Sample Notice to Explain for Overpricing Purchases to Defraud CompanyAtty Elvin
Sample notice to explain is shown here to guide HR practitioners and business owners on how to properly enforce discipline in accordance with procedural due process.
The post below is based on the book Human Resource Forms, Notices and Contracts Volume 2 by Atty. Elvin B. Villanueva (pp. 261-262).
To : Name of Employee
From : Human Resources Manager
Subject : Overpricing of purchases to defraud company
Date : (Date of issuance of Notice)
The following incident has been brought to our attention for appropriate action. A recent audit of financial transactions for the period ending on _________ showed that you presented several receipts purportedly issued by ABC Company for the supply of food and drinks at various company gatherings. Attached are copies of the said receipts.
Upon verification, however, ABC Company revealed that the amount appearing on your receipts were not the true values of the items purchased from them. The receipts you presented showed amounts which were much higher than the usual prices quoted by ABC Company for the same food and drink items.
Attached is the affidavit executed by the account officer of ABC Company, attesting to the correct amounts of the items purchased by the Company.
In this connection, the act of overpricing purchases may constitute fraud or deceit and is a ground for termination of employment under Art. 297 of the Labor Code. In view of the foregoing, you are hereby required to submit a written explanation to this office within five (5) days from receipt of this notice, stating why the Company should not impose the penalty of dismissal for the act mentioned.
Furthermore, you are invited to a conference on _________ (date) at ___________ (venue) where you shall be accorded the opportunity to express your side on the matter. You may be accompanied by your own counsel at the said conference if you wish to be assisted by one.
Your failure to submit your written explanation within the period provided shall be construed as a waiver of your right to be heard and the Company shall decide the matter on the basis of all records and evidence available to it.
Your compliance is strongly encouraged.
Very truly yours,
(Name and signature of authorized signatory)