theft of cash by member of staff

[hairytaleofnewyork]

Basically, a member of staff has admitted stealing a couple of hundred pounds several months ago. When asked about the anomole we found in cash banked, the member of staff said they had 'borrowed' it with every intention to pay it back (7 months and 7 pay days have gone by since then) but had not yet paid it back.

We intend to dismiss for gross misconduct and are following the correct disciplinary process.

My question is - should we also report this to the police?

This happened at a place I worked. It was many thousands of pounds that were 'borrowed'.

The person paid the money back, was asked to leave and the police were not involved. Many firms I know would take the same approach when fraud is detected. Better to get the money back and remove the employee. Far less costly and disruptive.

Not sure if that is wrong or right but it is the way most firms deal with this issue - partly to avoid publicity in going to court.

You can dismiss without the police, as an employer he doesn't have to have been charged/found guilty for you to sack him.

Whether you report it or not is up to you. Reputational risk can be a bigger concern in lots of cases.

Hmmm. Tricky. What's your company policy on this? Do you have a policy to report theft to the police (for either employees or customers)? Do you have a regulatory duty to report to the police (eg bank workers and I think solicitors too??).

Has the money been paid back yet? Are there any mitigating circumstances?

I probably would go to the police. Who knows what else they've been up to? There might be more going on than you know about.

And I would dismiss for theft.

If there is a possibility that the dismissal or information gathered at disciplinary investigation may lead to this person being unable to work in their profession again you may need to get specific advice about whether they should be able to access legal representation even during internal disciplinary processes. It's very unlikely unless "legal representation may be required in the limited cases where the disciplinary process exerts a "profound" influence on the decision-making process in the subsequent proceedings. The Supreme Court stopped short of providing examples where this would be the case." from here: www.xperthr.co.uk/article/109700/supreme-court--no-entitlement-to-legal-representation-at-disciplinary-hearing-for-teaching-assistant.aspx

Thanks everyone.

It is the specific issue if the police I need advice on (as it is gross misconduct this person will be dismissed - there are no circumstances at all in which a person who has stolen cash could be kept on handling cash for a charity).

We are fully investigating to work out whether it's a one time occurrence.

We have had a full and frank admission from the theif.
"mitigating circumstances" simply don't come in to it. I just don't buy that a person who has fallen on hard times can ever find justification for stealing from their employer no matter how hard life is. While it could be seen as "out of character", It is either in your character or it isn't.

This person could have asked for a sub and paid it back at £20 a month!

Our policy states we "may" inform the police where an offense has been committed.

On the one hand I feel like we should report it - what's to say this oerson wouldn't do it again - we would then have that on our conscience.

A caution would show up on any future enhanced crb check.

On the other hand this person would never be able to get a job doing finance in a charity again.

By the way, I've dealt with this in another place - we did report to the police on that one as the perpetrator had burgled and raided the petty cash tin and was working with vulnerable adults, and it was their daily lunch money that the person stole.

The current situation was more opportunist and was theft of sales cash.

Well if this person had a medical condition like a brain tumour or other condition that caused out of character behaviour or uncontrollable impulses that could be mitigating circumstances. Extremely unlikely but possible.

But i digress. The last line of your penultimate post answers it for me. This person should not be working in finance and so yes it you asked me for my advice I would say report it to the police. You are not responsible for this person's behaviour.

I used to work in banking so dealing with theft was not uncommon. Sadly.

If it's a charity then really you have to call the Police. It's not your money, and to not do so would set a dangerous precedent.

Thanks. That's my gut feeling too. The trustees will be informed also.

Yes I agree. Have dealt with this several times, sometimes involving police sometimes not, but the words 'finance' and 'charity' mean you have to I think.

Thanks flowery

I have worked in HR for 20 years and have done both, in the first one we followed procedures, got the money paid back and dismissed them for breach of trust and fraud - since they lied about stealing it.

second time was with a real nutjob! the police were called in because the Director thought it was the right thing to do. the police took over and investigated. we couldnt even move until thier procedures were conculded.... which took FOREVER. they couldnt prove that this person had stolen the money and therefore couldnt prosecute. Director wouldnt pursue it an the nutjob remained in a job. However other key staff left becuase of it.

Employment law doesnt have to prove as a court of law does. therefore easier to progress without law enforcement, but if the money isnt ultimately paid back its still theft and can be reported to police after the dismissal.

I was about to add if this was a public sector job then your head of fraud and security would probably alert the police anyway for that amount.

Difficult situation to deal with :(

I agree that you should inform the police. A couple of points to consider:

1. It's unclear if you have been the investigating manager, if so, ensure the disciplinary manager is someone completely different and has not been involved in the investigation so far. Whilst I appreciate the severity and likelihood of dismissal, you shouldn't pre-empt the decision (he could accuse you of this later down the line). An impartial mgr will ensure no bias on paper

2. complete your internal process prior to contacting police. Like an earlier post said (sorry on phone and can't see the post now I'm typing so dont know name) once police are involved, it can take forever and employee could be arrested/bailed and prolong the disciplinary and appeal stages.

3. ensure the invite to disc letter list the allegation 'breach of trust and confidence'. when if you proceed with dismissal, you can sum up the evidence and that u have listened to his mitigation but his actions have breached the trust you have placed in him as an employee, and that this is irreparable.

Hope this helps

We are following our disciplinary procedure to the letter. There was no investigation - we discovered money was missing as part of monitoring, this member of staff was the person who signed for and banked the money, the paperwork showed that approx £200 less than they signed for was banked by them.

So her line manager raised it as an "anomole" in supervision, with a witness present, the person admitted "borrowing" it and not paying it back.

A hearing is being conducted on Monday at which the paperwork and the note of their admission will be shown as evidence, unless the person now denies it she will be dismissed for gross misconduct ie: theft. Theft is listed in our policy as a cause for instant dismissal.

My real dilemma is whether after the disciplinary process is complete we should inform the police, in order to ensure we are not enabling in her obtaining another post and stealing from another organisation.

But I think we have to.

I think you have to morally. I find it situations like this it's helpful to remember this person acted of her own free will and chose to steal knowing the consequences. The only person responsible for her predicament is her.