In the early 1950’s, Aunt Jane was head of the loan department in a large bank in Charlotte, NC. When a customer came into the bank to pay the quarterly interest on a demand loan, they usually paid in cash. Aunt Jane would pull the loan paperwork and write the date and amount paid on the reverse side. She would then put the money
in the bank’s money drawer. “Cecil” was head of the bookkeeping dept. at the same bank for seven years….as a matter of fact, Aunt Jane went to school with him. When Aunt Jane left the bank, Cecil replaced her. The customers continued to come in the bank to pay the quarterly interest on their loans in cash. However, instead putting the cash into the bank’s money drawer, Cecil would pocket the money and jot the payment on the reverse side of the note.
Cecil was caught by the bank examiners after embezzling for around three years. The bank examiners added the interest jotted on the back of all of the loans and compared that number to his bank deposits and the two numbers did not agree “by a long shot”. When they looked deeper, there was evidence of embezzlement. Cecil admitted to the embezzlement, was tried, convicted and served seven years. It is unknown if Cecil paid back a dime.
The bank president called Aunt Jane and told her he regretted her leaving and offered her incentives to come back. Bad timing as she had started her family and it was impossible to return to the bank.
That type of embezzlement would never happen these days as the money is electronically reconciled. That’s the difference between the early 50’s and today!
DON’T LEAVE YOURSELF NAKED TO EMBEZZLEMENT!!
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