b'Embezzlement Itsawell-knownfactamongforensicCPAsandattorneyswho prosecute fraud that three things lead to monetary fraud or embezzlement in nearly all cases (known as the Triangle of Fraud): 1.Opportunity or access to fundsInvestor funds, funds in the Companys bank account, company books, etc. 2.An un-sharable needFor example, I need this money to buy a new car, to buy a new boat, to pay medical bills, to cover a vacation, to show investors Im successful, etc. Often, this starts with good intentions: Ill pay it back, Im just borrowing the money. 3.JustificationWhen they cant pay it back, they justify why they deserve it: I worked harder than everyone else; I should have been paid more, etc. By the time this process plays out, the funds have usually been spent and are irretrievable. Youneedtopaycarefulattentiontothebankaccountsforyour syndicateorfundandthepeoplewithaccesstothem.Whenpeople experiencefinancialstress,embezzlementincreases.Itsimportantthat syndicate managers closely control who has access to the bank and also closely monitor bank transactions within the syndicate on a weekly basis. Here are some protective measures you should be taking: Make sure there are at least two unrelated people keeping an eye on your bank accounts, with no single person in charge; 288'