Results for - Internal Theft
Internal Theft is a term that is used when an employee steals merchandise, food, cash, or supplies while on the job. However, in the eyes of the law, internal theft is just theft…the elements of the crime are identical. To commit theft, the employee must “intend” to permanently deprive their employer of the value of the item stolen. Internal theft can occur just like shoplifting by concealing merchandise in a purse, pocket, or bag and removing it from the store. It can also occur by stealing cash, allowing others to steal merchandise, eating food, and by refund, credit card, or check fraud. Internal theft can sometimes be charged as embezzlement due to the trusted fiduciary status of the employee. All of these methods lead to loss of inventory (shrinkage) and/or profit for the merchant. Internal theft is an insidious crime because the merchant is paying a wage and benefits to the thief on top of paying for the cost of their dishonestly. Studies have shown that employees can do a lot more damage than shoplifters because they are trusted and have an insider’s knowledge of store security measures.