What type of fraudulent scheme is Sheila involved in with her company ABC?

Sheila is involved in a personal purchases with company funds scheme, which is a type of fraud where an employee makes unauthorized purchases for personal use but charges those expenses to the company. This behavior reflects a misuse of company resources, as the individual exploits their position to benefit personally at the company's expense.

In this scheme, Sheila would be misrepresenting her purchases as legitimate business expenses, which can lead to significant financial losses for the company and violate ethical standards. It typically involves a deliberate intent to defraud the employer by taking advantage of their trust and misusing company funds for personal gain.

Understanding this type of scheme is crucial for identifying and preventing similar fraudulent activities within organizations. This phenomenon often arises in environments where oversight is lacking, making it easier for employees like Sheila to commit such acts.