Executive officials who are responsible for large sums of money typically have the autonomous authority to make decisions on behalf of the organizations they represent. As such, it is important for these enterprises to have a method of safeguarding their assets in case funds are endangered – whether externally or internally.
According to the Washington Post, Monique Murdock, the former executive director of a Washington, D.C., public charter school pleaded guilty to embezzling $29,000 in funds. Additionally, she admitted to having used a government-issued purchase card to make $11,773.92 worth of purchases during her tenure as the director of the U.S. Army's Cody Child Development Center at Fort Myer.
In both instances, Murdock held positions of power that made it easy for her to commit the crimes without other members of staff noticing The Washington Examiner noted that her accounts payable fraud began in 2008 when she wrote five checks with school funds, totaling $29,000, that were deposited into her own checking account.
In order for organizations to prevent issues like the above-mentioned from occurring, decision-makers should deploy AP audits. Additionally, enterprises should consider adding a reinforced system of checks and balances to preempt any fraudulent activity.