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(Solution) - Your father in law owns a medium sized air conditioning company

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Your father-in-law owns a medium-sized air conditioning company in Meza, Arizona. Because of the heat in Arizona, the company has done rather well and the business is continually growing. Your father-in-law has received tips from other employees that one of the technicians, Damon, is disgruntled and has been padding his paycheck through different internal frauds against the company. Your father-in-law noticed that while things seem to be running more efficiently, the company has not been more profitable and so you have been helping him for the last month run secret audits as part of the internal investigation. Through your investigation, you have discovered that Damon has stolen $50,000 over the last three years through the following methods:
1. Damon regularly uses the company gas card to fill up his personal pickup truck and his family's minivan.
2. Damon takes A/C units from inventory and sells them to people he knows at cost.
3. Damon sells auxiliary A/C parts, but pockets the money from the sale without including the sale on the invoice.
4. Damon often goes home from a job on Fridays after lunch, but claims on his weekly report that he worked until 5 p.m.
Think of how you would confront Damon; you have known him for two years and already have a working relationship. Specifically, what types of questions would you ask while you are talking with him? The evidence you have gathered in your investigation would support your decision to fire Damon; however, a written confession would help your court case if you decided to charge Damon for damages.


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This question was answered on: Jul 11, 2017

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