How to safeguard your dental practice from embezzlement: One dentist’s personal story

Is your practice embezzlement-proof? If not, what steps can you take to reduce your risk and evaluate the trustworthiness of your staff members?

In the most recent episode of Dentistry Unmasked, Pam and David sat down with Stacey Gividen, DDS, to discuss her personal embezzlement experience that cost her practice over $200,000 and a host of legal complications.

How $70 nearly cost this dentist her practice

The incident started when Dr. Gividen was notified of $70 in cash missing from her practice's till. A front office team member, Cheyenne, expressed wariness over the office manager, Charlotte. Charlotte said she was going to run to the bank to deposit $70, which was unusual because it was such a low amount of money.

Suspicions were raised after Cheynne placed a $100 bill into the till that disappeared after Charlotte had left the office. She and Dr. Givens then pulled up her bank account, discovering no deposits were ever made.

"I sat at my desk and cried. I trusted her. That's the theme with embezzlement: you trust these people the most." Dr. Gividen explained.

After being confronted, Charlotte admitted to taking $30,000-but a full forensic investigation by Prosperident revealed she had stolen nearly $160,000, with the total impact (including penalties, lost production, and cleanup) nearing $220,000.

Dr. Gividen said: "The team went through everything penny by penny-bank accounts, EagleSoft, Amazon, Venmo. I had no idea how much she had taken. There were plane tickets, clothing, gifts, items for her daughter, Mardi Gras trinkets."

Charlotte was fired and reported to the police, but a long legal process still loomed overhead-a detriment to Dr. Gividen's recovering practice.

"The case moved to the courts. Hearings were repeatedly postponed. I blocked out time for each one, losing production over and over. Almost two years later, she was sentenced. She had three felony counts. Over $5,000 is up to ten years per count. As part of a plea deal, 20 years were wiped, leaving 10 years to be determined. The judge saw through her behavior. She was sentenced to ten years without the possibility of parole. She is still in county jail awaiting transfer to a women's prison."

How embezzlement affects more than just money

Beyond the financial blow, Dr. Gividen's practice suffered in other ways. Time, patient appointments, and her reputation were affected by Charlotte's illegal actions; the time spent at the court, patient appointments that were cancelled to deal with the fallout, and gossip from the community accumulated into more money lost.

But with guidance from Prosperident's David Harris, Dr. Gividen rebuilt her business systems. She now maintains strict financial controls: she handles all payments and deposits, restricts staff access, ensures reconciliation is done independently by her accountant, and monitors all accounts personally.

Embezzlement prevention guide for your practice

How can you learn from Dr. Gividen's story? Below is a list of steps you can take to make your practice less vulnerable.

1. Separate duties

• Ensure administrative control never rests with one employee (one person opens the mail, another posts payments, etc.)
• Front desk enters treatment; another team member verifies insurance payments.

2. Trust but verify

• Review all bank statements monthly.
• Compare daily deposit reports with actual bank deposits.
• Ask for documentation, not explanations.

3. Restrict employee access to financial tools

• Make sure only dentists (or an accountant) have practice credit cards.
• Disable saved passwords on office computers.

• Maintain your own login credentials; do not share.

4. Monitor office purchasing and inventory

• Embezzlers often bury personal purchases inside routine orders, so separate login for Amazon or supplier accounts.

• Require order receipts to be reviewed by the dentist.

• Ship all products to the office-never to a home address.

• Spot check inventory monthly.

5. Create a culture where staff speak up

• Encourage staff to report red flags confidentially.
• Hold monthly team meetings reviewing systems and expectations.
• Communicate openly about office financial policies.

If something feels wrong, act immediately-don't wait for "proof." Dr. Gividen is now doing better and is prepared in case a similar situation arises.

"You can get through something like this." She said. "You come out stronger. My practice is healthier now. The hole in the bottom of the boat is gone."

You can listen to Dr. Gividen share her story on Dental Economics' podcast, Dentistry Unmasked.