Employee Fraud Uk

For example, in the UK, in November 2014, a Natwest bank manager, Glenn Mason, was jailed for 15 months. He was found to stealing £185,000 from his nine customers including an 83-year-old woman and a 92-year-old man. Ironically, he was awarded by the Metropolitan Police in 2009 for his efforts to get away with thefts. The incentive for Mason is addition to online gambling game, which is designed to attract you to put money in the hope for a big win. (Spillett,2014) He covers up his crime by stealing money by using the ID details of two of colleagues and then transfers money to his gambling account after his little son got injured by a boom in Afghanistan. As a consequence, he was jailed for 15 months and all the victims said they will no longer able to trust banks.

Employee fraud mainly refers to employees or directors stealing money from the entity bank account or stealing inventories of stock. By contract, Financial statement fraud comprises misrepresentation, misstated or deliberate omissions of financial statement data in order to create a false impression of a firm’s financial position by manipulation sales, assets, liabilities and so on. In my view, the main different of employee fraud and financial statement fraud is the motivation and purpose. The motivation and purpose for employee fraud is to benefit individual’s own interest, while the financial statement fraud aims to present a better result to deceive statements users. The other difference is methods they use. The former one is misappropriation assets by individual like theft, while the later focus on fictitious transactions. This contains more completed practices such as fictitious sales, manipulation of expenses, unsuitable disclosures. Lastly, the subject of fraud is different. Misappropriation of assets can be committed employees and directors ( Jone,2011). Fraudulent financial statements are normally committed by top managers because they are respond for the production of financial reporting.