Employee fraud: SKS Microfinance staff embezzle Rs 15.8 crore
This kind of fraud cannot happen without connivance from senior management team. Where cash is handled, it is normal for any sensible business to take a personal enforceable Bond or third party Guarantees from employees. What kind of NBFC/ Micro Finance is that, which doesn't allow space for such basic due diligence and allows businesses to continue to defraud the investors? Of course, the change of top management now is clear what was the motives earlier. And auditor were sleeping all these years on adequacy of internal control measures commensurating with the size of the business. Appalling.
This kind of fraud cannot happen without connivance from senior management team. Where cash is handled, it is normal for any sensible business to take a personal enforceable Bond or third party Guarantees from employees. What kind of NBFC/ Micro Finance is that, which doesn't allow space for such basic due diligence and allows businesses to continue to defraud the investors? Of course, the change of top management now is clear what was the motives earlier. And auditor were sleeping all these years on adequacy of internal control measures commensurating with the size of the business. Appalling.
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