“Preventing Fraud And Embezzlement In Your Dental Practice” with David Harris

In this episode of the Ultimate Dental Podcast, Dr. David Moffet interviews David Harris, a dental fraud investigator, about the complexities of embezzlement in dental practices. They discuss Harris's unconventional journey to becoming a fraud investigator, the evolution of dental fraud, and the common signs of embezzlement.The conversation also delves into the psychology behind theft, the motives of thieves, and the role of spouses in practice theft. Harris shares insights from his extensive experience in the field, emphasising the importance of financial oversight and proactive measures to prevent fraud.In this podcast interview, David Harris and David Moffet delve into the complexities of dental embezzlement, exploring the mindset of thieves, the evolution of theft in the dental industry, and the importance of trust and awareness among dental practitioners. They discuss how technology has changed the landscape of theft, making it easier for thieves to operate undetected, and emphasise the need for dentists to be vigilant andproactive in safeguarding their practices against potential fraud.What you will learn:[01:20] Introduction and Background[03:33] David Harris Journey to Dental Fraud Investigation[11:49] The Evolution of Dental Fraud[16:39] Identifying Signs of Embezzlement[22:13] The Psychology of Thieves[27:37] Understanding the Motives Behind Theft[31:39] The Role of Spouses in Practice Theft[34:38] Understanding the Thief's Mindset[40:29] The Evolution of Theft in Dentistry[45:30] Raising Awareness on Dental Embezzlement[50:25] Trust and Naivety in Dental Practices[56:36] The Rationalisation of TheftTakeaways David Harris's journey to becoming a dental fraud investigator was non-linear and filled with challenges. The majority of dental fraud cases follow familiar patterns, but new methods emerge regularly. Thieves often operate when no one else is around, showcasing their territorial behaviour. Financial oversight is crucial; many practice owners fail to compare collections with deposits. Embezzlers often exhibit signs of living beyond their means, which can be a red flag. The psychology of thieves often involves feelings of underappreciation and a desire for status. Spouses working in practices can sometimes be the source of embezzlement, especially during personal crises. Communication and trust are vital in a dental practice to prevent fraud. Dentists often prioritize clinical work over business acumen, which can hinder practice growth. Understanding the motives behind theft can help practice owners implement better safeguards. Thieves often believe they are smarter than their employers. Many thieves use multiple methods to steal. Technology can create a knowledge gap that benefits thieves. Dentists often trust their staff blindly, leading to vulnerability. Trust should be a dynamic concept that is regularly reassessed. Awareness of dental embezzlement has increased over the years. The rationalisation of theft is common among thieves. Dentists are often unaware of the risks of embezzlement. The dental industry has a high rate of embezzlement incidents. Every dentist has a significant chance of being embezzled during their career.Sound Bites "I found her notebook." "The basics haven't changed." "85% don't do that comparison?" "Thieves are also pretty territorial." "You have to ask why." "The happiest victim ever." "Thieves have three different methods." "Technology creates a knowledge gap." "It makes for tidier stealing." "Dentists trust their staff blindly." "Trust has to be a more dynamic concept."