Corporate Expenses Questioned by HR- Legal Rights & Ramifications

[ds45jk]

Jurisdiction

Florida

Corporate Expenses Questioned by HR- Legal Rights & Ramifications:

I have a Corporate Credit Card in my name issued by my full time employer. I signed a document from HR regarding the Card that stated the following:

"I have applied for a corporate credit card. I understand and agree that:

· I bear ultimate responsibility for the card
· I will only use the card for authorized company expenses
· If I misuse the card, I authorize the company to recover the funds through payroll deductions for any amounts incorrectly claimed. I further understand that I may be subject to disciplinary action, up to and including termination for misuse of the card.
· If I separate from the company, I will return the card with a final reconciliation of all expenditures immediately upon my separation."

I am being questioned about a number of expenses on my corporate credit card. The charges in question are in somewhat of a grey area, as they are work related, but it is not clear if they are in compliance with company policy. According to my understanding of the document I signed above, it appears that my employer has the right to recover these funds and can also terminate my employment. My question is- does my employer have the right to recover these funds if they were not personal charges but in fact charges that were obtained at approved businesses? Also, is the worst that can happen that they attempt to recover the funds and terminate my employment? Does the company have any grounds to come after me from a legal standpoint in reference to recovering these charges? Thank you.

I also was put on suspension. I was just told this verbally over the phone and never received anything writing. I was never given a reason for suspension or told how long the suspension is for or if it was paid or not.

 

[army judge]

There's not much more people unacquainted with your corporate policies and procedures can add.

As far as using the corporate credit card for expenses unrelated, or tangentially related, to your employment; people do get fired for such behavior.

Will you?

As Mister said in the movie, The Color Purple, "Could be, could be not."

As far as you being required to reimburse the charges under investigation, people have been sued for less. In your case, you've agreed to allow the company to recover the charges via payroll deduction. Such an agreement is valid in FL.

If I were you, I'd start distributing my résumé. It would appear your career path in your current employment has been jeopardized by your foolish actions.

 

[ds45jk]

Army Judge,

Thank you for the quick response.

They are asking me to submit explanations in writing to the questionable charges. Some of these charges are months old and I do not specifically recall some of them. If I state that the information provided is to the best of my knowledge but still give accurate and inaccurate recollection to specific transactions does this open me to other legal issues like false reporting, etc? Once in writing is there anyway to change my stand on certain transactions once I have time to dig into my notes. The other problem is they are putting on serious pressure and rushing me to get my explanations over in writing ASAP.

I was also advised by certain senior superiors to go about these transactions the way I handled it. Unfortunately, I do not have too much evidence of this in writing to support this. I do have a former superior that is stating that in a round about way I was told to do so. The problem is there are several parties involved in the field of work I am in and I have always been the "pawn" and pulled in several directions and one party tells me one thing and the other tells another.

These charges were never used for "personal" use or me gaining any extra monetary exchanges or charges that were not done at businesses that were on my approved spending list. There are just a lot of grey areas. My main concern is legal ramifications and I am pretty scared because HR is making this a guilty until proved innocent situation. Thank you again for any input given!

 

[cbg]

Florida has no laws regarding the reimbursement of employee expenses. Neither do 47 other states, and in one of the two states that does, the laws are limited to mileage only.

This is entirely an internal matter.

 

[adjusterjack]

does my employer have the right to recover these funds if they were not personal charges but in fact charges that were obtained at approved businesses?

Yes.

That they were obtained at "approved businesses" doesn't mean that they were "approved purchases."

is the worst that can happen that they attempt to recover the funds and terminate my employment? Does the company have any grounds to come after me from a legal standpoint in reference to recovering these charges?

If the company recovers the money from your pay there would be no need for a lawsuit. However, there is a potential for criminal prosecution for embezzlement of company funds (or something like that).

You could also be disqualified for unemployment compensation due to misconduct.

I also was put on suspension. I was just told this verbally over the phone and never received anything writing. I was never given a reason for suspension or told how long the suspension is for or if it was paid or not.

The reason should be obvious and you'll find out whether the suspension is paid or not when your next paycheck is due.

Some of these charges are months old and I do not specifically recall some of them.

Seriously? You didn't keep records of the purchases or copies of your expense reports. Yikes.

If I state that the information provided is to the best of my knowledge but still give accurate and inaccurate recollection to specific transactions does this open me to other legal issues like false reporting, etc?

It might.

Once in writing is there anyway to change my stand on certain transactions once I have time to dig into my notes.

Once you give them a written explanation and then try to back pedal later, how do you think that's going to look.

The other problem is they are putting on serious pressure and rushing me to get my explanations over in writing ASAP.

So? Get it done. What else do you have to do today and tomorrow except cover your butt?

I was also advised by certain senior superiors to go about these transactions the way I handled it. Unfortunately, I do not have too much evidence of this in writing to support this. I do have a former superior that is stating that in a round about way I was told to do so. The problem is there are several parties involved in the field of work I am in and I have always been the "pawn" and pulled in several directions and one party tells me one thing and the other tells another.

Yeah, that's a bad situation. I've been there and ended up getting fired over it. Unfortunately, your situation is a lot more serious since misuse of company money is involved.

You can bet that your "former superior" is going to be covering his own butt, not yours.

These charges were never used for "personal" use or me gaining any extra monetary exchanges or charges that were not done at businesses that were on my approved spending list. There are just a lot of grey areas.

Well, so far, you've avoided saying what you bought, why you bought it, and how much money is involved. Care to share that information?

My main concern is legal ramifications and I am pretty scared because HR is making this a guilty until proved innocent situation.

No surprise there.

 

[cbg]

...especially given that someone with that many "grey areas" has pretty much painted a "guilty" target on his own back...

 

[army judge]

Army Judge,

Thank you for the quick response.

They are asking me to submit explanations in writing to the questionable charges. Some of these charges are months old and I do not specifically recall some of them. If I state that the information provided is to the best of my knowledge but still give accurate and inaccurate recollection to specific transactions does this open me to other legal issues like false reporting, etc? Once in writing is there anyway to change my stand on certain transactions once I have time to dig into my notes. The other problem is they are putting on serious pressure and rushing me to get my explanations over in writing ASAP.

I was also advised by certain senior superiors to go about these transactions the way I handled it. Unfortunately, I do not have too much evidence of this in writing to support this. I do have a former superior that is stating that in a round about way I was told to do so. The problem is there are several parties involved in the field of work I am in and I have always been the "pawn" and pulled in several directions and one party tells me one thing and the other tells another.

These charges were never used for "personal" use or me gaining any extra monetary exchanges or charges that were not done at businesses that were on my approved spending list. There are just a lot of grey areas. My main concern is legal ramifications and I am pretty scared because HR is making this a guilty until proved innocent situation. Thank you again for any input given!

Before you acquiesce to submitting explanations for the purchases, you might wish to discuss the matter with an attorney.

You AGREED in writing to allow your employer to deduct unpaid credit card expenses as part of the application process for the card.

Your inability to explain, or justify the charges positions you for some rather severe sanctions, the least of which could be your termination.

See at least two labor or employment attorneys to better ascertain how to limit your damages.

Don't worry about the cost. Most attorneys offer the first consultation at no charge. Good luck, and please let us know as this develops.

 

[adjusterjack]

Before you acquiesce to submitting explanations for the purchases, you might wish to discuss the matter with an attorney.

Good idea.

Especially with the possibility of criminal charges.