How to Get Your Money Back After Being Embezzled

How to Get Your Money Back After Being Embezzled. Embezzlement occurs when an employee in a position of trust fraudulently assumes possession of your business's money or property. While you may press criminal charges against the culprit, you also can recoup your losses by following these steps.

Attempt to Recoup the Funds Without Going to Court

Conduct an investigation to prove fault in financial losses. Many employees would rather settle a case outside of court once you present them with the evidence of their transgressions.

Consider hiring an attorney to conduct the investigation. An attorney can ensure you don't violate the rights of the accused (thus opening yourself up to a civil suit) while making the suspect aware of the legal consequences he faces if a criminal proceeding find him or her guilty.

Attempt to work with the employee to get your money back. It may be difficult to get your money back if the employee is incarcerated or unemployed. Giving employees a chance to pay back the money on a schedule they can afford increases the likelihood of full recoupment.

Get Your Money Back in Court

To file a case in a civil court you have to officially sue the embezzler and present evidence of guilt to a judge. If the accused is found liable, the court can compel him or her to return the funds as part of a sentence.

Use a civil court to determine financial responsibility. The judge will determine the amount the convicted party must pay. Prison sentences are not penalties in civil cases.

Go to the National Center for Victims of Crime (NCVC) Web site (see Resources below) to find more information about getting your money back after a crime.

You can file both civil and criminal suits against embezzlers. If you are awarded restitution in a criminal court, you still have the right to file a civil case and be awarded additional compensation.

Warnings

  • Don't accuse someone of embezzlement unless you have very good reason to believe he or she is actually guilty. The employee has the right to file defamation charges if the claims of embezzlement are false. An investigation and civil court trial may end up costing you more in legal fees than the original amount embezzled.

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