Learning Center

Business losses due to employee thefts amount to billions of dollars every year. The most important strategy used to minimize such losses is a good system of internal controls. Internal controls do not prevent thefts; however, a good system will detect such threats on a timely basis. Basically, an internal control system separates the various accounting functions among different employees. DMI has identified some common threats to Association assets and the internal controls used to minimize o [...]

The potential for theft or unauthorized use of association funds should be one of the highest priorities of every director. Unfortunately issues dealing with governance, budgetary and financial concerns, repairs and maintenance, enforcement of house rules, policies, and other association issues usually take precedence. Most boards assume that the funds handled by the association’s managing agent is safe and secure. Confirmation of this attitude comes from the annual audit that invariably gives [...]