My bookkeeper handled all of my business's deposits and balanced the monthly statements. He stole some checks payable to the business and forged the endorsement, which the bank honored. What can I do?

Even though a bank pays over a forged endorsement, it is the account holder's responsibility to discover the problem and notify the bank.

There is very little the bank can do to protect you from the actions of your employees. It is your responsibility to have separation of duties — for example, the same person should never make the deposits and balance the monthly statements.

If you have an account with multiple forgeries (e.g., stolen checks), you should consider closing the account.