Embezzlement in The Security Suite

You might think I’m writing about the investigation function of the security department. No, this time I’m referring to fraud perpetrated by the watchdog. What happens when the person responsible for guarding company assets goes rogue? It is indeed a rare occurrence. In my 10-year career I’m only aware of two such cases. In one case the Asian security division of a major financial concern colluded with its contracted security guard firm to bilk millions of dollars in the form of kick-backs over several years. Another case concerned a senior security executive who embezzled money from the firm through a cunningly constructed fraudulent disbursement scheme; creating false vendor accounts (International consultants) and submitting false invoices payable to a fictitious third-party.

The article below highlights the dangers of asset misappropriation committed by apparent trusted internal senior executives:

Read More: CIO Gets Six Years for Embezzlement Scheme IDG News Service (12/14/10) McMillan, Robert