Company calls for accounts payable audit, discovers embezzlement

Accounts payable audits are among the most useful tools in a business' arsenal. Conducting an investigation into spending patterns can save organizations time, money and stress by helping solve financial problems before they become too severe. One Westhampton, Massachusetts, sealing device company discovered more than $200,000 missing thanks to such an investigation.

Lori Towne formerly served as the bookkeeper for SealRyt Corp., and an AP audit revealed that she may have embezzled funds from her employer. The Republican reported the probe revealed Towne wrote herself numerous unauthorized checks between 2002 and 2009 and used the money to make payments on various personal bills. While she was released from jail on her own recognizance, she was barred from seeking employment that involves financial management duties.

According to the news source, she recently pleaded not guilty. The Daily Hampshire Gazette noted that Towne faces six counts each of larceny over $250, forgery and uttering false checks, as well as one count of embezzlement by broker.

Accounts payable audits often play a key role in stopping fraud within companies. Whether a business is using low- or high-tech accounting solutions, it is essential not to disregard discrepancies. In SealRyt's case,  employing audit solutions periodically to double check numbers may have helped experts detect their monetary problems sooner.

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