Internal Fraud


What are the warning signs that internal fraud or theft might be occurring at my store?  Every year, statistics are compiled about internal fraud and theft that happens in U.S. retail stores—and those statistics are startling:

  • Only 30 percent of all retail theft is committed by customers; 70 percent is committed by employees
  • Four out of every five thefts are commited by males
  • The fraud is usually committed by a college-educated, married person, not the clerk at the front counter
  • Worst of all, the person commiting the fraud is usually a long-time, trusted employee in a position of authority—not the high school kid working part-time in the shipping and receiving area.

Internal fraud is a $600+ billion domestic problem that grows every year.  Fraud and theft activities do not usually stay small; if an employee can get away with it once, they’ll try again for a bigger dollar amount until they’re caught.  

How does this happen? Are there warning signs that internal fraud might be occurring in your store?  

Watch this video to learn what to look for to help minimize the chance of internal fraud at your store.