Size of the problem Once you have discovered that an employee theft has taken place, you should immediately contact your insurance agent to determine your rights under any privacy or dishonesty policy you have. If you don`t have such a policy, consider talking to your agent about getting such protection for future losses. Normally, premiums are not high. When an employee steals from your company, it is regularly both a civil matter and a violation of criminal laws. Often, as an entrepreneur, you will wonder whether the offender should be prosecuted in a criminal court. Instead, you may prefer to get your money or other assets back by launching a civil lawsuit or in some other way. An employer who discovers an employee theft is not only forced to deal with the loss and betrayal, but is almost immediately confronted with issues of employee discipline, insurance reimbursement, significant tax impact, and possible lawsuits. The good news is that the decision to file a civil or criminal remedy is not limited to one situation or the other. Actions can be launched at the same time – a strategy called “parallel tracks”. In many cases, when a case is referred for criminal review, the victim simultaneously initiates civil proceedings.
If the victim has no means of recovery, reimbursement or insurance income, the arrest is simply a consequence for the individual. But as part of a plea agreement with the government accepted by the court last month, Aloese pleaded guilty to the amended charge of conspiracy to steal, a Class D crime punishable by up to 5 years in jail, a fine of up to $US 5,000 or both. Depending on the nature of the employee theft, some companies prefer private reimbursement agreements rather than prosecution, and local police often encourage. My experience is that prosecutions and the criminal justice system are better in retaliation than in restitution. A private restitution agreement can better recover the company`s losses than a criminal reimbursement order that occurs once the person has been released from prison. While the employee who stole receives, to some extent, a stroke of luck to avoid prison sentences for his criminal activities, many of my clients are more interested, as soon as that employee no longer works for them, in recovering their losses instead of retaliating against retaliation. A private restitution agreement can therefore benefit both the company and the former employee diverted from the company. If insurance coverage is insufficient or non-existent, you should consider restoring your loss through a civil action against the employee for theft or misappropriation. In cases where the theft is minor or less than the deductible, you can sue it directly before a conciliation court (minor damage) without the assistance of a lawyer.
However, if the loss is greater and you don`t have insurance to rely on, you need to weigh whether the chances of recovery win the trial costs. You should also check with a lawyer if there are any third parties who could assume some responsibility in case of loss.