What possible check fraud schemes might the company be a victim of?
Given the store’s procedures for processing cash receipts, which persons in the store are in a position to participate in a check fraud scheme?
John Markov runs a family-owned department store in St. Louis. The store consists of nine different departments, each with its own department manager. Store hours are Monday through Saturday from 10:00 a.m. to 7:00 p.m., and from noon until 5:00 p.m. on Sunday.
Each department has its own cash register, and two salespersons are assigned to each register. To prevent any confusion, each salesperson must enter his/her secret code with each transaction. At the end of each day, the sales manager in each department tallies the department’s register, collects the money (cash and checks) from the register, and prepares a transmittal slip for the general manager to review and sign. The general manager then double-checks the cash count before signing the transmittal slips.