Embezzlement is a form of white collar crime. While it comes under the same bracket as crimes like fraud and forgery, the unique characteristics of the offense are actually quite different.
Embezzlement involves deception, usually for financial gain, but it is distinct from crimes like fraud because the embezzler is in a position of trust. Knowing the unique characteristics of embezzlement can help you to address criminal charges. Outlined below are some of the more common examples of embezzlement.
Siphoning money
Siphoning money is one of the more common forms of embezzlement. This process involves someone in a position of trust, usually a manager or supervisor, taking payments but not recording them. For example, a customer may place an order and pay for the order, but the money never goes through the system. Instead, the person who took the payment takes the money for themself in the hope that it goes unnoticed.
Payroll embezzlement
Some employees have access to payroll systems. Essentially, this means dealing with wages and other payments for workers. Having access to payroll can provide an opportunity for embezzlement to occur. For example, An employee may continue processing wages for a worker who has left the company. If those wages are then paid to the person processing the payments, this is embezzlement.
A fictional or absent employee need not be utilized for payroll embezzlement. This can also be carried out via falsifying records of hours worked. For example, an employee involved in payroll may claim to have worked ten hours of overtime per week, despite not doing so.
These are just some of the more common types of embezzlement. The key theme is that accusations are usually lodged against someone in a position of trust. But accusations don’t automatically mean guilt, and innocent errors with payments can happen. If you have been charged, seeking legal guidance is an important step to take.
