EXHIBIT 101 / THE HANDBOOK
EXHIBIT#66HIGH
Cash & RevenueComposite score: 59/100

POS Data Skimming

A hardware skimmer or memory-scraping malware captures card data directly off the payment terminal.

Risk Scores

Frequency40
Financial Loss80
Detection Difficulty70
Prevention Ease70
Composite Score59/100

Perpetrator Roles

IT / Tech

Affected Formats

QSRFast Casual

Detection Difficulty

Moderately difficult. Requires consistent audit procedures and data analysis to surface.

HOW IT WORKS
Petty cash fund established
Withdrawals made without receipts
Fund replenished without audit
Cumulative loss grows
Discrepancy found in audit
Handbook Chapter · F-066

Petty Cash Misappropriation

Full chapter with identity card, real examples, warning signs, detection and prevention guidance.

Exhibit AI Detection

AI-Powered Detection Design

Physically inspect card readers for tampering devices on a regular schedule, and monitor for the kind of fraud clustering that card issuers can identify faster than an individual restaurant can on its own.

Prevention Guidance

Audit Controls

Standard audit procedures are effective. Regular cash counts and reconciliation catch this scheme early.

Technology

Automated POS monitoring, real-time exception reporting, and AI-driven anomaly detection significantly reduce exposure.

Culture & Training

Staff awareness programs, anonymous reporting channels, and clear consequence policies deter opportunistic fraud.

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