Embezzlement All Over Again

Uncovering Embezzlement Risks in Medical Practices: A Case Study and Key Takeaways

I am working on an independent embezzlement review that resulted from a medical practice employee going to the bank and trying to cash SEVEN insurance checks. Luckily the bank called the practice first before cashing them. To date, we have found her to have taken numerous patient copays and pocketing the money.

Embezzlement seems to be rampant these days in medical practices. It's easy for an employee to cover his or her tracks if (1) controls are not in place as best as they can be (mainly in small medical practices where it is hard to separate certain duties) and/or (2) when people aren't watching. It is the latter that gets medical practices in trouble. Management just does not take the time to "spot check" for embezzlement. The person above got caught but I wonder how many people out there ARE NOT getting caught............

About the Author

Reed Tinsley CPA

This article is written by Reed Tinsley, a Houston, TX-based CPA with over 30 years of experience advising physicians and medical practices across Texas and the United States. Reed holds certifications as a Certified Valuation Analyst (CVA), Certified Healthcare Business Consultant (CHBC), and Certified Financial Planner (CFP), specializing exclusively in the healthcare sector. He is a published author, nationally recognized speaker, and trusted advisor to physicians on accounting & tax, practice management, and financial planning. Schedule a Free Consultation.