Given the current state of the economy, fraud and embezzlement is on the rise. Most medical practices rely on a single individual, typically a practice administrator or office manager, and do not have adequate financial controls or safeguards to protect the practice’s assets. Accordingly, these medical practices are susceptible to fraud, embezzlement, and theft.
Internal controls have always played a strong role in preventing fraud. Now more than ever, it’s important to establish procedures in your practice to mitigate your risk of loss.
LSL CPAs have been engaged numerous times to investigate the circumstances and damages resulting from employee fraud or embezzlement. These cases have cost the medical practices anywhere from several thousand to over a million dollars. Many of these frauds were perpetrated by the physician’s most trusted employee.
Don’t wait until you are a victim to take action. We have developed a two-page “Risk Assessment Checklist” that will enable us to determine many of the weaknesses you have in your practice. Once these risks are assessed by one of our Certified Fraud Examiners, we can recommend and help you incorporate procedures and/or safeguards into your practice to lessen your risk of fraud and embezzlement.
Call LSL CPAs today at 714.569.1000 for a Risk Assessment Checklist.
By Gregory N. Lewis
