Logistics Management just ran an excellent article on Logistics and the Law: Don’t Pay Twice, by Brent Wm. Primus, J.D. of Primus Law Office that I think is a must read for anyone responsible for global shipping.When a shipper engages a broker or when a shipper or a broker books a load with a carrier, they expect to be billed and to pay for the charges for moving the freight. What they don’t expect is to have to pay the charges twice. Unfortunately this does happen and, in the last few years, has happened with increasing frequency. This emerging issue …
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February 25th, 2010 | Posted in Fraud, Logistics, Risk Management
Editor’s Note: Today’s post is from Dick Locke, Sourcing Innovation’s resident expert on International Sourcing and Procurement. (His previous guest posts are still archived.) It appears that Mexican drug cartels are taking advantage of the US’ C-TPAT program to occasionally put marijuana into trucks that have been granted expedited clearance into the US. How serious is this?Here are a couple of articles:Trucker Program Attracts Drug SmugglersMexican Drug Smugglers Taking Advantage of New Program That Speeds Truckers Across the BorderIf you dig into the articles you will see that there are about 5 million north-bound truckloads crossing the Mexican border annually. …
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November 27th, 2009 | Posted in Dick Locke, Fraud, Global Trade, Logistics, Mexico
A recent article over on CNN Money that noted that the store theft cost to your family, largely due to a 9% jump in retail theft over the past year, is $435 — as shoplifting, employee theft, and supply chain fraud cost retailers $42.2 Billion between July 2008 and June 2009, had a surprising revelation. Breaking this mega-loss down, we find that: 18.7 Billion is due to employee theft which could be considerably reduced with better screening, security and processes 15.0 Billion is due to shoplifting which could be somewhat reduced with …
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November 18th, 2009 | Posted in Fraud, Supply Chain, Technology
Editor’s Note: This post is from regular contributor Norman Katz, Sourcing Innovation’s resident expert on supply chain fraud and supply chain risk. Catch up on his column in the archive.Dimitrios P. Biller, a former managing counsel for Toyota Motor Sales USA Inc., alleges in a recent lawsuit that Toyota forced him to withhold evidence from opposing counsel in lawsuits relating to vehicle rollover accidents. As some readers will remember when (small) sports utility vehicles (SUVs) were introduced there were a rash of rollover accidents that occurred. I recall that the reasons were generally centered on the vehicles …
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October 28th, 2009 | Posted in Finance, Fraud, Norman Katz, Risk Management
Editor’s Note: This post is from regular contributor Norman Katz, Sourcing Innovation’s resident expert on supply chain fraud and supply chain risk. Catch up on his column in the archive.Not long after one of my supply chain fraud presentations I was informed that one of the attendees had gone back to her employer and reported “I think I (now) smell a rat”. The company owner was not able to schedule to attend my seminar so he sent someone in his place, and was quite thankful he did.(Fortunately it was not the fraudster who the company owner sent to …
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October 21st, 2009 | Posted in Fraud, Norman Katz
Share This on Linked In If you’re on the ball and a US public company, you’re probably worrying about the SEC (Securities and Exchange Commission) and the FCPA (Foreign Corrupt Practices Act) because the government has been cracking down — hard — on violations and handing out million, and billion, dollar fines [...]
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September 1st, 2009 | Posted in Fraud, Global Trade, Risk Management
Share This on Linked In Recent articles on cargo theft from eSide Supply Management and S&DC Executive highlighted a 2008 study from LoJack Supply Chain Integrity that uncovered 299 cargo thefts in 2008 (in the US) at truck stops, parking lots (including drop yards), facilities, warehouses, store locations, vehicles parked on [...]
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August 21st, 2009 | Posted in Fraud, Logistics, inventory
Share This on Linked In A recent article in CFO that noted that the Feds (are) Oil(ing) Up Their Antibribery Machine had some great tips for those of you looking to put a rigorous FCPA compliance effort in place — and minimize the chances that you, like Mr. David M. Pillor of [...]
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August 19th, 2009 | Posted in Compliance, Fraud
Share This on Linked In Editor’s Note: This post is from regular contributor Norman Katz, Sourcing Innovation’s resident expert on supply chain fraud and supply chain risk. Catch up on his column in the archive.Outsourced supply chain services are very common these days. Freight forwarders, logistics providers, warehouse services, data [...]
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August 19th, 2009 | Posted in Fraud, Norman Katz, Risk Management, Services
Share This on Linked In Editor’s Note: This post is from regular contributor Norman Katz, Sourcing Innovation’s resident expert on supply chain fraud and supply chain risk. Catch up on his column in the archive.Aon has released their 2009 Global Risk Management Survey which lists, in order of priority, the top [...]
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August 12th, 2009 | Posted in Fraud, Norman Katz, Risk Management, Supply Chain
