S e c u r T e s t, I n c

This is an actual report from a high shrinkage store that resulted in loss prevention, security, and HR obtaining a handwritten confession where the employee admitted stealing $1,900 in inventory and $3,500 in cash. The employee was a cashier that had recently been placed in the employer’s management trainee program. The store was identified as a high shrink store and SecurShrink was given to every employee after the store’s rate of shrink exceeded company standards.

S e c u r T e s t, I n c.

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SecurShrink

The Loss Prevention Investigation Tool

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Company: xxxxxxxxxxxxxxxxxxx

Employee: xxxxxxxxx xxxxxxxxxxxxxxxx

SecurTest Reference: xxxxxxxxxxxx

Report Date: 06-01-2004

Location: 4166

Client Code: xxxxxxx

Routing Code: 4166

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QUICK VIEW

Score (Probability Factor): 89.65 % (Where 0 is Best) (EXPLAIN RANGE)

Score: 8965 (Where 0 is Best) TEST KNOWN CASES

Results: ALERT - INCRIMINATING ADMISSIONS

Direct Theft Admissions Percentage: 70%

Confession: ALERT - YES

Minor Admissions: YES

Ability to Admit Mistakes: ACCEPTABLE

Admitted Deception: NONE

Belief that Others Steal: IDENTIFIES GREATLY WITH THOSE WHO STEAL

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_______________________________________________________________________

| |

| The following is the CONFIDENTIAL REPORT based on the employee's |

| responses to SecurShrink (244). This report is intended to be |

| legally privileged and confidential, and solely for your exclusive |

| use, your legal counsel or those authorized to have access to it. |

| It contains highly sensitive information that should not be |

| disclosed outside your authorized management team, legal counsel or |

| those with a need to know. Do not show this report to the employee, |

| as it is a tool to help you investigate unusual shrinkage. It is |

| not a Fair Credit Reporting Act (FCRA) report, as it is based on |

| direct employee responses versus a search of database or archived |

| records. |

| |

| Use this information to assist your investigation of the loss, as it |

| is intended to be a tool to help identify those employees that are |

| admittedly responsible or gave answers that suggest a structured |

| interview will be helpful in your investigation. |

| |

| Report is gender neutral, as the gender of the employee is unknown. |

|_______________________________________________________________________|

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HOW TO USE THIS REPORT

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Absent incriminating answers or admitted violations of company policy

this report is intended to help loss prevention, security, HR pro-

fessionals and legal counsel investigate shrinkage. A structured

interview will help you and your legal counsel determine disciplinary

action, if any, based on the employee responses.

Compare the Score, Results, Confessions, Minor Admissions against

self interest, Ability to Admit Mistakes, Attitudes or Belief's that

Others Steal, Admitted Deception, and Percentage of both incriminating

and non-incriminating answers to all employees given SecurShrink from the

location in question. This comparison will help identify those employees

that you may wish to interview about the shrinkage or losses. Special

interview guidance can be found at the end of this report.

COMMON QUESTIONS:

1. What does the Total Score and Probability Factor Score mean? These numbers are provided to help you compare the employee's responses with other employees from the same store over the same theft or shrinkage. These scores and percentages are derived from over 25 years experience in testing thousands of employees in similar circumstances. The higher the Total Score and Probability Factor Percentage means the employee gave a greater number of incriminating or revealing responses.

2. What does the Direct Theft Admission Percentage Score? The Direct Theft Admission Percentage is provided to help you compare only those responses directly related to stealing from your company with other employees over the same incident. Though this percentage may or may not have some direct correlation with the total score and the probability factor score, you may find that an employee with a lower score or scores may still have important information that can help solve or better clarify your loss investigation.

3. Should I interview only those employees that SecurShrink identifies for a follow up interview? Most experienced loss prevention, HR and legal professionals will focus their initial investigation on those individuals identified with higher scores and/or adverse admissions as these interviews will more often develop further leads or evidence. However, a careful review of every report may lead you to interview all employees or selected employees as your investigation develops more facts, evidence or information.

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ABILITY TO IDENTIFY COMMON MISTAKES

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**** ACCEPTABLE RESPONSES ****

The responses given in this section indicate that the employee gave

answers suggesting common imperfections in his or her background. This

would indicate that any negative disclosures elsewhere in this report

have greater reliability.

THIS SECTION IS NOT INTENDED AS A MEASUREMENT OF DECEPTION OR HONESTY.

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DIRECT THEFT ADMISSIONS

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**** SIGNIFICANT ADMISSIONS ****

The employee gave important incriminating information, which

presents strong evidence that s/he is directly involved in

the current shrinkage and theft from your company. You may

want to interview the employee to obtain a formal written

or verbal confession and obtain leads to the stolen money or

inventory and identify other culprits.

The employee admitted stealing the following value of items

from your company in the last 12 months (Q8/A29):

$100 to 499

The employee admitted stealing the following amount of cash money

from your company (Q15/A30):

$50 to 99

The employee admitted touching the money or inventory when it was

stolen. Only the person stealing the money or inventory would know

when such was stolen and thus this is an incriminating admission

(Q34/A31).

The employee is willing to make restitution for the loss (Q44/A32).

The employee confessed that s/he was willing to write a letter of

apology over the shrinkage (Q62/A33).

The employee confessed that evidence will be found proving that s/he

took the money or inventory (Q64/A35).

The employee confessed that s/he has been tempted to steal in the

last 12 months (Q66/A36).

The employee confessed that s/he was tempted to steal the money or

inventory that is missing from your company (Q67/A37).

The employee confessed that s/he borrowed some of the missing money

or inventory that is missing from your company and is willing to

return or pay for it (Q68/A38).

The employee confessed that s/he borrowed money or property from your

company without anyone's knowledge (Q70/A40).

The employee feels guilty over this theft (Q80/A42).

The employee confessed to thinking about taking the money or inventory,

but denies taking it (Q84/A44).

Remember, often those who steal initially admit stealing less

than the amount they actually stole. The employee admitted

stealing the following amount of money or inventory from your

company due to low wages in the last 12 months (Q88/A45/A46):

$100 to 499

The employee confessed to stealing a few items from your company

believing most employees are stealing (Q89/A47).

The employee admitted that s/he may have lost the missing money or

inventory (Q92/A48).

The employee said there would be a reason for someone to say s/he took

the money or inventory (Q95/A50).

The employee confessed to dreaming or thinking that s/he took

the money or inventory (Q96/A51).

Number of times the employee has given unauthorized refunds in

a single day (Q97/A52A53):

5 to 9

Number of times the employee has given unauthorized discounts

to family or friends in the last 6 months (Q100/A54A55):

5 to 9

Most number of times the employee opened the cash register in

a single day where there was not customer transaction (Q101/A56A57):

1 to 4

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ADDITIONAL THEFT RESPONSES

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**** POSSIBLE INVESTIGATIVE LEADS ****

The following additional responses will provide possible

interview points about the current shrinkage and theft in your

company.

The employee responded that s/he believed the money or inventory was the:

result of:

Lost (Q4/A64A65)

[ANSWER INDICATES DENIAL OR LACK OF REASONALBE ANALYSIS]

The employee responded to the nature of the punishment one should receive

for stealing company inventory (Q31/A66A67):

Given second chance (lenient)

Number of times the employee admits being fired from a job for stealing

(Q32/A68A69):

The employee responded to the nature of the punishment one should receive

if sentenced by a judge (Q51/A82A83):

1 week in jail

The employee responded as to who should be interviewed for this theft as

follows (Q50/A81A131):

Me (self identification)

The employee responded to the nature of the punishment one should receive

for stealing company money (Q33/A71):

Given second chance (lenient)

When asked where the employee was when the inventory or money was stolen,

s/he responded: (Q34/A72A73)

Touching the money or items (CONFESSION*)

[Only the culprit knows his or her whereabouts since shrinkage could

be caused most any workday.]

When asked if the employee would give an admitted company thief a second

chance if the money or items were returned or paid for along with an

apology, the employee responded: (Q41/A74)

Yes, everyone deserves a second chance (leniency)

The employee claims to know his or her exact whereabouts at the time

money was stolen from your company (Q42/A76). Only the perpetrator of

the theft would know his or her exact whereabouts.

The employee admits being in trouble previously for stealing (Q43/A77).

The employee says there are some that might say s/he took the money

or inventory out of dislike for the employee (Q45/A78).

The employee believes money has been stolen (Q48/A79).

The employee unusually denies an opportunity to steal money or

inventory (Q53Q61Q65/A80).

The employee said s/he was present when the money or inventory was taken

(Q71/A121). How does this employee know s/he was present?

The employee believes this whole matter was an unfortunate accident

(Q82/A125). High shrinkage leads most to eliminate such thoughts.

When asked why someone would take money or inventory the employee

responded (Q85/A128):

If it were I, the reason would be to supplement my income

because of financial problems

When asked how the person feels who stole the money or inventory, the

employee responded (Q86/A129):

No fear, laughing at everyone

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BLAMEWORTHINESS

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This section will help identify those that have feelings of guilt,

Responsibility and/or culpability (blameworthiness) for the loss.

**** SIGNIFICANT ADMISSIONS ****

The employee has lost sleep over the thefts (Q77/A122).

The employee felt ill over the thefts (Q78/A123).

The employee is convinced s/he will be blamed for the thefts (Q79/A124).

The employee feels somewhat responsible for the thefts (Q83/A126).

The employee said there would be a reason for someone to say s/he

was in the store at the exact time the money or inventory was stolen

(Q94/A141).

The saw the money or inventory that is missing when no specific items

have been identified as being stolen (Q90/A130).

The employee admits that s/he did not follow company procedures regarding

the money or inventory (Q91/A140).

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DIRECT KNOWLEDGE

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This section will identify those who know who has stolen money or

inventory from your company.

**** SIGNIFICANT ADMISSIONS ****

The employee has information will help solve the shrinkage problem

(Q119/A101).

The employee would like to speak to someone confidentially to give

important information about the shrinkage problem (Q120/A102).

The employee responded that s/he suspects the following stole the money

or inventory (Q49/A94):

I prefer to not say

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MOTIVE TO STEAL

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This section will help identify possible common motives why employees

steal.

**** SIGNIFICANT ADMISSIONS ****

The employee's credit history would indicate a need to take the

money or inventory from your company (Q54/A105).

The employee is behind in his/her current rent or mortgage (Q55/

A106).

The employee is over extended on his/her credit card limits

(Q57A108).

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ATTITUDES ABOUT STEALING

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This section helps you identify employees that believe others commonly

steal. Though adverse employment action should never be taken based on

employee's attitudes, this information will help you better educate

and train those about loss prevention and workplace theft.

ATTITUDE COMPARATIVE SCORE: 100 (where 0 is best)

ATTITUDE OVERVIEW: IDENTIFIES GREATLY WITH THOSE WHO STEAL

The employee believes most employees will steal if given the chance (Q104/

A113).

The employee believes most employees will steal if they believe

they can get away with it (Q105/A114).

The employee believes most employees are dishonest (Q106/A115).

The employee believes most employees will take things from work without

permission (Q107/A116).

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CRIMINAL CONDUCT HISTORY

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**** SIGNIFICANT ADMISSIONS ****

Often there is a correlation between past criminal behavior and

recidivism into criminal conduct, such as work related theft.

Interview the employee to determine the nature, time and relevance

of the criminal conduct/behavior to the current shrinkage.

Number of felony crimes the employee admitted committing in the last

2 years (Q2/A4).

10 to 24

Number of months the employee admitted spending in jail for a crime

s/he admits committing (Q3/A5).

100 to 499

Number of crimes the employee has been convicted in the last seven

years that s/he admits committing (Q11/A6).

Number of months the employee will be on probation or parole for

conviction of a crime: (Q21/A7):

5 to 9

The employee must report to a probation or parole officer (Q39/A10)

A check with the FBI, courts or police will reveal the following number

of felony convictions (Q40/A11):

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CURRENT ILLEGAL DRUG USE OR SALES HISTORY

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**** SIGNIFICANT ADMISSIONS ****

Often there is a correlation between current illegal drug use or

selling illegal drugs with stealing from an employer. Current

illegal drug use gives an employee motive to steal. Interview the

employee to determine the relevancy of this criminal conduct/behavior

to the current shrinkage.

Number of times the employee has used marijuana an average day in

in the last month (Q5/A13):

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VIOLENCE HISTORY

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**** SIGNIFICANT ADMISSIONS ****

Violent offenders may engage in other criminal behaviors.

Interview the employee to determine the nature, time and relevance

of the violent behavior.

Excluding his/her own children, number of times the employee has struck

someone at work in the last 6 months out of anger with an object (Q18/

A20):

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POSSESSION OF WEAPONS IN THE WORKPLACE HISTORY

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**** SIGNIFICANT ADMISSIONS ****

ALERT: Determine whether the employee had legal authority to be armed in

your workplace. Examples include police officers, security officers,

armed security officers, or others licensed to carry a weapon at work.

The employee admits illegally carrying a gun to work in the last

24 months (Q10).

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DISCRIMINATION AND HARASSMENT HISTORY

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**** SIGNIFICANT ADMISSIONS ****

Though there may be little, if any correlation between this section to

shrinkage or employee theft, it is provided to help you identify potential

violations of company policy and mitigate potential erosion of employee

and customer satisfaction. It will also help you benchmark your commitment

to a discrimination-free workplace.

Number of times the employee has refused to help others at your company

based the color of their skin (Q16/A84):

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CONCENTRATION, COMPREHENSION AND CONSISTENCY

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The purpose of this section is to identify those individuals who were

attentive to the questionnaire instructions, questions and responses.

Also, did the employee understand the questions and respond consis-

tently or is there evidence that random answers were given?

RANDOM CHECK: ACCEPTABLE

COMPREHENSION: ACCEPTABLE

ADMITTED MISTAKES: NO

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STRUCTURED INTERVIEW STEPS

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You should interview the employee about any adverse disclosures. The

interview will help you make better hiring decisions. Here are the

steps to use when interviewing an employee about a SecurTest report.

1. Never suggest that the employee made a mistake.

2. Be direct in your questioning.

3. MAKE A STATEMENT OF FACT, i.e. You said in SecurShrink that you

stole money or inventory from us.

4. Ask OPEN-ENDED QUESITONS that begin with who, what, where, when

how, and sometimes why. Ask questions that seek additional

information or explanation, i.e. What did you take? Why did you

take it? What are willing to do to make it right?

5. Believe the questionnaire report since it is based on the employee's

self-disclosures.

_______________________________________________________________________________

We trust that this report will assist you in your interview of this

employee. Using a direct approach in this interview, you may want

the employee to explain in greater detail any information revealed

in this report.

Please call our Customer Service Department if you have any questions

about this report or need assistance. As always, SecurTest is committed

to quality service and questionnaire excellence.

SecurTest, Inc.

_______________________________________________________________________________

INTERVIEW REPORT FORM FOLLOWS

S e c u r T e s t, I n c.

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SecurShrink

INTERVIEW FORM

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06-01-2004

Company: xxxxxxxxxxxxxxxxxxx

Employee: xxxxxxxxx xxxxxxxxxxxxxxxx

SecurTest Reference: xxxxxxxxxxxx

Report Date: 06-01-2004

Location: 4166

Client Code: xxxxxxx

Routing Code: 4166

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| PLACE A CHECK MARK IN THE APPROPRIATE BOX AND FILL IN THE REQUIRED DATA. |

| ____ |

| | | ANSWERS GIVEN BY EMPLOYEE |

| |____| |

| |

| ____ |

| | | ANSWERS DOCUMENTED BY _______________________________________ |

| |____| Title: ___________________________________________ |

| |

| _________________________ Today's Date |

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| INSTRUCTIONS: |

| |

| The following questions are provided to assist your interview. |

| Fax to (813) 889-8200 and the designated corporate manager. |

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| DO NOT DISCUSS THESE QUESTIONS OR YOUR ANSWERS WITH YOUR COWORKERS, UNLESS|

| IT IS WITH YOUR MANAGER, LOSS PREVENTION OR SECURITY MANAGER, HUMAN |

| RESOURCES, EMPLOYEES OF SECURTEST, OR OTHER AUTHORIZED MANAGERS. |

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| Use additional pages if necessary to fully explain each answer. When |

| using additional pages, place the Question # (Qxx) by the explanation. |

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*** Interactive Interview Notes (Shrinkage) ***

You admitted taking things from work in the last 12 months.

In detail explain everything you have taken (Q8).

______________________________________________________________________

You admitted taking money from work. In detail explain when

and how much you took (Q15).

______________________________________________________________________

You admitted touching the money or inventory when it was stolen.

This is an admission that you took the money or inventory. Explain

why (34).

______________________________________________________________________

You said you are willing to make restitution for the loss. How much

are you willing to pay (Q44)?

______________________________________________________________________

You said you were willing to write a letter of apology over the

shrinkage. What would you write or say (Q62)?

______________________________________________________________________

You said evidence will be found proving that you took the money

or inventory. Explain the evidence that will be found (Q64).

______________________________________________________________________

You said you were tempted to steal in the last 12 months. Explain

(Q66).

______________________________________________________________________

You said that you were tempted to steal the money or inventory

that is missing. Explain in detail (Q67).

______________________________________________________________________

You said you feel guilty over this theft. Explain (Q80).

______________________________________________________________________

You said that investigators will find an eyewitness who will

say they saw you take the money or inventory. Explain who and

what will they say (Q81).

______________________________________________________________________

The said you thought about taking the money or inventory. Explain

(Q84).

______________________________________________________________________

You said that you are to blame for some of the shrinkage. Explain

(Q103.)

______________________________________________________________________

*** Interactive Interview Notes (Additional Theft Responses) ***

Explain what you believe happened to the missing money or inventory

(Q103.)

______________________________________________________________________

You said you have been fired from a job for stealing. Explain what you

took and when (Q32).

______________________________________________________________________

Where you when the inventory or money was stolen (Q34)?

______________________________________________________________________

You said you have been in trouble previously for stealing. Where, when

and what did you take (Q43).

______________________________________________________________________

You said there is some that might say you took the money or inventory.

Who would say this and why (Q45)?

______________________________________________________________________

You said there are some that would say you were in the area where

the money or inventory was at the exact moment it was stolen. How

would they know when that exact moment was (Q63)?

______________________________________________________________________

You said you were present when the money or inventory was taken. How

do you know when it was stolen (Q71)?

______________________________________________________________________

*** Interactive Interview Notes (Blameworthiness) ***

You said that you have lost sleep over the thefts. Explain (Q77).

______________________________________________________________________

You said that you have felt ill over the thefts. Explain (Q78).

______________________________________________________________________

You said that you will be blamed for the thefts. Explain (Q79).

______________________________________________________________________

You said that you feel responsible for the thefts. Explain (Q83).

______________________________________________________________________

*** Interactive Interview Notes (Knowledge) ***

You said that you have information that will help solve the shrinkage problem. Explain (Q119).

______________________________________________________________________

*** Interactive Interview Notes (Motive) ***

You said that your credit history could indicate a need to take

the money or inventory from your company. Explain (Q54).

______________________________________________________________________

You said that you are behind in your current rent or mortgage.

How much are you behind and for how long have you been behind (Q55)?

______________________________________________________________________

You said that you are behind in your current debts. Explain in

in detail (Q56).

______________________________________________________________________

You said that you are over extended on your credit card limits.

Explain which cards and the maximum credit amounts and amounts you

you are over (Q57).

______________________________________________________________________

*** Interactive Interview Notes (Criminal) ***

You admitted to engaging in criminal conduct or having a criminal

record. Every question must be answered in detail. Use additional

pages if necessary.

You said that you committed felony crimes in the last 2 years. Explain

in detail the crime, when, and what you did (2).:

______________________________________________________________________

You said that you have spent months in jail for crimes you

you committed. Explain in detail the nature of the crimes,

what you did, how much time you spent in jail or prison, and

where (3).

______________________________________________________________________

You said that you have been convicted of crimes in the last seven

years that you committed. Explain in detail what were the crimes,

how much time you served, and where (11).

______________________________________________________________________

You said that you are currently on probation or parole for a crime

or crimes that you were convicted. Explain how long is your probation

or parole, what for, and the name of your probation officer (21).

______________________________________________________________________

You said that you report to a probation or parole officer. Explain

how long is your probation or parole, what for, and the name

of your probation or parole officer (36).

______________________________________________________________________

You said a check with the FBI, courts or police will reveal a criminal

record for felony convictions. Explain in detail every conviction,

including the dates, locations, and description of the crimes,

sentence, and judge’s rulings concerning the conviction (Q40).

______________________________________________________________________

*** Interactive Interview Notes (Drugs) ***

You said that you have some recent experience will illegal drugs.

Answer every question in detail.

You said that you have used marijuana an average day in

the last month. When do you usual smoke or use it (Q5)?

______________________________________________________________________

*** Interactive Interview Notes (Violence) ***

You said that you had hit someone at work with an object other than your hand in the last 6 months. Explain what happened (Q118).

______________________________________________________________________

*** Interactive Interview Notes (Firearm) ***

You said you carried a gun to work in the last 24 months. When

and why (Q10)?

______________________________________________________________________

*** Interactive Interview Notes (EEO) ***

You said that you have refused to help others at work based on the

color of their skin. Explain (Q16).

______________________________________________________________________

Thank you for your cooperation. Please return this form to the person

who gave it to you after signing on the line below.

___________________________________________

(signature SIGN HERE)

========================== END OF INTERVIEW NOTES =============================

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