AP employee faces 20 years in prison because of extensive fraud

March 12, 2014  |  Invoice Automation, North America

AP employee faces 20 years in prison because of extensive fraudAgain we received an important prove that e-invoicing and AP do not necessarily prevent fraud, but instead only leads to the automation of such fraud (even increasing the impact of this kind of fraud). In this instance a female AP employee has pleaded guilty to a wire fraud scheme that cost her employer $1.3 million, officials announced.

The employee was employed at Toll Global, known as TGF – from August 2010 through August 2012 – she was responsible for entering vendor transactions and invoices into the company’s accounts payable accounting system and paying those vendors by preparing checks from TGF. As a result, The employee had access to, and significant control over, TGF’s accounts payable accounting and bill payment systems.

In the false invoicing scheme, The employee identified vendors with a high number of transactions and invoices in TGF’s accounting system. She admitted she would then create and input fake transactions and invoices for them, preparing checks payable to herself.

The employee also admitted in court that she identified legitimate vendor transactions and invoices and changed vendors’ names to her name, making those checks payable to herself. She also used TGF checks to pay the credit card bill of a family member and accessed TGF’s accounting system to remove any record of the fraudulent transactions.

The employee now faces as much as 20 years in prison and a $250,000 fine. As part of her guilty plea, The employee is required to pay restitution of $1,335,698.93 to Toll Global Forwarding.


Source: http://brick.patch.com/groups/police-and-fire/p/brick-woman-pleads-guilty-in-13m-wire-fraud-scheme

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