Reply
Senior Contributor
Open123
Posts: 4,155
Registered: ‎02-23-2011
0

Business check question...

Not sure where to post this, but will just do so here.  

 

Going through some of our books today, and just wanted to make sure about something.  There's no way any indvididual could take one of our corporate checks and deposit it into his or a thrid party personal account, right?  Even if this person has the cooperation of a bank employee, this still wouldn't be possible, right?

Established Contributor
scenery_guy
Posts: 958
Registered: ‎07-24-2012
0

Re: Business check question...

Not sure if I follow you, I assume you mean a check made out TO the corporation? Highly unlikely. FROM the corporation yes but you would see it as a cleared item. 

Senior Contributor
Open123
Posts: 4,155
Registered: ‎02-23-2011
0

Re: Business check question...

Just wanted to make sure there was no way anyone could take check payable to "ABC Corp," and deposit into his personal accounts.

Established Contributor
scenery_guy
Posts: 958
Registered: ‎07-24-2012
0

Re: Business check question...

Never say never but it would take a very large effort by a bank (or check cashing place). You missing a payment? 

Senior Contributor
Open123
Posts: 4,155
Registered: ‎02-23-2011
0

Re: Business check question...

We were issuing K1s, and something seemed off.  

 

Nothing concrete, just a feeling from looking over numbers the past 10 years, this year's seemed a little strange.  Just wanted to make sure it isn't possible where someone couldn't send out an invoice, receive a corporate check, then cash into a personal account and delete the invoice with the help of someone from IT.

 

 

Moderator Emeritus
webhopper
Posts: 7,230
Registered: ‎09-16-2011
0

Re: Business check question...

With Fraud I would think that anything would be possible. 

 

Best way to do a double check would be to survey the clients whom you think may have been sent bogus invoices.

 

You can call and just run through invoices with them... and if they start naming invoices that aren't in your system then you would find the problem.


Starting Score: 08/29/2011 TU 671 EQ 674
Current Score: TU 754 EQ 694 EX 697
Wallet: NFCU Visa Sig 25k, Amex Lowes 22k, NavCheck 15k, Amex PRG, Amex Zync, Discover It 13.5k, Amazon Visa 5k
Platinum Spade Garden Club Member: App Free since 1/1/13. No more apps til who knows when?
MyFICO Fitness Goal: 800s Club!



Take the myFICO Fitness Challenge
New Contributor
Project17
Posts: 137
Registered: ‎11-21-2012
0

Re: Business check question...

You can't do this but if a bank allowed it they would also be in trouble.
Senior Contributor
Open123
Posts: 4,155
Registered: ‎02-23-2011
0

Re: Business check question...


Project17 wrote:
You can't do this but if a bank allowed it they would also be in trouble.

Yes, but I have to detect and come up with the proof first.  The bank would never disclose what may have happened on their own volition. 

New Contributor
Project17
Posts: 137
Registered: ‎11-21-2012
0

Re: Business check question...

Yes of course you would. Need proof... Buts its very difficult to almost impossible in most banks. The manager would have to sign off on it which wouldn't happen unless they were in on it and even at that it would get question down the line as the check was processed. The only time you can really cross personal and business accounts are for sole props and single member LLC's.
Senior Contributor
Open123
Posts: 4,155
Registered: ‎02-23-2011
0

Re: Business check question...


Project17 wrote:
Yes of course you would. Need proof... Buts its very difficult to almost impossible in most banks. The manager would have to sign off on it which wouldn't happen unless they were in on it and even at that it would get question down the line as the check was processed. The only time you can really cross personal and business accounts are for sole props and single member LLC's.

I'm inclined to agree with you on the enormity of the conspiracy necessary to perpetrate this fraud.  


myFICO is the consumer division of FICO. Since its introduction 20 years ago, the FICO® Score has become a global standard for measuring credit risk in the banking, mortgage, credit card, auto and retail industries. 90 of the top 100 largest U.S. financial institutions use the FICO Score to make consumer credit decisions.

>> About myFICO
FICO Score - The Score that matters
Click to Verify - This site chose VeriSign SSL for secure e-commerce and confidential communications.
Fair Isaac Corporation is a BBB Accredited Financial Service in San Rafael, CA
FOLLOW US Social Media Facebook Twitter Pinterest Google+