Boss stealing money from organisation...

Discussion in 'Legal Issues' started by hammer, 17th Feb, 2017.

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  1. hammer

    hammer Well-Known Member

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    A friend of mine works in a childcare centre out of town and strongly suspects the boss is pocketing extra money. They've noticed the boss signing on on days off, basic repairs not happening, there always being a chronic shortage of funds, boss just bought a shiny new car that costs a years wage etc... Their suspicions are very well founded but they don't have enough evidence for a case.

    They're not sure what to do.

    The right thing to do would be to alert someone higher up in the organisation....but the consequences for being wrong (unlikely but still possible) or worse, notifying someone who is mates with the boss....are serious. Especially in the small town that is Darwin.

    I've suggested they polish the old CV and get out of there.....but maybe there is a better way?

    Some input here would be most appreciated!
     
  2. Joynz

    Joynz Well-Known Member

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    By 'boss' do you mean immediate manager, or owner of the company?

    If it is not a standalone centre, but a branch of a larger organisation, then an anonymous tip to the main organisation might work. There will be someone responsible for risk and compliance in a large organisation - if not, then someone in the accountancy area.

    I'd want to be pretty certain before making an accusation though because, if untrue, it could cause serious damage.
     
  3. Scott No Mates

    Scott No Mates Well-Known Member

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    A child care worker gets about the minimum wage, must be a pretty flash car.

    But seriously, the manager is on a salary so it doesn't matter if they work 8 hours or 12 hours they don't get any extra $.
     
  4. datto

    datto Well-Known Member

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    Any surveillance cameras around? They could help.

    Evidence is what you need.

    In a child care centre it should be pretty easy to monitor the books. There has to be a record of how many kids there are. Multiply that by the set daily rate and there's your income.

    With outgoings there should be a receipt eg phone bill, tradies invoice etc.

    Try and keep a diary record of all the work that has been charged to the centre but not carried out. The evidence could be presented anonymously further up the chain.

    However, in all honesty, I don't think there is much money to siphon out of your average child care centre. It wouldn't be my choice of business to plunder.

    Besides, how many false invoices could one lodge before they stick out like the proverbial.

    How would you explain it?: "Ah, yeah that's right we had the plumber out 46 times this month. A bad month this one with the kids thowing their huggies down the can every day."

    Lets think outside the box. It may be some kind of personality clash between the boss and your friend. Could be jealousy, envy. Could be anything. Maybe the boss is putting the hard word on the workers and it's retribution.
     
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  5. neK

    neK Well-Known Member

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    Childcares don't really take cash without receipts, mainly because parents want their rebate to reduce the cost they have to pay to childcare.

    Sounds more like a case of jealousy to me
     
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  6. Marg4000

    Marg4000 Well-Known Member

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    Most parents pay by direct debit. And as childcare attracts rebates, parents require documentation to support claims. Hard to see how money can be siphoned off.

    If the only suspicious sign is a flashy new car, maybe it has been bought using a large loan. Or an inheritance. Or saving up for years. Or a mid life crisis.

    And maybe a manager is coming in on days off to check everything is ok. Maybe a sign of responsibility. And presence is openly recorded by signing in and off. Or suspicion staff are slacking off ???

    Friend should ensure pay is correct and that super is being paid into notified fund. Make sure any maintenance requests are in writing, maybe email so there is a record.

    Suspicions seem a bit flimsy to me.
    Marg
     
  7. Perthguy

    Perthguy Well-Known Member

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    I would not dismiss the claims out of hand. In my circle of acquaintances is a primary school principal who got caught stealing from the school over a number of years. Apparently it was a lot of money too. No idea how he got away with for so long. He's lucky he didn't end up in jail.

    After hearing all about it I would never say it can't be done.
     
  8. Perthguy

    Perthguy Well-Known Member

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    It's actually ridiculously easy. Each quarter superannuation payments are transferred out of the account. Everyone assumes those funds are being transferred to the super company but no body checks. Years later it is found that super has not been paid. The funds were transferred somewhere else. There are other ways to do it too. It is way easier than you think. The only difficult thing is not getting caught. I have no advice on how to get away with it. ;)
     
  9. bob shovel

    bob shovel Well-Known Member

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    Probably one of those property investor scoundrels!
     
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  10. Marg4000

    Marg4000 Well-Known Member

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    That is exactly why I suggested friend check that their super is being paid into their fund. Quite easy to do. We always kept an eye on ours.
    Marg
     
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  11. The Falcon

    The Falcon Well-Known Member

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    Agreed 100% it's far more common than people think. For many people all they need is the opportunity...this manager doesn't have a penchant for the pokies do they?
     
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  12. Perthguy

    Perthguy Well-Known Member

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    It is disheartening to read about people who have worked hard, being told their super is being paid super but when they check the money hadn't been paid. Then the business goes broke. Super not being paid is one of the first signs
     
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  13. Marg4000

    Marg4000 Well-Known Member

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    I really cannot understand the lack of interest many people take in their superannuation. It is so easy to check your account online and see that the money, deducted from YOUR pay packet, is being passed on to your superannuation account.

    Sadly many only check once the business is in trouble, then find they have not had super paid for years.

    Check yours now.

    If not up to date (three month time lag allowed) then see your pay office on Monday.
    Marg
     
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  14. Perthguy

    Perthguy Well-Known Member

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    Thanks @Marg4000, I do check mine regularly.
     
  15. datto

    datto Well-Known Member

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    I reckon super would be handled by the "head office" along with PAYG deductions and wages.

    I don't think the boss could get his hands on the super. He could however have "ghost" employees on the books and cashing up there.
     
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  16. Lemmy a fiver

    Lemmy a fiver Well-Known Member

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    My book keeper gives me $ amounts every month to pay everyone's Super.
    It honestly only takes only a minute or two online for me to complete payment, then print them each up a monthly personal Super bank receipt of payment to their various Super accounts .
    If you treat employees fairly & be a tad flexible they will stay (I have several 15+ years now)
    Its the same with tenants.
     
  17. MTR

    MTR Well-Known Member

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  18. Gockie

    Gockie Life is good ☺️ Premium Member

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    A friend worked in a local newsagency fulltime for about 10 years and she never got paid super....
     
  19. Scott No Mates

    Scott No Mates Well-Known Member

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    ...and she didn't notice (or want to complain)?
     
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  20. Joynz

    Joynz Well-Known Member

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    Bet the ATO would like to hear about that! He has basically stolen from her.

    Did she complain to her boss? She may be able to claim retrospectively.