Misappropriation of funds

Hi

I need one clarification on the below issue. Please clarify.

One of my client employee is entered into contract with a Travel co. for hiring vehicle on monthly basis without proper approvals from the top management. Agreement shall be approved by himself with the Travel co. with out intimating to the his immediate superriors. Monthly rent would be Rs.30,000/-. 

Is it a case of Fraud by such employee and considered as Misappropriation of Funds

 

Regards

Chandrasekhar

Replies (2)

If the payment is required to be done by the Management than  discussion is required otherwise ependiture will not be reimbersed.....

First of all the transaction in question should be put up to the management for ratification.  Once ratified, the transaction will be regular.  In case not ratified, then the company should pay to the travel company for the lapsed period (since one of his employee entered into the agreement with travel company) and discontinue with the agreement with immediate effect.  The company may be taking disciplinary action against the erring employee.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
14 October 2026
Accountant

Rize.farm

Bengaluru

B.Com

View Details
Company
30 September 2026
Senior Accounts Executive

Codeboard Technology

Chennai

MBA

View Details
Company
12 October 2026
AUDIT , ACCOUNTS AND TAXATION

KDSS

New Delhi

B.Com

View Details
Company
14 October 2026
GST & TDS ASSISTANT

AGGARWAL SANJAY & ASSOCIATES

New Delhi

B.Com

View Details
Company
ARTICLESHIP 07 October 2026
Article assistant

S.K.Bajpai & Co.

Noida

B.Com

View Details
Company
Featured ARTICLESHIP 06 October 2026
Semi Qualified

AJAY SINGH AND CO LLP

Thane

CA Final

View Details
Company
ARTICLESHIP 30 September 2026
CA Article Assistant

CA Suraj Garg & Associates

New Delhi

CA Final

View Details
Company
14 October 2026
Asst. Manager/Dy Manager (Costing)

manufacturing

Pune

CMA

View Details