(ACFE, 2004). According a survey of global fraud cases in the ACFE 2010 Report to the Nations, 8% of fraud perpetrators had been previously punished and 10% had been previously terminated for fraudulent conduct. However, Appelbaum and Cottin (2006) note that criminal records rarely contain charges of employee theft, as victim companies often do not fully prosecute the perpetrators. Therefore, reference checking is not adequate to screen out potential perpetrators. Employee Tests Employers should…
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