The sales people travelled
a lot. The sales manager signed their expenses. I was supposed the sign the manager’s
expenses. Our accountant comes in once a month to do the books. Last month he
expressed his concern to me about the rising costs of the sales force. We now
had three people plus the manager.
I began to look over their
expense claims and noticed they were staying in expensive hotels, bought very
expensive meals and drinks, and stayed overnight at places where they could
easily drive home. When I questioned the manger, he said these were all
legitimate expenses and it cost a lot to entertain customers. I suggested we
establish an expense policy. At first he resisted but then agreed. The next
month I checked and there was no real change in behavior. I told the manager he needed to act now.
The next thing I learned
through a friend was that the sales manager was seen in a hotel with a woman
who wasn’t his wife in city X. I checked his expenses because he was supposed
to be in city Y. There was a receipt from a hotel in city X but when I called
the hotel, there was no record of his stay.
I hate confrontation, but
met him the next morning. He denied everything and got really upset with me. He
got very angry but couldn’t explain the situation. I told him we were going to
audit all of the sales team’s expense for the past year. He got up, told me he
quit, and left the building.
Transparency audit theft
expense reports trust employees corruption