Fraudsters in civil litigations are judged on the preponderance of evidence, a lesser standard than criminal prosecutions.
Whether the crime was perpetrated by an employee, a customer or a vendor, you should always strive to document the fraud and your investigation of it thoroughly, report it to local authorities and urge them to prosecute.
Restitution should be a focus of the civil litigation as well.
As in criminal cases, there are always potential liability issues in investigations, even in civil cases. Please refer to our discussions of employee discipline and terminations to avoid creating unnecessary liabilities if an employee is involved.
The advice of counsel is recommended whenever possible, particularly if the fraud was committed by a non-employee.