when is it illegal?

[faithnlve]

What is the name of your state? vt...Is it illegal for a partner to write checks to themselves without other partners acknowledgement? Is it illegal for a partner (owning 10%), to write checks without notifying other owners of checsk written if it is work they did without prior approval? If the partner has title of treasurer and on checking account of business to pay bills, can this person write their own dividend check when they decide to leave partnership without company knowledge? What would be considered embezzlement by a partner? And since this partner left, he/she took all business lists, accounting information, bills, and contracts. How does company retrieve this back from this partner/hired bookkeeper? Thanks Faith

 

[TomD1974]

It is not "illegal" to write a check to yourself drawn on the company's account. But it could be if he is stealing from the company.

Ask for accounting information from this "ex-"partner. If you don't get it to your satisfaction, get the old bank statements and cancelled checks, review them, and ask questions as you see fit.

If something improper took place and you can prove it, then you have something to work with.

 

[faithnlve]

A partner wrote more than one check claiming wages earned without notifying anyone in the company. These checks were over $900.00 and this partner (bookkeepper) did not post nor did they mention these checks to anyone. These checks were found in the bank statements. Thanks Faith