People entrusted with money and assets from a business are expected to use those for the good of the company. It’s never expected that they’ll skim off the business for their personal gain. When a person misappropriates funds or assets that they’ve been entrusted with, they can be charged with embezzlement.
There are several points that anyone who’s facing accusations of embezzlement should know, especially if they’re facing a criminal charge. These points may help them to determine how to set their defense strategy.
How does embezzlement occur?
There are many ways that a person can embezzle from a company. Some schemes are more sophisticated than others. Often, they involve creating new financial accounts to funnel the money into as it’s taken from the company’s accounts. A few of the common methods of embezzlement include:
- Reimbursement schemes
- Payroll fraud
- Payments to fake vendor accounts
In some cases, embezzlement starts small so it isn’t noticed quickly. It may not be uncovered until there’s an audit or someone notices that there’s something amiss with accounts or assets. At that point, the company may contact a private firm to handle the investigation, but they may also turn to the police department.
These cases are often complex and can have a lengthy paper trail. The defense strategy often hinges on the evaluation of the evidence that’s present in the case. It may behoove these defendants to work with someone who can assist them with that evaluation, as well as the creation of the defense strategy. This is best done early in the case so all options can be carefully considered.
