There are certain warning signs that managers and individuals with supervisory responsibilities should be aware of.
- Marked Personality Changes in Employees
- Financial Pressures on Employees
- Employee Living Beyond His/Her Means
- Employee Having Outside Business Interests
- Poor Internal Controls
- Rising Department Expenses
- Too Much Control in Key Employees
- Lax Management
- Failure to Pre-Screen Employees
While the aforementioned traits do not guarantee that white-collar crime exists in your department, they do indicate a higher likelihood of white-collar crime. Therefore, management should be alert to the possibility of fraudulent activities. If you have reasonable concern regarding possible fraud, Internal Audit should be contacted immediately.