Last updated on January 7, 2008