Man in China creates 22 fake employees, embezzles nearly S$3 million from company

A man in China created 22 fake employees to embezzle 16 million yuan (S$2,940,000) in salary and severance payments from the company.

According to Chinese news site Xiao Xiang Morning Herald, the man, surnamed Yang, worked as a human resources manager at a labour service company in Shanghai.

He discovered he was the only person managing employees sent to work at a tech company.

Yang was the only person who approved employee hiring and resignation, and he discovered that salary payments were not checked, Xiao Xiang Morning Herald reported.

Since 2014

Since 2014, Yang fabricated identities for 22 employees and made fake personnel records.

He would then deposit the salaries into a bank card under his control, but not in his name.

Yang would lie to the labour service company to cover up his tracks, saying that the tech company had delayed payment.

After eight years, the tech company noticed something suspicious, said Xiao Xiang Morning Herald.

In 2022, the finance department of the tech company discovered it supposedly had an employee named Xiao Sun.

He was with the company for about six months, had perfect attendance, and received his salary on time.

However, no one had ever met him in person.

The matter was reported to the local authorities, and investigations into the attendance records and bank transactions revealed Yang's scam.

Yang was sentenced to 10 years and two months in jail for embezzlement, stripped of political rights for one year, and fined.

He was also instructed to return 1.1 million yuan (S$202,000) of the stolen funds, with his family returning another 1.2 million yuan (S$220,000).

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