What to Do When it Happens to You
If you suspect someone in your office is stealing from your business—an employee or even a partner—you’ve got a difficult path ahead. But there are steps you need to take right away, says Pamela Miller, OD, FAAO, JD, who practices in Highland, California.
First, document the allegation as best you can. What you need to prove the charge depends on the circumstances, whether it is theft from petty cash or a bookkeeper—or a partner siphoning money from the practice bank account.
Second, talk to a local prosecutor and to police. Depending on how much was stolen, it may or may not be worth it to prosecute, says Dr. Miller.
Should you prosecute? If you prosecute, it’s unlikely the person (a nonviolent offender) would do jail time. And, getting your money back becomes tougher. The employee who steals often has substantial debt already. If the thief is another OD, pursuing a conviction makes it less likely they can keep practicing and pay you back.
“You can develop an ulcer,” says Dr. Miller, “or you can pack it up and move on and say, ‘I’m not going to make this mistake again.’”
Other Risks
Be careful about telling others you suspect someone of stealing because you could wind up having to defend yourself in court. “It’s not like you can stand up and call the person out, because then you risk a defamation suit,” she says. “It’s not a topic that is open for discussion in the office.” If the person isn’t convicted in court, you have to be careful about what you say if another employer asks your opinion of the person.
Plus, firing an employee can cost you revenue. Especially in a small community, the person you fire will have friends and even family among your pool of patients. “They’re not going to hear your side of the story, just what an ogre you are,” Dr. Miller says.
There’s also the chance you’ll get hit with paying a share of unemployment insurance for the ex-employee you believe stole from you. “It just rubs salt into the wound,” says Dr. Miller. “If you can’t recoup the stolen money or prove the charge, it’s probably cheaper to just pay it.”
Prevention is Best
You’re better off avoiding the hassle. Here are some basic steps to protect yourself:
- Do a criminal background and credit check on prospective employees and call their references. (Check with your state employment office, Chamber of Commerce or attorney first, and make sure you have a signed release authorizing this action.)
- Don’t turn all the financial affairs over to one person, unless it’s yourself.
- Set a good example: Don’t “borrow” from your own practice out of petty cash. Follow strict procedures, and your employees are more likely to do so too.
- Consider bonding your employees so you’re covered against theft.
- Have a policy manual that spells out how you handle dismissals.
Pamela Miller, OD, FAAO, JD, practices in Highland, California. (www.drpammiller.com) She is a graduate of the Southern California College of Optometry and the Loma Linda College of Law. She is President and CEO of the American Optometric Society.
NOTE: Dr. Miller emphasizes that this article does NOT constitute legal advice. Consult with your attorney for clarification and guidance on specific issues.
