CPP
•Study Guide # 2
•1 - 667
Sensitive Information
Sample Questions
1. Any formula, pattern, device or
compilation of information which is used in
one’s business and which gives him an
opportunity to gain an advantage over
competitors who do not know or use it is:
•
•
•
•
a.
b.
c.
d.
A monopoly
An unfair trade practice
A trade secret
A patent
1. Any formula, pattern, device or
compilation of information which is used in
one’s business and which gives him an
opportunity to gain an advantage over
competitors who do not know or use it is:
•
•
•
•
a.
b.
c.
d.
A monopoly
An unfair trade practice
A trade secret
A patent
2. Probably the main reason for loss of
sensitive information is:
•
•
•
•
a.
b.
c.
d.
Inadvertent disclosure
Deliberately stolen by outsider
Industrial espionage
Deliberately stolen by insider
2. Probably the main reason for loss of
sensitive information is:
•
•
•
•
a.
b.
c.
d.
Inadvertent disclosure
Deliberately stolen by outsider
Industrial espionage
Deliberately stolen by insider
3. The primary tool of pre-employment
screening is the:
•
•
•
•
a.
b.
c.
d.
Interview
Application form
The investigation
The investigator
3. The primary tool of pre-employment
screening is the:
•
•
•
•
a.
b.
c.
d.
Interview
Application form
The investigation
The investigator
4.
Competitive intelligence gathering is a
legitimate activity which is engaged in by many
firms throughout the world. The most important
function of competitive intelligence is to:
• a. Alert senior management to marketplace
changes in order to prevent surprise
• b. Alert senior management as to the personal
habits of competitive senior management
• c. Alert government intelligence agencies to
marketplace changes
• d. Alert senior management to changes in
protocol in foreign countries
4.
Competitive intelligence gathering is a
legitimate activity which is engaged in by many
firms throughout the world. The most important
function of competitive intelligence is to:
• a. Alert senior management to marketplace
changes in order to prevent surprise
• b. Alert senior management as to the personal
habits of competitive senior management
• c. Alert government intelligence agencies to
marketplace changes
• d. Alert senior management to changes in
protocol in foreign countries
5. The instrument used to monitor
telephone call by providing a record of all
numbers dialed from a particular phone is
called:
•
•
•
•
a.
b.
c.
d.
A wiretap
A bug
An electronic surveillance
A pen register
5. The instrument used to monitor
telephone call by providing a record of all
numbers dialed from a particular phone is
called:
•
•
•
•
a.
b.
c.
d.
A wiretap
A bug
An electronic surveillance
A pen register
6. A clandestine listening device,
generally a small hidden microphone and
radio transmitter is known as :
•
•
•
•
a.
b.
c.
d.
A bug
A wiretap
A tempest
A beeper
6. A clandestine listening device,
generally a small hidden microphone and
radio transmitter is known as :
•
•
•
•
a.
b.
c.
d.
A bug
A wiretap
A tempest
A beeper
7. A microphone with a large disk-like
attachment used for listening to audio from
great distances is known as:
•
•
•
•
a.
b.
c.
d.
Contact microphone
Spike microphone
Parabolic microphone
Moving coil microphone
7. A microphone with a large disk-like
attachment used for listening to audio from
great distances is known as:
•
•
•
•
a.
b.
c.
d.
Contact microphone
Spike microphone
Parabolic microphone
Moving coil microphone
8. Sound waves too high in frequency to
be heard by the human ear, generally
above 20 KHZ are known as:
•
•
•
•
a.
b.
c.
d.
Microwaves
Ultrasonic
High frequency
Short-wave
8. Sound waves too high in frequency to
be heard by the human ear, generally
above 20 KHZ are known as:
•
•
•
•
a.
b.
c.
d.
Microwaves
Ultrasonic
High frequency
Short-wave
9. Two methods of protection against
telephone line eavesdropping are
apparently reliable. The first method is
“don’t discuss sensitive information” and
the other is:
• a. To use a wire tap detector
• b. To use a radio jammer
• c. To use an audio jammer
• d. To use encryption equipment
9. Two methods of protection against
telephone line eavesdropping are
apparently reliable. The first method is
“don’t discuss sensitive information” and
the other is:
• a. To use a wire tap detector
• b. To use a radio jammer
• c. To use an audio jammer
• d. To use encryption equipment
10. The unauthorized acquisition of
sensitive information is known as:
•
•
•
•
a.
b.
c.
d.
Industrial espionage
Embezzlement
Larceny
False pretenses
10. The unauthorized acquisition of
sensitive information is known as:
•
•
•
•
a.
b.
c.
d.
Industrial espionage
Embezzlement
Larceny
False pretenses
11. Proprietary information is:
• a. Information which must be so classified
under government order
• b. Private information of highly sensitive
character
• c. Defense data which must be classified
according to federal regulations
• d. Anything that an enterprise considers
relevant to its status or operations and
does not want to disclose publicly
11. Proprietary information is:
• a. Information which must be so classified
under government order
• b. Private information of highly sensitive
character
• c. Defense data which must be classified
according to federal regulations
• d. Anything that an enterprise considers
relevant to its status or operations and
does not want to disclose publicly
12. A trade secret is:
• a. Any formula, pattern, device or compilation of
information which is used in one’s business and
which gives that business an opportunity to gain
an advantage over competitors who do not know
or use it
• b. All information about a company which the
company desires to protect
• c. Information of a company which is registered as
such with the Patent Office
• d. Information so designated by the government
12. A trade secret is:
• a. Any formula, pattern, device or compilation of
information which is used in one’s business and
which gives that business an opportunity to
gain an advantage over competitors who do not
know or use it
• b. All information about a company which the
company desires to protect
• c. Information of a company which is registered as
such with the Patent Office
• d. Information so designated by the government
13. The control software of a Private Board
Exchange (PBX) can be accessed and compromised
by calling the telephone number of a device on the
PBX from a computer and modem. The name of
this PBX device is the:
•
•
•
•
a.
b.
c.
d.
Time Domain Reflectometer
Remote Maintenance Access Terminal
Current Carrier Signaling Port
Internal and Remote Signal Port
13. The control software of a Private Board
Exchange (PBX) can be accessed and compromised
by calling the telephone number of a device on the
PBX from a computer and modem. The name of
this PBX device is the:
•
•
•
•
a.
b.
c.
d.
Time Domain Reflectometer
Remote Maintenance Access Terminal
Current Carrier Signaling Port
Internal and Remote Signal Port
14. Which of the following is generally
not true in regard to proprietary
information?
• a. Secret information does not have to be
specifically identifiable
• b. Secret information must be such that it
can be effectively protected
• c. The more narrowly a business defines what it
regards as secret, the easier it is to protect that
body of information
• d. It is difficult to protect as a trade secret that
which can be found in publicly accessible
sources
14. Which of the following is generally
not true in regard to proprietary
information?
• a. Secret information does not have to be
specifically identifiable
• b. Secret information must be such that it
can be effectively protected
• c. The more narrowly a business defines what it
regards as secret, the easier it is to protect that
body of information
• d. It is difficult to protect as a trade secret that
which can be found in publicly accessible
sources
15.
With respect to trade secrets, it may be decided
that its disclosure by another was innocent rather than
wrongful even in the case where the person making the
disclosure really was guilty of malice or wrong intent.
This situation may occur when:
• a. There is absence of evidence that an owner
has taken reasonable precautions to protect
confidential information
• b. The trade secret was not registered
• c. The trade secret did not involve national
defense information
• d. The trade secret was not in current use
15.
With respect to trade secrets, it may be decided
that its disclosure by another was innocent rather than
wrongful even in the case where the person making the
disclosure really was guilty of malice or wrong intent.
This situation may occur when:
• a. There is absence of evidence that an owner
has taken reasonable precautions to protect
confidential information
• b. The trade secret was not registered
• c. The trade secret did not involve national
defense information
• d. The trade secret was not in current use
16. The class of person under a duty to
safeguard a proprietary secret is known as:
•
•
•
•
a.
b.
c.
d.
Agents
Principals
Fiduciaries
Business Associates
16. The class of person under a duty to
safeguard a proprietary secret is known as:
•
•
•
•
a.
b.
c.
d.
Agents
Principals
Fiduciaries
Business Associates
17. Which of the following is not a correct
statement, or a general rule, involving the
protection of proprietary information?
• a.
• b.
• c.
• d.
By operation of common law employees are presumed to
be fiduciaries to the extent they may not disclose secrets of
their employers without authorization
As a class, employees are the largest group of persons
bound to secrecy because of their status or relationship
Other than employees, any other persons to be bound to
secrecy must agree to be so bound
Any agreements to be bound must always be in writing
and are not implied from acts
17. Which of the following is not a correct
statement, or a general rule, involving the
protection of proprietary information?
• a.
• b.
• c.
• d.
By operation of common law employees are presumed to
be fiduciaries to the extent they may not disclose secrets of
their employers without authorization
As a class, employees are the largest group of persons
bound to secrecy because of their status or relationship
Other than employees, any other persons to be bound to
secrecy must agree to be so bound
Any agreements to be bound must always be in writing
and are not implied from acts
18. Probably the chief reason for the loss of
information about sensitive operations is:
•
•
•
•
a.
b.
c.
d.
Deliberately stolen by an outsider
Loss by fire or other disaster
Deliberately stolen by insider
Lost through inadvertent disclosure
18. Probably the chief reason for the loss of
information about sensitive operations is:
•
•
•
•
a.
b.
c.
d.
Deliberately stolen by an outsider
Loss by fire or other disaster
Deliberately stolen by insider
Lost through inadvertent disclosure
19. The term “eavesdropping” refers to:
•
•
•
•
a.
b.
c.
d.
Wiretapping only
“Bugging” only
Both wiretapping and “bugging”
Mail covers
19. The term “eavesdropping” refers to:
•
•
•
•
a.
b.
c.
d.
Wiretapping only
“Bugging” only
Both wiretapping and “bugging”
Mail covers
20. A microphone which has the characteristics
of requiring no power source to operate it, is
quite small, relatively difficult to detect, and is
offered by equipment suppliers in such items as
cuff links and hearing aides is known as:
•
•
•
•
a.
b.
c.
d.
Carbon microphone
Dynamic microphone
Contact microphone
Parabolic microphone
20. A microphone which has the characteristics
of requiring no power source to operate it, is
quite small, relatively difficult to detect, and is
offered by equipment suppliers in such items as
cuff links and hearing aides is known as:
•
•
•
•
a.
b.
c.
d.
Carbon microphone
Dynamic microphone
Contact microphone
Parabolic microphone
21. A microphone which is normally
installed on a common wall adjoining a
target area when it is impractical or
impossible to enter the area to make a
microphone installation is:
•
•
•
•
a.
b.
c.
d.
Carbon microphone
Dynamic microphone
Contact microphone
Parabolic microphone
21. A microphone which is normally
installed on a common wall adjoining a
target area when it is impractical or
impossible to enter the area to make a
microphone installation is:
•
•
•
•
a.
b.
c.
d.
Carbon microphone
Dynamic microphone
Contact microphone
Parabolic microphone
22. Which of the following is not true with
regard to electronic eavesdropping:
• a.
• b.
• c.
A listening device installed in a wire will cause a
crackling sound, click or other noise than can be heard
on the line
An effective countermeasures survey to detect evidence
of electronic eavesdropping in telephone equipment
must be conducted by a person technically familiar with
such equipment
All wiring should be traced out and accounted for in a
countermeasures survey
• d. In a countermeasures survey to detect electronic
eavesdropping. A physical search should be
utilized as well as an electronic search
22. Which of the following is not true with
regard to electronic eavesdropping:
• a.
• b.
• c.
A listening device installed in a wire will cause a
crackling sound, click or other noise than can be
heard on the line
An effective countermeasures survey to detect evidence
of electronic eavesdropping in telephone equipment
must be conducted by a person technically familiar with
such equipment
All wiring should be traced out and accounted for in a
countermeasures survey
• d. In a countermeasures survey to detect electronic
eavesdropping. A physical search should be
utilized as well as an electronic search
23. In designing a proprietary information
protection program, the area of greatest
vulnerability is:
•
•
•
•
a.
b.
c.
d.
Personnel files
Marketing data
Employees
Computers
23. In designing a proprietary information
protection program, the area of greatest
vulnerability is:
•
•
•
•
a.
b.
c.
d.
Personnel files
Marketing data
Employees
Computers
24. Two of the three most common methods
of information losses are inadvertent
disclosure and industrial espionage. Which of
the following is the third:
•
•
•
•
a.
b.
c.
d.
Newspaper articles
Television
Magazine articles
Theft by an insider
24. Two of the three most common methods of
information losses are inadvertent disclosure and
industrial espionage. Which of the following is
the third:
•
•
•
•
a.
b.
c.
d.
Newspaper articles
Television
Magazine articles
Theft by an insider
25. Which of the following statements is
incorrect with regard to an information
security program?
• a.
• b.
• c.
• d.
A good information security program will provide
absolute protection against an enemy spy
The information security program is an attempt to
make theft of sensitive information difficult, not
necessarily eliminate it
A trust relationship must be established and
maintained with employees
The good will and compliance of employees is crucial
for success
25. Which of the following statements is
incorrect with regard to an information
security program?
• a.
• b.
• c.
• d.
A good information security program will provide
absolute protection against an enemy spy
The information security program is an attempt to
make theft of sensitive information difficult, not
necessarily eliminate it
A trust relationship must be established and
maintained with employees
The good will and compliance of employees is crucial
for success
26. Vital records normally constitute the
following percentage of the company’s total
records:
•
•
•
•
a.
b.
c.
d.
2%
5%
10%
15%
26. Vital records normally constitute the
following percentage of the company’s total
records:
•
•
•
•
a.
b.
c.
d.
2%
5%
10%
15%
27. A specially constructed microphone
attached directly to an object or surface to
be protected and which responds only when
the protected object or surface is disturbed
is known as:
•
•
•
•
a.
b.
c.
d.
Parabolic microphone
Special audio microphone
Contact microphone
Surreptitious microphone
27. A specially constructed microphone
attached directly to an object or surface to
be protected and which responds only when
the protected object or surface is disturbed
is known as:
•
•
•
•
a.
b.
c.
d.
Parabolic microphone
Special audio microphone
Contact microphone
Surreptitious microphone
28. “Social engineering” is:
• a. The conversation involved in the beginning of a
romantic relationship
• b. A function of the personnel department in which
like persons are teamed together in workshops or
seminars for maximum productivity
• c. The subtle elicitation of information without
revealing the true purpose of the call
• d. The specific design of a business structure to
facilitate the interaction of the inhabitants
28. “Social engineering” is:
• a. The conversation involved in the beginning of a
romantic relationship
• b. A function of the personnel department in which
like persons are teamed together in workshops or
seminars for maximum productivity
• c. The subtle elicitation of information without
revealing the true purpose of the call
• d. The specific design of a business structure to
facilitate the interaction of the inhabitants
29.
A former employee, who had access to your trade
secret information, is now employed by a competitor and is
apparently using the trade secret information to gain market
share. There are several serious factors you should consider
before you institute litigation in the matter. Which of the
following is not a serious factor to be considered?
• a. You may have to expose the very secrets you are
attempting to protect
• b. The cost of the litigation may exceed the value of the
secret information
• c. You may lose your case
• d. Other employees may leave the company and attempt
to use trade secret information in the business of a
new employer
29.
A former employee, who had access to your trade
secret information, is now employed by a competitor and is
apparently using the trade secret information to gain market
share. There are several serious factors you should consider
before you institute litigation in the matter. Which of the
following is not a serious factor to be considered?
• a. You may have to expose the very secrets you are
attempting to protect
• b. The cost of the litigation may exceed the value of the
secret information
• c. You may lose your case
• d. Other employees may leave the company and attempt
to use trade secret information in the business of a
new employer
30. Electromagnetic radiation is
detectable electromagnetic energy is
generated by electronic information
processing devices. Which of the following
is used to protect very sensitive equipment?
•
•
•
•
a.
b.
c.
d.
A current carrier device
Pneumatic cavity shielding
Tempest shielding
Pen register shielding
30. Electromagnetic radiation is
detectable electromagnetic energy is
generated by electronic information
processing devices. Which of the following
is used to protect very sensitive equipment?
•
•
•
•
a.
b.
c.
d.
A current carrier device
Pneumatic cavity shielding
Tempest shielding
Pen register shielding
Significant Notes
Sensitive Information
The basis for any industrial
espionage prevention program is
protection of information
There are many kinds of
information which a company
would like to keep in a
confidential status but not all
such information could be
classified as “trade secrets”
One definition of “trade secret” is “information including
formula, pattern, compilation, program, device, method,
technique or process that;
a.
Derives independent economic value, actual or
potential, from not being generally known to and
not being readily ascertainable by proper means,
by other persons who can obtain economic value
from its disclosure or use, and
b.
Is the subject of efforts that are reasonable
under the circumstances to maintain its secrecy.
“Proprietary information” is
information of value owned by or
entrusted to a company which
relates to the operations of the
company and which has not been
disclosed publicly
A “trade secret” is part of a
company’s proprietary information
but not all propriety information
necessarily fits the definition of
“trade secret” information
Generally “trade secrets” are given a
higher degree of legal protection
than other proprietary information
There are three basic requirements
of a “trade secret”
a.
b.
c.
Must be of competitive advantage
Must be secret
Must be used in the business of
the owner
Information must meet the following requirements to fit
the definition required of a “trade secret”
a.
b.
c.
d.
e.
Must be specifically identifiable
Cannot be found in publicly accessible sources
Should be disclosed by owner only to those under a
duty to protect secrecy
Persons afforded knowledge of secret information
must know it to be confidential
The owners must be able to show they have
instituted adequate protective measures to
safeguard secrecy of date
Unless the owner of a trade secret
can furnish proof of diligent care
in the protection of a trade secret,
such trade secret may be lost
Patent laws provide that an inventor
who first develops a new machine,
manufacturing process, composition
or matter, plan or design that is
sufficiently novel and useful can
apply for and receive an exclusive
right to that invention for a period of
17 years
“Inadvertent disclosure”
probably is the chief reason for
loss of information about
sensitive operations
One method important in
protection of sensitive
information is installing an
effective “awareness program” to
assure all employees are aware of
the existence of sensitive data in
the company and their
responsibilities in protecting such
Another important protective
device is the use of “nondisclosure
agreements”(employee patent and
secrecy agreements) from employees
in which the employees
acknowledge their fiduciary
responsibility
A “non-competitive agreement” is
agreement on part of employee upon
leaving employment of one company
that the employee will not accept
employment with a defined
competitor for a stated period of
time
A telephone instrument may
also be utilized as a listening
device
In an electronic countermeasure
survey, note that light switches
and electrical outlets are favorite
places to install listening devices
Most loss of proprietary information
occurs because of negligence
One very important protective
measure used to safeguard
sensitive data is to disclose such
only in a need-to-know basis
Theft of sensitive information through
industrial espionage methods or other
methods of outside theft accounts for a
smaller loss than through negligence;
however, the loss through outside theft
is more dangerous because the data
stolen is usually the most valuable
One of the biggest problems in
designing a proprietary information
protection program is caused by the
large amount of vital data processed
and analyzed electronically
Employees are the greatest vulnerability
in a proprietary information protection
program. Accordingly, an employee
awareness program is necessary
whereby they are educated with regard
to their responsibilities in protecting
sensitive data.
Definitions
• Proprietary Information
– Information over which the possessor
asserts ownership and which is related
to the activities or status of the
possessor in some special way
Definitions
• Patent
– A government grant conveying and
securing the exclusive right to make,
use, and sell an invention for a term
of years (seventeen)
Trade Secret
• A trade Secret is a process or device for
continuous use in the operation of the
business
• For trade secret protection, must prove
– Secrecy
– Value
– Use in the owner’s business
Trade Secret
• Trade Secret information is
entitled by law to more
protection than other kinds of
proprietary information
Trade Secret
• The following are not trade secrets:
– Salary information
– Rank surveys
– Customer usage evaluation
– Profitability margins
– Unit costs
– Personnel changes
Trade Secret / Patent
• A trade secret remains secret as
long as it continues to meet trade
secret tests but the exclusive right
to patent protection expires after
17 years
Trade Secret / Patent
• Since anyone can purchase a
patent, there are not industrial
espionage targets in a patented
invention
• Trade Secrets are targets
Proprietary Information
• Two approaches used to deal with P.I.:
• “Property Concept”
– regards the information as having independent
value if it amounts to a trade secret
• “Fiduciaries”
– Imposition of duties upon certain classes of
people, other than the owner not to use or
divulge info without owner’s consent.
Proprietary Information
• There are 3 broad threats to proprietary
information:
– It can be lost through inadvertent disclosure
– It can be deliberately stolen by an outsider
– It can be deliberately stolen by an insider
Competitive Intelligence Gathering
• The most important function of
competitive intelligence gathering is to
alert senior management to
marketplace changes in order to
prevent surprise
Competitive Intelligence Gathering
• A rich source of information is in
the information provided to
government regulators
• Never reveal information to anyone that
you would not reveal to a competitor
Industrial Espionage
• Industrial espionage is the theft of
information by legal or illegal means. It
is more dangerous than inadvertent
disclosure by employees in that highly
valuable information is stolen for release
to others who plan to exploit it.
Protection Programs
• The vulnerability assessment is conducted from
the perspective of the competitor and considers:
– What critical information exists
– The period of time when the information is
critical. This may be a short period or may be
for the life of a product
– The identity of employees and indirect
associates who have access to the information
Eavesdropping Tactics & Equipment
• “Wiretapping” - is the interception of
communication over a wire w/o participants
consent and requires physical entry into the
communication circuit
• “Bugging” - interception of communication
w/o participants consent by means of
electronic devices and w/o penetration of a
wire.
Eavesdropping Tactics & Equipment
• Eavesdropping is a psychological
traumatic experience for the
victim.
• It is the most devastating of
espionage techniques.
Wired microphones
• Carbon microphone
– commonly used in a standard telephone handset
• Crystal microphone
– generates a small electrical current when the
crystal is vibrated by sound waves
• Contact microphone
– installed on a common wall with the target area
Wired microphones
• Spike microphone
– installed in a hole in the common wall
(not fully through)
• Dynamic microphone
– movement of a small wire near a permanent
magnet converts sound into electrical energy.
Good eavesdropping device which operates as a
loudspeaker in reverse
Wired microphones
• Pneumatic cavity device
– has a specially designed small cavity which picks
up surface vibrations. (Glass tumbler effect)
• Condenser microphone
– high fidelity use. Fragile and sensitive
• Electret microphone
– used primarily in P.A. and audio recording.
(Extremely small)
Wired microphones
• Omnidirectional microphone
– used in conferences. Picks up sound from many
directions around the room
• Cardioid microphone
– picks up sound from directly in front of mic
• Parabolic microphone
– gathers audio energy and directs it to a
conventional microphone in the center of a dishtype reflector
Wireless microphones
• A radio frequency (RF) device. Consists of:
– A microphone
– A transmitter
– A power supply
– An antenna; and,
– A receiver
Light transformation
• 1. Infrared light wave transmissions use
light waves invisible to the human eye.
Sound waves are converted to electronic
impulses and the pulses are used to
modulate infrared light waves. Similar to a
TV remote
Light transformation
• 2. Laser (Light Amplification by Stimulated
Emission of Radiation) transmission of sound
does not require any equipment in the
surveillance area. A laser beam focused on a
window pane or a reflective object in the
room. The vibrating glass modulates a
reflected laser beam. Rarely used due to
interference.
Light transformation
• 3. Fiber optic laser transmission uses a
communications grade glass fiber, filled with
laser light, routed through the surveillance
area. Sound waves cause the fiber to vibrate
slightly, altering the laser light.
Electromagnetic radiation
• Detectable electromagnetic energy is
generated by electronic information
processing devices. Detection is possible
for several hundred feet. The “faraday
cage” or “tempest shielding” is used for
very sensitive equipment.
Telephone eavesdropping
• Digital systems - originally thought to
be secure:
• Digit stream can be recorded and converted
to analog and speech.
• The control system is available from an onsite terminal or from off-site through the
network. (Remote Maintenance Access
Terminal) (RMAT)
The Eavesdropping Threat
• Risk for the electronic eavesdropper is low:
–
–
–
–
–
electronic eavesdropping is easily committed
chances are low that victim will find the device
chances low, if found, can be tied to eavesdropper
prosecution of eavesdropping cases is rare; and,
the reward far outweighs the risk
Miscellaneous
• Plenum
– space above a dropped ceiling
• Variable Path Encryption (VPE)
• is particularly useful to secure cellular signals. A
call is made to a toll-free number of the VPE
provider. A unit attached to the cellular set and a
unit at the VPE provider alter the communication
between them. The signal is sent in the clear from
the VPE provider to the intended destination of
the call
Miscellaneous
• Time domain reflectometry
– an electronic picture of the telephone
line at a given time which is compared
to the same line at a future time
Miscellaneous
• Audio masking
– generation of noise at the perimeter
of the secure area to cover or mask
conversation. Music is not used;
“white” or “pink” noise is not as easily
filtered from the tape
Security Management
Sample Questions
1. One supervisor can effectively control
only a limited number of people and that
limit should not be exceeded. This principle
is called:
•
•
•
•
a.
b.
c.
d.
Unity of command
Supervisory limits
Span of control
Line of discipline
1. One supervisor can effectively control
only a limited number of people and that
limit should not be exceeded. This principle
is called:
•
•
•
•
a.
b.
c.
d.
Unity of command
Supervisory limits
Span of control
Line of discipline
2. An important principle of organization
is that an employee should be under the
direct control of one and only one immediate
supervisor. This principle is :
•
•
•
•
a.
b.
c.
d.
Unity of command
Supervisory limits
Span of control
Line of discipline
2. An important principle of organization
is that an employee should be under the
direct control of one and only one immediate
supervisor. This principle is :
•
•
•
•
a.
b.
c.
d.
Unity of command
Supervisory limits
Span of control
Line of discipline
3. From an organizational standpoint,
the head of security should report to:
•
•
•
•
a.
b.
c.
d.
Superintendent of buildings
Manager of buildings and grounds
Head housekeeper
A vice-president or higher
3. From an organizational standpoint,
the head of security should report to:
•
•
•
•
a.
b.
c.
d.
Superintendent of buildings
Manager of buildings and grounds
Head housekeeper
A vice-president or higher
4. The most conspicuous role of the
security department in any organization is
that of:
•
•
•
•
a.
b.
c.
d.
Educational services
Management services
Special services
Protective services
4. The most conspicuous role of the
security department in any organization is
that of:
•
•
•
•
a.
b.
c.
d.
Educational services
Management services
Special services
Protective services
5. Training sessions consisting of a
security awareness program for new
employees should be conducted by:
•
•
•
•
a.
b.
c.
d.
Special training officers
Security personnel
Consultants skilled in training
Member of management
5. Training sessions consisting of a
security awareness program for new
employees should be conducted by:
•
•
•
•
a.
b.
c.
d.
Special training officers
Security personnel
Consultants skilled in training
Member of management
6.
•
•
•
•
There are necessary and legitimate
exceptions to the principle of unity of command.
One condition which sometimes allows for
shifting in supervision is:
a. When order is given by the rank of captain or
above
b. When order is given by the head of a department
c. When the order is given by the head of internal
affairs
d. During emergencies
6.
•
•
•
•
There are necessary and legitimate
exceptions to the principle of unity of command.
One condition which sometimes allows for
shifting in supervision is:
a. When order is given by the rank of captain or
above
b. When order is given by the head of a department
c. When the order is given by the head of internal
affairs
d. During emergencies
7. Perhaps the most common
shortcoming in the security industry is:
• a. Lack of support by top management
• b. Failure to properly prepare and equip
new supervisors with tools to discharge
their important responsibilities
(supervisor training)
• c. Lack of planning
• d. Lack of monetary resources
7. Perhaps the most common
shortcoming in the security industry is:
• a. Lack of support by top management
• b. Failure to properly prepare and equip
new supervisors with tools to discharge
their important responsibilities
(supervisor training)
• c. Lack of planning
• d. Lack of monetary resources
8. As a rule, which department of the
company administers the recruiting
activity?
•
•
•
•
a.
b.
c.
d.
The security department
Administrative department
Personnel department
Internal affairs
8. As a rule, which department of the
company administers the recruiting
activity?
•
•
•
•
a.
b.
c.
d.
The security department
Administrative department
Personnel department
Internal affairs
9.
•
•
•
•
In non-entry level recruiting, the
recommended technique is:
a.
b.
c.
d.
“Blind ad”
Open advertisement in newspaper
Advertisement in trade journal
By word of mouth on selective basis
9.
•
•
•
•
In non-entry level recruiting, the
recommended technique is:
a.
b.
c.
d.
“Blind ad”
Open advertisement in newspaper
Advertisement in trade journal
By word of mouth on selective basis
10. Every applicant’s first interview
should be with:
•
•
•
•
a.
b.
c.
d.
The security manager director
The security supervisor
A security line employee
A personnel interviewer
10. Every applicant’s first interview
should be with:
•
•
•
•
a.
b.
c.
d.
The security manager director
The security supervisor
A security line employee
A personnel interviewer
11. The heart of personnel selection is:
•
•
•
•
a.
b.
c.
d.
Polygraph test
Review of application
Interview
Background investigation
11. The heart of personnel selection is:
•
•
•
•
a.
b.
c.
d.
Polygraph test
Review of application
Interview
Background investigation
12. Which of the following is not
recommended policy with regard to
security manuals?
• a. It must be updated on a regular basis
• b. Employees should not be allowed to
have possession of it
• c. The manual should be put in the hands
of all regular security personnel
• d. It should include procedural instructions
for specific incidents
12. Which of the following is not
recommended policy with regard to
security manuals?
• a. It must be updated on a regular basis
• b. Employees should not be allowed to
have possession of it
• c. The manual should be put in the hands
of all regular security personnel
• d. It should include procedural instructions
for specific incidents
13. Discipline is primarily the
responsibility of:
•
•
•
•
a.
b.
c.
d.
The supervisor
The employee
The security manager or director
The inspection division
13. Discipline is primarily the
responsibility of:
•
•
•
•
a.
b.
c.
d.
The supervisor
The employee
The security manager or director
The inspection division
14. Among classical theories of human
behavior in the work environment, one
emphasizes negative aspects of employee
behavior which is known as:
•
•
•
•
a.
b.
c.
d.
The autocrat theory
The custodial theory
The supportive theory
McGregor’s “Theory X”
14. Among classical theories of human
behavior in the work environment, one
emphasizes negative aspects of employee
behavior which is known as:
•
•
•
•
a.
b.
c.
d.
The autocrat theory
The custodial theory
The supportive theory
McGregor’s “Theory X”
15.
Among classical theories of human
behavior in the work environment is one which
suggests that employees do not inherently dislike
work and will actually seek responsibility and
better performance if encouraged to do so. It is
known as:
•
•
•
•
a.
b.
c.
d.
McGregor’s “Theory Y”
McGregor’s “Theory X”
The supportive theory
The motivation theory
15.
Among classical theories of human
behavior in the work environment is one which
suggests that employees do not inherently dislike
work and will actually seek responsibility and
better performance if encouraged to do so. It is
known as:
•
•
•
•
a.
b.
c.
d.
McGregor’s “Theory Y”
McGregor’s “Theory X”
The supportive theory
The motivation theory
16. Dr. Frederick Herzberg developed a
position that motivation comes from work itself,
not from those factors such as salary and job
security. This theory is known as:
•
•
•
•
a.
b.
c.
d.
The supportive theory
The work motivation theory
The custodial theory
McGregor’s “Theory X”
16. Dr. Frederick Herzberg developed a
position that motivation comes from work itself,
not from those factors such as salary and job
security. This theory is known as:
•
•
•
•
a.
b.
c.
d.
The supportive theory
The work motivation theory
The custodial theory
McGregor’s “Theory X”
17. Which of the following is not an
advantage of using in-house (career)
personnel?
• a. Career personnel develop a loyalty to the
department
• b. Career personnel tend to be more ambitious
• c. There is more stability among career
personnel
• d. Career personnel constitute a fixed, limited
cadre or pool of manpower resources
17. Which of the following is not an
advantage of using in-house (career)
personnel?
• a. Career personnel develop a loyalty to the
department
• b. Career personnel tend to be more ambitious
• c. There is more stability among career
personnel
• d. Career personnel constitute a fixed,
limited cadre or pool of manpower
resources
18. Which of the following is known to be
one of the disadvantages of contract
security services?
•
•
•
•
a.
b.
c.
d.
Turnover
Cost
Manpower resource
Skills
18. Which of the following is known to be
one of the disadvantages of contract
security services?
•
•
•
•
a.
b.
c.
d.
Turnover
Cost
Manpower resource
Skills
19. Ideally, the person who should
conduct the inspection of a security
department is:
•
•
•
•
a.
b.
c.
d.
An outside consultant
The second ranking person
The security director or security manager
The ranking sergeant
19. Ideally, the person who should
conduct the inspection of a security
department is:
•
•
•
•
a.
b.
c.
d.
An outside consultant
The second ranking person
The security director or security manager
The ranking sergeant
20. The process of determining the
probability and cost of potential loss is
known as:
•
•
•
•
a.
b.
c.
d.
Probability analysis
Risk assessment
Potential loss analysis
Physical survey
20. The process of determining the
probability and cost of potential loss is
known as:
•
•
•
•
a.
b.
c.
d.
Probability analysis
Risk assessment
Potential loss analysis
Physical survey
21. In conducting background
investigations, it is good policy to:
• a. Not let prospective employee know
investigation is being conducted
• b. Restrict investigation to “confidential”
records checks
• c. Restrict investigation to employment
checks
• d. Advise applicant of forthcoming
investigation and secure his permission
21. In conducting background
investigations, it is good policy to:
• a. Not let prospective employee know
investigation is being conducted
• b. Restrict investigation to “confidential”
records checks
• c. Restrict investigation to employment
checks
• d. Advise applicant of forthcoming
investigation and secure his permission
22. The ultimate responsibility for the
internal security in a department should
rest with:
•
•
•
•
a.
b.
c.
d.
The president
Chairman of the board
Security director
The line supervisor
22. The ultimate responsibility for the
internal security in a department should
rest with:
•
•
•
•
a.
b.
c.
d.
The president
Chairman of the board
Security director
The line supervisor
23. The behavioral scientist whose key
concept is that every executive relates to his
subordinates on the basis of a set of
assumptions termed theory X and theory Y
was formulated by:
•
•
•
•
a.
b.
c.
d.
Abraham Maslow
Douglas McGregor
Warren Bennis
B.F. Skinner
23. The behavioral scientist whose key
concept is that every executive relates to his
subordinates on the basis of a set of
assumptions termed theory X and theory Y
was formulated by:
•
•
•
•
a.
b.
c.
d.
Abraham Maslow
Douglas McGregor
Warren Bennis
B.F. Skinner
24. The issuance of weapons to guards is
usually not justified:
• a. In a situation where deterrence is needed
in handling control of large amounts of cash
• b. In situations in which terrorism is a real
threat
• c. In situations where there would be greater
danger to life without weapons than with
them
• d. In a situation where there is no danger to life
safety
24. The issuance of weapons to guards is
usually not justified:
• a. In a situation where deterrence is needed
in handling control of large amounts of cash
• b. In situations in which terrorism is a real
threat
• c. In situations where there would be greater
danger to life without weapons than with
them
• d. In a situation where there is no danger to
life safety
25. In issuing policy statements regarding
the handling of disturbed persons, the
primary consideration is:
• a. Legal liability to the disturbed
• b. Reducing the disturbed person to a form of
benevolent custody and eliminating the
immediate danger
• c. Legal liability to employees and third persons
if restraint not achieved
• d. Employee-community public relations
25. In issuing policy statements regarding
the handling of disturbed persons, the
primary consideration is:
• a. Legal liability to the disturbed
• b. Reducing the disturbed person to a form of
benevolent custody and eliminating the
immediate danger
• c. Legal liability to employees and third persons
if restraint not achieved
• d. Employee-community public relations
26. Spotting the individual loss events
that might take place is the primary step in
dealing with security vulnerability. This
process is called
•
•
•
•
a.
b.
c.
d.
Loss event probability
Threat assessment process
Loss event profile
Actual threat analysis
26. Spotting the individual loss events
that might take place is the primary step in
dealing with security vulnerability. This
process is called
•
•
•
•
a.
b.
c.
d.
Loss event probability
Threat assessment process
Loss event profile
Actual threat analysis
27. The likelihood or probability of risks
affecting the assets becoming actual loss
events is known as:
•
•
•
•
a.
b.
c.
d.
Loss event probability
Loss event profile
Threat analysis control
Threat target control
27. The likelihood or probability of risks
affecting the assets becoming actual loss
events is known as:
•
•
•
•
a.
b.
c.
d.
Loss event probability
Loss event profile
Threat analysis control
Threat target control
28. The impact or effect on the enterprise
if the loss occurs is known as:
•
•
•
•
a.
b.
c.
d.
Loss event profile
Loss event probability
Loss event criticality
Security survey analysis
28. The impact or effect on the enterprise
if the loss occurs is known as:
•
•
•
•
a.
b.
c.
d.
Loss event profile
Loss event probability
Loss event criticality
Security survey analysis
29. Which of the following is considered
to be one of the 3 basic functions of risk
management?
•
•
•
•
a.
b.
c.
d.
Lock control
Barrier control
Disaster management
Loss control
29. Which of the following is considered
to be one of the 3 basic functions of risk
management?
•
•
•
•
a.
b.
c.
d.
Lock control
Barrier control
Disaster management
Loss control
30. Oscar Neuman published a classic in which
he presented ideas and applied strategies from the
New York public housing project to aid in reducing
the risk of being victimized and reducing fear of
crime when on the streets. What is the name of this
book?
•
•
•
•
a.
b.
c.
d.
Crime Prevention
Crime Reduction
Defensible Space
Crime in Architectural Planning
30. Oscar Neuman published a classic in which
he presented ideas and applied strategies from the
New York public housing project to aid in reducing
the risk of being victimized and reducing fear of
crime when on the streets. What is the name of this
book?
•
•
•
•
a.
b.
c.
d.
Crime Prevention
Crime Reduction
Defensible Space
Crime in Architectural Planning
31. From a security perspective, what is
the first factor to be considered in facility
construction?
• a. The identity of experienced consultants
• b. An effective security plan
• c. An architect with knowledge of physical
security
• d. The building site itself
31. From a security perspective, what is
the first factor to be considered in facility
construction?
• a. The identity of experienced consultants
• b. An effective security plan
• c. An architect with knowledge of physical
security
• d. The building site itself
32. A critical on-site examination and analysis
of an industrial plant business, home or public or
private institution to ascertain the present
security status, to identify deficiencies or excesses
to determine the protection needed to make
recommendations to improve the overall security
is the definition of :
•
•
•
•
a.
b.
c.
d.
Security survey
Risk analysis
Full-field inspection
Crime prevention assessment
32. A critical on-site examination and analysis
of an industrial plant business, home or public or
private institution to ascertain the present
security status, to identify deficiencies or excesses
to determine the protection needed to make
recommendations to improve the overall security
is the definition of :
•
•
•
•
a.
b.
c.
d.
Security survey
Risk analysis
Full-field inspection
Crime prevention assessment
33. There are two generally accepted
definitions of risk. These are more
commonly known to risk managers and
security officers as:
•
•
•
•
a.
b.
c.
d.
Potential risk and dynamic risk
Profit risk and dynamic risk
Potential risk and pure risk
Pure risk and dynamic risk
33. There are two generally accepted
definitions of risk. These are more
commonly known to risk managers and
security officers as:
•
•
•
•
a.
b.
c.
d.
Potential risk and dynamic risk
Profit risk and dynamic risk
Potential risk and pure risk
Pure risk and dynamic risk
34. The most effective deterrent to
shoplifting is:
• a. Highly competent and educated security
officers
• b. Widespread use of sensor devices
• c. Well positioned CCTV’s
• d. Well trained personnel
34. The most effective deterrent to
shoplifting is:
• a. Highly competent and educated security
officers
• b. Widespread use of sensor devices
• c. Well positioned CCTV’s
• d. Well trained personnel
35. A simplified answer to the question of
why employees steal is:
•
•
•
•
a.
b.
c.
d.
Sickness in family
To feed a drug habit
To live on a higher level
The theft triangle
35. A simplified answer to the question of
why employees steal is:
•
•
•
•
a.
b.
c.
d.
Sickness in family
To feed a drug habit
To live on a higher level
The theft triangle
36. Many experts agree that the most
important deterrent to internal theft is:
•
•
•
•
a.
b.
c.
d.
Threat of dismissal
Fear of discovery
Threat of prosecution
Conscience pangs
36. Many experts agree that the most
important deterrent to internal theft is:
•
•
•
•
a.
b.
c.
d.
Threat of dismissal
Fear of discovery
Threat of prosecution
Conscience pangs
37. Crime analysis is a key element in
focusing the use of police and security
resources to address crime problems. Data
collection and analysis are two specific
steps. The other two are:
•
•
•
•
a.
b.
c.
d.
Inspection and discovery of facts
Response and feedback
Feedback and corrective action
Dissemination and feedback
37. Crime analysis is a key element in
focusing the use of police and security
resources to address crime problems. Data
collection and analysis are two specific
steps. The other two are:
•
•
•
•
a.
b.
c.
d.
Inspection and discovery of facts
Response and feedback
Feedback and corrective action
Dissemination and feedback
38. It is generally accepted that insurance
rates are dependent upon two primary
variables. These are:
• a. Cost of claims and competitors rates
• b. Competition among insurance companies
and frequency of claims
• c. Cost of claims and frequency of claims
• d. Cost of claims and government regulations
38. It is generally accepted that insurance
rates are dependent upon two primary
variables. These are:
• a. Cost of claims and competitors rates
• b. Competition among insurance companies
and frequency of claims
• c. Cost of claims and frequency of claims
• d. Cost of claims and government regulations
39. The basic types of protection which
security personnel realize as best can be
described by the following:
•
•
•
•
a.
b.
c.
d.
Fidelity Bonds
Surety Bonds
Burglary/Robbery/Theft Insurance
All of the above
39. The basic types of protection which
security personnel realize as best can be
described by the following:
•
•
•
•
a.
b.
c.
d.
Fidelity Bonds
Surety Bonds
Burglary/Robbery/Theft Insurance
All of the above
40. Bonds which require that an employee
be investigated by the bonding company to
limit the risk of dishonesty, and if that trust
is violated, the insurance company must
indemnify the employer, are called:
•
•
•
•
a.
b.
c.
d.
Surety Bonds
Fidelity Bonds
Insurance Bonds
Blanket Bonds
40. Bonds which require that an employee
be investigated by the bonding company to
limit the risk of dishonesty, and if that trust
is violated, the insurance company must
indemnify the employer, are called:
•
•
•
•
a.
b.
c.
d.
Surety Bonds
Fidelity Bonds
Insurance Bonds
Blanket Bonds
41. Protection for a corporation, if there
is a failure to perform specified acts within
a certain period of time, is known as a:
•
•
•
•
a.
b.
c.
d.
Contract Bond
Blanket Bond
Surety Bond
Fiduciary Bond
41. Protection for a corporation, if there
is a failure to perform specified acts within
a certain period of time, is known as a:
•
•
•
•
a.
b.
c.
d.
Contract Bond
Blanket Bond
Surety Bond
Fiduciary Bond
42. The urban planning and design
process which integrates crime prevention
techniques with neighborhood design is
known as:
•
•
•
•
a.
b.
c.
d.
Urban Development Planning
Conceptual Modeling in Architecture
Environmental Design
Environmental Security (E/S)
42. The urban planning and design
process which integrates crime prevention
techniques with neighborhood design is
known as:
•
•
•
•
a.
b.
c.
d.
Urban Development Planning
Conceptual Modeling in Architecture
Environmental Design
Environmental Security (E/S)
43. The ability of design to counteract the
perception that the area is isolated and
criminally vulnerable is known as:
•
•
•
•
a.
b.
c.
d.
Natural Surveillance Techniques
Image and Milieu
Soft Area Protection
Territorial Cleansing
43. The ability of design to counteract the
perception that the area is isolated and
criminally vulnerable is known as:
•
•
•
•
a.
b.
c.
d.
Natural Surveillance Techniques
Image and Milieu
Soft Area Protection
Territorial Cleansing
44. The greatest ongoing threat to any
business is:
•
•
•
•
a.
b.
c.
d.
Shoplifting
Shrinkage
Internal Theft
Pilferage
44. The greatest ongoing threat to any
business is:
•
•
•
•
a.
b.
c.
d.
Shoplifting
Shrinkage
Internal Theft
Pilferage
45. Pilferage is defined as stealing in
small quantities over a long period of time.
The taking of property entrusted to
someone’s care is called:
•
•
•
•
a.
b.
c.
d.
Mistake of fact
Misprison of a felony
Uttering
Embezzlement
45. Pilferage is defined as stealing in
small quantities over a long period of time.
The taking of property entrusted to
someone’s care is called:
•
•
•
•
a.
b.
c.
d.
Mistake of fact
Misprison of a felony
Uttering
Embezzlement
46. The theft triangle consists of the
following components:
•
•
•
•
a.
b.
c.
d.
Desire, skill and training
Motivation, skill and opportunity
Opportunity, desire and skill
Motivation, opportunity and
rationalization (Desire)
46. The theft triangle consists of the
following components:
•
•
•
•
a.
b.
c.
d.
Desire, skill and training
Motivation, skill and opportunity
Opportunity, desire and skill
Motivation, opportunity and
rationalization (Desire)
47. A line item budget is the traditional
and most frequently used method of
budgeting. Two other commonly used
budgeting techniques include:
•
•
•
•
a.
b.
c.
d.
Management and program budgets
Capital and program budgets
Program and exception item budgets
Fund allocation and capital budgets
47. A line item budget is the traditional
and most frequently used method of
budgeting. Two other commonly used
budgeting techniques include:
•
•
•
•
a.
b.
c.
d.
Management and program budgets
Capital and program budgets
Program and exception item budgets
Fund allocation and capital budgets
48. A management tool wherein there is a
systematic method of achieving agreed
upon goals set in advance is known as :
•
•
•
•
a.
b.
c.
d.
Matrix Management
Proactive Management
Scheduling Management
Management by Objective
48. A management tool wherein there is a
systematic method of achieving agreed
upon goals set in advance is known as :
•
•
•
•
a.
b.
c.
d.
Matrix Management
Proactive Management
Scheduling Management
Management by Objective
49. The activity concerned with proposals
for the future, an analysis of these
proposals and method for achieving them is
known as:
•
•
•
•
a.
b.
c.
d.
Effective Management
Evaluation Techniques
Planning
Budgeting
49. The activity concerned with proposals
for the future, an analysis of these
proposals and method for achieving them is
known as:
•
•
•
•
a.
b.
c.
d.
Effective Management
Evaluation Techniques
Planning
Budgeting
50. A key element in focusing the use of
police and security resources to address
crime problems is commonly called:
•
•
•
•
a.
b.
c.
d.
Data collection and analysis
Systematic evaluation of data available
Crime analysis
Analysis and feedback
50. A key element in focusing the use of
police and security resources to address
crime problems is commonly called:
•
•
•
•
a.
b.
c.
d.
Data collection and analysis
Systematic evaluation of data available
Crime analysis
Analysis and feedback
51. According to estimates, about 1/3 of
all business failures are caused by:
•
•
•
•
a.
b.
c.
d.
Thefts by outsiders (non-employees)
Thefts by employees
Mismanagement
Poor quality of product
51. According to estimates, about 1/3 of
all business failures are caused by:
•
•
•
•
a.
b.
c.
d.
Thefts by outsiders (non-employees)
Thefts by employees
Mismanagement
Poor quality of product
52. The major item conspicuously absent
from police-based crime prevention
programs was:
• a. Comprehensive training program
• b. Manpower dedicated to crime
prevention concepts
• c. The input of huge number of persons
employed in private security
• d. Use of up-dated technology
52. The major item conspicuously absent
from police-based crime prevention
programs was:
• a. Comprehensive training program
• b. Manpower dedicated to crime
prevention concepts
• c. The input of huge number of persons
employed in private security
• d. Use of up-dated technology
53. What was the most frequent recommendation
made by both law enforcement and security managers
to improve private security and their working
relationships with police?
• a. Higher entry-level pay
• b. Upgrading quality of security personnel
• c. A planned educational program involving
both police and private security
• d. Requirement of being armed
53. What was the most frequent recommendation
made by both law enforcement and security managers
to improve private security and their working
relationships with police?
• a. Higher entry-level pay
• b. Upgrading quality of security personnel
• c. A planned educational program involving
both police and private security
• d. Requirement of being armed
54. The most frequently shared resource
between law enforcement and private
security is:
•
•
•
•
a.
b.
c.
d.
CCTV and other surveillance equipment
Personnel
“Buy money” for stolen goods
Reward money
54. The most frequently shared resource
between law enforcement and private
security is:
•
•
•
•
a.
b.
c.
d.
CCTV and other surveillance equipment
Personnel
“Buy money” for stolen goods
Reward money
55. The main objective of private security is:
• a. To apprehend those who steal property
from their firms
• b. To protect assets and prevent losses
• c. To assist police in investigations of
crimes
• d. To prevent unauthorized persons entry
on firm’s property
55. The main objective of private security is:
• a. To apprehend those who steal property
from their firms
• b. To protect assets and prevent losses
• c. To assist police in investigations of
crimes
• d. To prevent unauthorized persons entry
on firm’s property
56. What is the most frequently
investigated crime by private security?
•
•
•
•
a.
b.
c.
d.
Employee theft
Shoplifting
Bad checks
Embezzlement
56. What is the most frequently
investigated crime by private security?
•
•
•
•
a.
b.
c.
d.
Employee theft
Shoplifting
Bad checks
Embezzlement
57. The two major components of
economic crime have been:
•
•
•
•
a.
b.
c.
d.
Employee theft and corporate bribery
Fraud and embezzlement
White collar and ordinary crime
Computer and ordinary crime
57. The two major components of
economic crime have been:
•
•
•
•
a.
b.
c.
d.
Employee theft and corporate bribery
Fraud and embezzlement
White collar and ordinary crime
Computer and ordinary crime
58. The practice of preventing
unauthorized persons from gaining
information by analyzing electromagnetic
emanations from electronic equipment is
often termed:
•
•
•
•
a.
b.
c.
d.
Tempest
Veiling
Bugging
Hardening
58. The practice of preventing
unauthorized persons from gaining
information by analyzing electromagnetic
emanations from electronic equipment is
often termed:
•
•
•
•
a.
b.
c.
d.
Tempest
Veiling
Bugging
Hardening
59. Which of the following is not a correct
statement with regard to narcotics?
• a. The term “narcotic” in it’s medical meaning refers
to opium and opium derivatives or synthetic
substitutes
• b. They are the most effective agents known for the
relief of intense pain
• c. They have been used for a long period of time as a
remedy for diarrhea
• d. They tend to intensify vision and increase alertness
59. Which of the following is not a correct
statement with regard to narcotics?
• a. The term “narcotic” in it’s medical meaning refers
to opium and opium derivatives or synthetic
substitutes
• b. They are the most effective agents known for the
relief of intense pain
• c. They have been used for a long period of time as a
remedy for diarrhea
• d. They tend to intensify vision and increase alertness
60. Which of the following characteristics
does not pertain to morphine?
• a. It is the principal constituent of opium
• b. Its legal use is restricted primarily to
hospitals
• c. It tastes sweet and is marketed in the
form of yellow crystals
• d. Tolerance and dependence develop
rapidly
60. Which of the following characteristics
does not pertain to morphine?
• a. It is the principal constituent of opium
• b. Its legal use is restricted primarily to
hospitals
• c. It tastes sweet and is marketed in the
form of yellow crystals
• d. Tolerance and dependence develop
rapidly
61. Most of this substance is produced from
morphine; but it is often combined with other
products such as aspirin or Tylenol. It is often
used for the relief of coughs; and it is by far the
most widely used natural occurring narcotic in
medical treatment. It is:
•
•
•
•
a.
b.
c.
d.
Barbiturates
Mescaline
Chloral Hydrate
Codeine
61. Most of this substance is produced from
morphine; but it is often combined with other
products such as aspirin or Tylenol. It is often
used for the relief of coughs; and it is by far the
most widely used natural occurring narcotic in
medical treatment. It is:
•
•
•
•
a.
b.
c.
d.
Barbiturates
Mescaline
Chloral Hydrate
Codeine
62. German scientists synthesized methadone
during World War II because of a shortage of
morphine. Which of the following is not
characteristic of methadone and it’s usage ?
• a. Although chemically unlike morphine and
heroin, it produces many of the same effects
• b. It was distributed under such names as
amidone, dolophine, and methadone
• c. It was widely used in the 1960’s in the
treatment of narcotic addicts.
• d. It is only effective when administered by
injection
62. German scientists synthesized methadone
during World War II because of a shortage of
morphine. Which of the following is not
characteristic of methadone and it’s usage ?
• a. Although chemically unlike morphine and
heroin, it produces many of the same effects
• b. It was distributed under such names as
amidone, dolophine, and methadone
• c. It was widely used in the 1960’s in the
treatment of narcotic addicts.
• d. It is only effective when administered by
injection
63. Which of the following characteristics do not
pertain to the use or effects of depressants generally?
• a. The usual methods of administration are oral
or injected.
• b. Excessive use results in drunken behavior
similar to that of alcohol
• c. There is no danger of tolerance developing
• d. Taken as prescribed, they may be beneficial
for the relief of anxiety and tension
63. Which of the following characteristics do not
pertain to the use or effects of depressants generally?
• a. The usual methods of administration are oral
or injected.
• b. Excessive use results in drunken behavior
similar to that of alcohol
• c. There is no danger of tolerance developing
• d. Taken as prescribed, they may be beneficial
for the relief of anxiety and tension
64. Another widely abused depressant is
methaqualone. All of the following are factually
descriptive of methaqualone except one. Identify
this exception.
• a. It is chemically unrelated to the
barbiturates
• b. It was once mistakenly thought to be
effective as an aphrodisiac.
• c. It is administered orally
• d. It is one of the depressants that does not
lead to tolerance and dependence.
64. Another widely abused depressant is
methaqualone. All of the following are factually
descriptive of methaqualone except one. Identify
this exception.
• a. It is chemically unrelated to the
barbiturates
• b. It was once mistakenly thought to be
effective as an aphrodisiac.
• c. It is administered orally
• d. It is one of the depressants that does
not lead to tolerance and dependence.
65. All of the following are controlled
substances grouped as stimulants except one.
Identify the exception.
• a. Cocaine
• b. Amphetamines
• c. Phenmetrazine
• d. Mescaline
65. All of the following are controlled
substances grouped as stimulants except one.
Identify the exception.
• a. Cocaine
• b. Amphetamines
• c. Phenmetrazine
• d. Mescaline
66. All of the following are factual statements
descriptive of illicit cocaine except one, which is:
• a. It is distributed on the street as a white to dark
brown powder.
• b. It is often adulterated to about half its volume
by a variety of other ingredients.
• c. This substance is only used through the
process of injection
• d. It is popularly accepted as a recreational drug
66. All of the following are factual statements
descriptive of illicit cocaine except one, which is:
• a. It is distributed on the street as a white to dark
brown powder.
• b. It is often adulterated to about half its volume
by a variety of other ingredients.
• c. This substance is only used through the
process of injection
• d. It is popularly accepted as a recreational drug
67. Which of the following is another
name for cocaine ?
• a. Adipex
• b. Bacarate
• c. Piegine
• d. Snow
67. Which of the following is another
name for cocaine ?
• a. Adipex
• b. Bacarate
• c. Piegine
• d. Snow
68. Which of the following statements does not
pertain to cocaine ?
• a. It has a medical use as a sedative
• b. There is a possibility that sustained use could
result in physical dependence
• c. There is a high possibility that sustained use
could result in psychological dependence
• d. Tolerance is a distinct possibility
68. Which of the following statements does not
pertain to cocaine ?
• a. It has a medical use as a sedative
• b. There is a possibility that sustained use could
result in physical dependence
• c. There is a high possibility that sustained use
could result in psychological dependence
• d. Tolerance is a distinct possibility
69. The effects of illusions and hallucinations
with poor perception of time and distance
possibly indicates the use of which of the
following substances ?
• a. Cannabis
• b. Hallucinogen
• c. Stimulants
• d. Depressants
69. The effects of illusions and hallucinations
with poor perception of time and distance
possibly indicates the use of which of the
following substances ?
• a. Cannabis
• b. Hallucinogen
• c. Stimulants
• d. Depressants
70. All of the following are hallucinogens
except:
• a. LSD
• b. Marihuana
• c. Mescaline
• d. Phencyclidine
70. All of the following are hallucinogens
except:
• a. LSD
• b. Marihuana (it is also a hallucinogen)
• c. Mescaline
• d. Phencyclidine
71. The source of marihuana is the:
• a. Peyote cactus
• b. Mushrooms
• c. Coca plant
• d. Cannabis plant
71. The source of marihuana is the:
• a. Peyote cactus
• b. Mushrooms
• c. Coca plant
• d. Cannabis plant
72. Cannabis products are usually taken:
• a. Through sniffing
• b. Injection
• c. Smoking
• d. By rubbing into the skin
72. Cannabis products are usually taken:
• a. Through sniffing
• b. Injection
• c. Smoking
• d. By rubbing into the skin
73. The condition whereby a user develops an
attachment to the use of a substance due to it’s
ability to satisfy some emotional or personality
need of the person is known as:
•
•
•
•
a.
b.
c.
d.
Tolerance
Physical dependence
Addiction
Psychological Dependence
73. The condition whereby a user develops an
attachment to the use of a substance due to it’s
ability to satisfy some emotional or personality
need of the person is known as:
•
•
•
•
a.
b.
c.
d.
Tolerance
Physical dependence
Addiction
Psychological Dependence
74. The state of periodic or chronic intoxication
produced by the repeated consumption of a
substance is known as:
• a. Tolerance
• b. Addiction
• c. Habituation
• d. Drug dependence
74. The state of periodic or chronic intoxication
produced by the repeated consumption of a
substance is known as:
• a. Tolerance
• b. Addiction
• c. Habituation
• d. Drug dependence
Significant Notes
•Security Management
In the organizational structure of proprietary
firms, security may provide both line and staff
functions
a.
When advising senior executives, the
security manager performs “staff”duties
b.
In security operations, the security manager
carries out “line” duties
As a general rule, “line” duties are considered to be
operational in nature and “staff” duties are of a
support nature
When security managers exercise
authority delegated by a senior
executive to whom they report,
such authority is known as
“functional” authority
Security functions cut across
departmental lines and consist of
involvement into every activity
of the company but should not
involve significant interference
Probably the most common
security management failure is
the inability to delegate
responsibility and the authority
necessary to carry it out
“Span of control” is a
management term which refers
to the number of personnel over
which one can effectively
supervise
The largest single item of
expense in the security
operation is the cost of the
security personnel
The number of security personnel
required to cover a single post
around the clock on three eighthour shifts is 4-1/2 to 5 persons
Not 3
“Chain of command” is a
management term which refers
to the path along which
authority flows
Well-trained, well-supervised
security personnel may be the
best possible protection
available to a company
The accounting department of a
company is the most vulnerable
to major loss due to crime
“Unity of command” is a
management concept which
means that an employee should
have only one immediate
superior to whom the employee
should report
The security manager should have
the necessary authority to carry out
responsibilities. To accomplish this,
the security manager should occupy a
position where the manager reports
directly to a vice-president or higher
The “Theory X” management
theory holds that the average
employee has little ambition,
dislikes work and must be
coerced, controlled and directed
to achieve organizational
objectives - Douglas McGregor
The “Theory Y” management
theory holds that the average
employee does not dislike work,
is self-directed, is creative and
imaginative, accepts
responsibility and is committed
to achieving organizational
needs and objectives Douglas McGregor
Theory X and Theory Y
were
developed by
Douglas McGregor
Those in management who believe
the behavioral assumption of
“Theory X” take an autocratic
approach to get work done.
Whereas “Theory Y” encourages
managers to support and
encourage employees in efforts to
higher achievement
The three main theories of
organizational behavior are:
a. Autocratic theory
b. Custodial theory
c. Supportive theory
The “autocratic theory” holds
that management is all-powerful
and employees are obligated to
follow orders without question
The “custodial theory” holds that
the aim of the company is to make
the employee happy and contented
through economic benefits and thus
they will be positively adjusted to
their work. This theory does not
motivate employees to produce to
their full capacity
The “supportive theory” holds
that through good leadership,
management will provide a
climate where employees will
take on added responsibilities and
thus make greater contributions
to the growth of the company.
Leadership: “We rather than they”
“Herzberg’s theory” is a
management theory which holds
that motivation comes from
work achievement satisfaction
and not from such things as
salary and job security
“Theory Z” is a recent
management style used
effectively by the Japanese.
This theory emphasizes
humanized working conditions
along with attention by
management to enhance trust
and close personal relationships
“Management by objectives”
also known as “MBO” was
introduced by Peter Drucker. In
this approach, both subordinate
and superior agree on
measurable goals to be achieved
primarily by the subordinate over
a stated period of time
A “budget” is a plan stated in
financial terms. It sets forth in
dollars the necessary allocation
of funds to achieve the plan
“Risk analysis” is a management
method used to minimize risks
through application of security
measures commensurate with the
threat
The major resource required for
a risk analysis is
manpower
The most important
management skill
is the ability to
communicate effectively
Written communication
is the
best
means to communicate
The primary objective in
implementing a protection
program within an organization
should be to motivate every
employee to become part of the
protection team
Both private security and public
law have, as their primary
mission, the prevention of crime
and protection of persons and
property
“Economic crime” is defined as the
illicit behavior having as its object
the unjust enrichment of the
perpetrator at the expense of the
economic system as a whole
Private security relies upon both
commercial security services and
government agencies for
intelligence gathering and crisis
management planning
Private security frequently avoids
or bypasses police with regard to
white collar or economic crime
Business crime is most effectively
attacked through sound
management controls. The
emphasis on loss prevention
rather than the “offender”
involved in the incident is a
distinguishing characteristic of
private security.
About 95% to 99%
of activated alarms
are “false”
The main deterrent value of a
burglar alarm system is that the
alarm signal enunciated locally or
transmitted to a central station
brings a police response
Employee theft
was the
most frequently
investigated crime
by
private security
As a general rule, local law
enforcement has very little effect
on many crimes against business.
Exceptions are burglaries,
robberies and arson
Frequently cited measures for
improving private security are:
a. More or better training
b. Mandated training
c. Improved selection process
d. Higher wages
e. Establishment or improvement
of licensing and regulation
Two problems in police and security
relationships which seem to have the
greatest intensity of feelings are:
a. Secondary employment or
moonlighting by police officers
in private security
b. Police response to activated
alarms which are largely false
The two major components of
economic crime are white collar
and ordinary crime
80% of computer security
incidents result from insider
attacks by dishonest and
disgruntled employees
Only 1% of computer security
incidents annually are attributed
to “hackers”
The practice of preventing
unauthorized persons from
gaining intelligence information
by analyzing electromagnetic
emanations from electronic
equipment such as computers, is
often termed “tempest”
In the year 2000, expenditures for
private security industry will be
$104 billion while public law
enforcement expenditures will be
only $44 billion by 2000
Employment in private security is
projected to grow at 2.3% per
annum to 2000 while law
enforcement growth will be one
percent annually
The term “narcotic” in its medical
meaning refers to opium and
opium derivatives or synthetic
substitutes
“Drug dependence” is a condition
resulting from repeated use
whereby the user must administer
progressively larger doses to
attain the desired effect, thereby
reinforcing compulsive behavior
“Physical dependence” refers to an
alteration of the normal functions
of the body that necessitates the
continued presence of a drug in
order to prevent the withdrawal or
abstinence syndrome
The poppy
(papaver somnifferum)
is the main source of the
non-synthetic narcotics
Examples of synthetic narcotics,
which are produced entirely
within the laboratory, are
meperidine and methadone
Depressants have a potential for
both physical and psychological
dependence. Some examples :
a. Chloral Hydrate
b. Barbiturates
c. Benzodiazepines
When “depressant” drugs are
used to obtain a “high” they are
usually taken in conjunction with
another drug, such as alcohol
“Stimulants” are drugs which
may produce a temporary sense
of exhilaration, superabundant
energy and hyperactivity
including extended wakefulness.
Examples are cocaine and
amphetamines
The two most prevalent
stimulants are nicotine and
caffeine, both accepted in our
culture
The most potent stimulant of
natural origin is cocaine which is
extracted from the leaves of the
coca plant
Excessive doses of cocaine may
cause seizures and death. There
is no “safe” dose of cocaine
“Marijuana” refers to cannabis
plant parts and extracts that
produce somatic or psychic
changes in humans
The hemp plant grows wild
throughout most of the tropic and
temperate regions of the world
“Hallucinogenic” drugs distort the
perception of objective reality.
Examples are:
a.
b.
c.
d.
LSD
Mescaline and peyote
Phencyclidine (PCP)
Amphetamine Variants
(such as DOM and DOB)
Long after hallucinogens are
eliminated from the body, users
may experience “flashbacks”
DOM, DOB, JDA, MDMA, DET
and MDA are hallucinogens which
are synthesized in the laboratory
Another source of hallucinogens
(psilocybin and psilocyn) is
psilocybe mushrooms
“Designer” drugs are analogues of
controlled substances with slight
variations in their chemical
structure so as not to be
specifically listed as a controlled
substance
A “drug” is a substance which,
because of its chemical make-up,
alters the mood, perception or
consciousness of the user. All
drugs are not illegal.
The most abused “drug” is alcohol
and the most used “drug”
also alcohol
“Tolerance” is a body condition
wherein ever-increasing amounts
of a drug are needed to gain the
desired effect
The street name for
PCP
is
“angel dust”
The person most likely to
become an alcoholic is a white
male over 40 who is living alone
The following behavioral characteristics are
associated with substance abuse:
a.
b.
c.
d.
e.
f.
g.
h.
I.
j.
Abrupt changes in attendance, quality of work grades
and work output
Attitude changes
Withdrawal from responsibility
Breakdown in personal appearance
Wearing sunglasses at inappropriate times
Wears long-sleeved garments to hide needle marks
Association with known substance abusers
Excessive borrowing of money
Stealing small items from home, work or school
Secretive habits
Internal Accounting - Audit
• To insure correctness and
accuracy of accounting records
• Not to detect theft and fraud
• More losses due to accounting
errors than by theft
External Audit
• Valuable because the persons
conducting the audit do not know
your business / company
Financial Aspects
• “CL” • “L/T” -
Current Liability
Long term Liability
Payroll
• Biggest problem is “Ghosting”
– Paying people that don’t exist
• Can use “Pay-out” to detect Ghosting
– manually paying each employee
• Recommended twice a year
Internal Cash
• Best way to handle is using two
people at all times to handle cash
situations
Payables
• Money owed to vendors
Receivables
• Money owed by customers
General Management
• Line Executives are those who are
delegated chain of command
authority to accomplish specific
objectives in the organization.
General Management
• The security manager, in
exercising authority delegated by
the senior executive to whom the
security manager reports, is
exercising functional authority
General Management
• Chain of Command is the path
along which authority flows
General Management
• Span of Control - the number of
personnel which one individual
can effectively control
• 1 supervisor to 3 employees - ideal
• 1 supervisor to 6 employees - good
• 1 supv to 12 employees - Acceptable
General Management
• Unity of Command - means that
an employee should be under the
direct control of only one
immediate supervisor
General Management
• The most common management
weakness is the failure to properly
delegate responsibility and the
authority to carry out the
responsibility.
Organizational Chart
• Horizontal plane - indicates the
divisions of areas of responsibility
• Vertical plane - defines the levels of
authority
General Management
• Organizational structure should
be flexible to be most effective
Behavioral Theories
• Dr. Abraham Maslow developed a five-step
process which describes man’s behavior in
terms of the needs he experiences. These
needs are:
– Food and shelter (basic needs)
– Safety - such as security, protection and
avoidance of harm and risk
– To belong
– Ego status - receiving some special recognition
– Self-actualization, such as being given
assignments which are challenging
Behavioral Theories
• Frederick Herzberg’s “Motivation-Hygene
Theory” - defined two independent
categories of needs - hygene factors and
motivators.
• Hygene Factors - salary, fringe benefits,
security (Civil Service), rules and regulations
and supervision.
• Motivators - Challenging assignment,
increased responsibility, recognition for work
and individual growth
Security’s Role
• Security provides protection
services for the organization.
The protective service of
prevention is a primary service
provided.
Key Resources
• Human resources - identification of staffing
needs and selection, training, leading, and
directing, and retaining of effective
personnel
• Financial resources
• Administrative resources
• Operational resources- basic and technology
based equipment to complete the mission
Budgeting and Planning
• A budget, a plan in financial terms, is an
essential element of management planning
and control. Three purposes for budgeting:
• Estimate the costs and expected revenues of
planned activities
• Provide a warning mechanism when
variances occur in actual numbers
• Exercise uniformity in fiscal control
Budgeting and Planning
• If the contribution of an operating
function cannot be quantified or
cannot be shown to result in greater
net revenue, it is an axiom of sound
management that the function be
reduced or eliminated.
Budgeting and Planning
• Zero based budgeting requires that
the benefits from an activity be
weighed against the benefits to be lost
if the planned activity is carried out at
a lesser level or not done at all.
Budgeting and Planning
• Budgeting approaches can be bottom up
and top down or top down and bottom up.
• Top down and bottom up is preferred by
some because senior management initiates
the process by establishing acceptable
expenditure limits and guidelines prior to
detailed planning by middle or operating
management
Budgeting and Planning
• Line item budgets - each item is listed by
separate line
• Program budgets - funds are allocated by
specific activity
• Capital budgets - used for infrequently
purchased high dollar items
Budgeting and Planning
• Budget costs are classified under one of
three categories:
– Salary expenses – Sundry expenses - all ongoing non-salary
expenses
– capital expenses - for physical improvements,
physical additions or major expenditures for
hardware. Generally considered one time
expenses
Budgeting and Planning
• A budget is also an instrument which
records work programs in terms of
appropriations needed to put them to
work.
• It is also a management tool which is
devised to ensure that work programs are
carried out as planned
Budgeting and Planning
• Carry budget out in three dimensions:
– The operation/project must unfold as
planned
– The operation/project must take place when
planned
– It will not exceed the planned costs.
Budgeting and Planning
• Budgets are normally prepared
annually or biannually
Planning
• Planning is an activity concerned
with proposals for the future, an
evaluation of those proposals, and
methods for achieving the proposals
Management
• Management is the activity which
plans, organizes and controls
activities in an organization
M.B.O.
• Management by objective (MBO)
is a systematic way of achieving
agreed to goals set ahead of time.
Risk Assessment
• The possibility and probability of a risk
resulting in loss depends on the risk itself
and the preventative measures taken.
• Defining the problem
– Loss event profile
– Loss event probability
– Loss event criticality
Risk Assessment
• Methods for handling a risk;
–Accept
–Eliminate
–Reduce
–Transfer (insurance)
Risk Management
• Crime and incident analysis is one
of the first tools to be applied to
the assessment of risks in order to
determine vulnerability.
• When assessing vulnerability and
the response to risks, PML factors
must be considered.
Risk Management
• PML stands for:
– Possible Maximum Loss - max loss sustained
if a given target is totally destroyed or removed
– Probable Maximum Loss - amount of loss a
target is likely to sustain
• ALE stands for:
– Annual Loss Expectancy
Risk Management
• Five principal crime risk management
methods:
– Risk Avoidance
– Risk Reduction
– Risk Spreading
– Risk Transfer
– Risk Acceptance
Risk Management
• Two basic types of protection against
crime are:
– Fidelity and Surety Bonds
– Burglary, robbery and theft insurance
Communications
• The art of effective communication
is the most important skill for
successful management.
• When a job is done poorly, it is
usually because the manager failed
to communicate clearly.
Discipline
• Means Learning
A.S.I.S. Ethics
• Perform professional duties
• observe the precepts of truthfulness,
honesty and integrity
• be faithful and diligent in discharging
professional responsibilities
• competent in discharging responsibilities
• Safeguard confidential information
• Not maliciously injure reputation of
colleagues
CPO / LPO
• Crime Prevention Officer (CPO)
– a public servant with police powers
• Loss Prevention Officer (LPO)
– private sector individual deriving
authority from an employer
CPTED
• Crime prevention through
environmental design (CPTED)
advocates that the proper design
and effective use of the building
environment leads to a reduction in
crime and in the fear of crime.
Environmental Security
• Environmental Security (E/S) is an
urban planning and design process
which integrates crime prevention
with neighborhood design and
urban development.
• Has little or no effect on white collar
crime, embezzlement, and fraud
Defensible Space by Oscar Newman
• Territoriality - attitude of maintaining perceived
boundaries. Outsider quietly recognized,
observed.
• Natural Surveillance - ability of inhabitants of
particular territory to casually and continually
observe public areas.
• Image and Milieu - involve the ability of design
to counteract the perception that the area is
isolated and vulnerable to crime.
• Safe area - locales that allow for high degree of
observation by police
Security Survey
• The cost of protection is measured in:
–Protection in depth
–Delay time
Internal Theft
• The greatest ongoing threat to
business.
Internal Losses
• Pilferage - stealing in small quantities
over a long period of time
• Embezzlement - taking
money/property entrusted to their care
• Shrinkage - loss of inventory through
any means
Employee Theft
• Two major causes of employee theft
are:
– personal problems
– environment (inadequate socialization)
• Research indicates that dissatisfied
employees are most frequently
involved in internal theft.
Theft Triangle
• Consists of three elements:
– Motivation, and
– Opportunity, and
– Rationalization
• Loss prevention techniques are designed
to eliminate the opportunity
Security Tools
• Deter criminal attack
• Detect attacks that occur
• Delay attack to allow time for
response by authorities
• Deny access to selected targets
Crime Analysis
•
•
•
•
Data Collection
Analysis
Dissemination
Feedback
Safety and Loss Prevention
• Unsafe acts cause 85% of
all accidents
• Unsafe conditions cause the
remaining 15%
Safety and Loss Prevention
• Incident - is anything from serious
injury to a breakdown in quality
control.
• Accident - is an undesired event
resulting in physical harm to a
person or damage to property.
Management
• Matrix management uses assets over a
wide spectrum of activity by forming ad hoc
teams to work on shorter term projects.
Liaison
• A linking up or connecting
of parts of a whole in order
to bring about proper
coordination of activities.
Liaison
• Private security occasionally assists in
law enforcement investigations.
– Providing u/c operators, surv equip,
CCTV, money for rewards, O/T pay
• Information is the most frequently
exchanged item.
Liaison
• 10 % to 30 % of all calls for police
service were for alarms
• 95% to 99% are false
Liaison
• By the year 2000, the ratio of
private security personnel to
public police will be three to
one respectively.
Economic Crime
• Financially motivated crime
with a direct impact on the
economy
Economic Crime
• Indirect costs of economic
crime include:
– Effects on business;
– Effects on government; and
– Effect on the public
Economic Crime
• Liability is the largest indirect
cost of economic crimes for the
past 20 years
Substance Abuse
• Narcotics - effects
–Generally, there is no loss of
motor coordination or slurred
speech.
Substance Abuse
• The poppy, cultivated in many
countries around the world, is
the main source of nonsynthetic narcotics
Substance Abuse
• Morphine
–One of the most effective drugs
known for the relief of pain.
• Codeine
–It is by far the most widely used
“natural occurring narcotic”.
Substance Abuse
• Thebaine
–the principal alkaloid in a species
of poppy which has been grown
experimentally in the U.S.
–converted into a variety of
medical compounds including
codeine.
Substance Abuse
• Etorphine and Diprenorphine
–made from Thebaine
–Etorphine is more than a
thousand times as potent as
morphine in it’s analgesic,
sedative and respiratory
depressant effect
Substance Abuse
• Hydromorphone
–Highly marketable with a
potency two to eight times as
great as morphine.
Substance Abuse
• Meperidine (Pethidine)
• Probably the most widely used
drug for the relief of moderate
to severe pain
Substance Abuse
• Narcotic Antagonists
–A class of compounds developed
to block and reverse the effects of
narcotics
Substance Abuse
• Chloral Hydrate
–The oldest of sleep inducing drugs
–liquid with a slightly acrid odor
and a bitter, caustic taste
Substance Abuse
• Benzodiazepines
–Depressants which relieve
anxiety, tension and muscle
spasms as well as producing
sedation and preventing
convulsions.
Substance Abuse
• Stimulants
–Of all abused drugs, stimulants
are the most powerfully
reinforcing.
Substance Abuse
• Stimulants
–The two most prevalent
stimulants are nicotine in tobacco
and caffeine.
Substance Abuse
• Cocaine
• The most potent stimulant of
natural origin.
• Designated as a narcotic in the
US CSA
Substance Abuse
• Khat
–Compulsive use may result in
manic behavior with grandiose
delusions or in a paranoid type of
illness, sometimes accompanied
by hallucinations.
Substance Abuse
• Alcohol
–The most used and abused
recreational drug. Physical
dependence can occur if alcohol
is taken regularly in large
quantities.
Drug Screening
• Enzyme Multiplied Immunoassay
Technique (EMIT) screens
– easy to administer and relatively inexpensive
• Gas Chromatography/Mass Spectrometry
– used for confirming tests
• Initial positives are confirmed before any
personnel action is taken.
• Confirming tests should be done on the
same specimen.
Drug Screening
• To avoid liability in the screening process:
– Notify all to be tested of the screening process.
– Get consent from persons tested.
– Provide prior notice to incumbents that testing
is a condition of continued employment.
– Define the circumstances under which testing is
done.
Drug Screening
• To avoid liability in the screening process:
– Insure a positive identification and chain of
custody for specimen collection, identification
and handling.
– Limit dissemination of test results.
– Maintain an Employee Assistance Program.
– Regularly verify results from test facilities.
U.S. Legal Aspects
Sample Questions
1.
In substance, a crime is:
• a. A violent act
• b. A violation of one’s privacy
• c. An act or omission prohibited by law for
which a penalty is provided
• d. A public wrong
1.
In substance, a crime is:
• a. A violent act
• b. A violation of one’s privacy
• c. An act or omission prohibited by law
for which a penalty is provided
• d. A public wrong
2.
•
•
•
•
The Federal definition of a felony is
any offense:
a.
b.
c.
d.
Which calls for punishment
Punishable by death
For which the minimum penalty is $500
Punishable by imprisonment for a term
exceeding one year
2.
•
•
•
•
The Federal definition of a felony is
any offense:
a.
b.
c.
d.
Which calls for punishment
Punishable by death
For which the minimum penalty is $500
Punishable by imprisonment for a
term exceeding one year
3.
•
•
•
•
In federal courts, the usual prosecutor
is:
a.
b.
c.
d.
The district attorney
The state’s attorney
The commonwealth attorney
The U.S. Attorney
3.
•
•
•
•
In federal courts, the usual prosecutor
is:
a.
b.
c.
d.
The district attorney
The state’s attorney
The commonwealth attorney
The U.S. Attorney
4.
The main purpose of a grand jury is
to:
• a. Determine whether or not an individual has
committed a crime
• b. Determine guilt
• c. Determine whether there is sufficient
evidence that a crime has been committed
and that the accused probably committed it
• d. Determine the nature of the punishment
4.
The main purpose of a grand jury is
to:
• a. Determine whether or not an individual has
committed a crime
• b. Determine guilt
• c. Determine whether there is sufficient
evidence that a crime has been committed
and that the accused probably committed it
• d. Determine the nature of the punishment
5.
The purpose of bail is to:
• a. Confine the accused pending trial
• b. To take dangerous offenders off the streets
• c. Make certain each accused is offered his
constitutional right to put up security in
order to gain his release
• d. To assure the appearance of the accused in
court
5.
The purpose of bail is to:
• a. Confine the accused pending trial
• b. To take dangerous offenders off the streets
• c. Make certain each accused is offered his
constitutional right to put up security in
order to gain his release
• d. To assure the appearance of the accused
in court
6.
•
•
•
•
In a criminal trial, the burden of
proof required to find guilt is:
a.
b.
c.
d.
Preponderance of evidence
Beyond a reasonable doubt
Reasonableness of presentation
Amount necessary to convince a
majority of jurors
6.
•
•
•
•
In a criminal trial, the burden of
proof required to find guilt is:
a.
b.
c.
d.
Preponderance of evidence
Beyond a reasonable doubt
Reasonableness of presentation
Amount necessary to convince a
majority of jurors
7. The release of a convicted person
under certain conditions without having to
be imprisoned is known as:
•
•
•
•
a.
b.
c.
d.
Probation
Parole
Corpus Juris
Detainer
7. The release of a convicted person
under certain conditions without having to
be imprisoned is known as:
•
•
•
•
a.
b.
c.
d.
Probation
Parole
Corpus Juris
Detainer
8. The release from confinement of a
person who has served part of a sentence is
called:
•
•
•
•
a.
b.
c.
d.
Probation
Parole
Reprieve
Commutation
8. The release from confinement of a
person who has served part of a sentence is
called:
•
•
•
•
a.
b.
c.
d.
Probation
Parole
Reprieve
Commutation
9. The process in which a court abides
by a previous court decision is known as:
•
•
•
•
a.
b.
c.
d.
Corpus Delicti
Habeas corpus
Ex-post facto
Stare decisis
9. The process in which a court abides
by a previous court decision is known as:
•
•
•
•
a.
b.
c.
d.
Corpus Delicti
Habeas corpus
Ex-post facto
Stare decisis
10. The crime of unlawful entry into or
remaining within a building, with intent to
commit some crime therein is:
•
•
•
•
a.
b.
c.
d.
Robbery
Trespass
Burglary
Embezzlement
10. The crime of unlawful entry into or
remaining within a building, with intent to
commit some crime therein is:
•
•
•
•
a.
b.
c.
d.
Robbery
Trespass
Burglary
Embezzlement
11. To make proof of intent easier in
proving shoplifting, many stores have a
policy which requires apprehension of a
suspect to be made:
•
•
•
•
a.
b.
c.
d.
After the accused leaves the premises
As soon as the theft occurs
As soon as the material is concealed
Only on issuance of a warrant
11. To make proof of intent easier in
proving shoplifting, many stores have a
policy which requires apprehension of a
suspect to be made:
•
•
•
•
a.
b.
c.
d.
After the accused leaves the premises
As soon as the theft occurs
As soon as the material is concealed
Only on issuance of a warrant
12. The private person generally may
arrest without a warrant:
•
•
•
•
a.
b.
c.
d.
For a felony
For misdemeanors
For a crime committed in his presence
Where he had “reasonable cause” to
believe the person arrested committed
the crime
12. The private person generally may
arrest without a warrant:
•
•
•
•
a.
b.
c.
d.
For a felony
For misdemeanors
For a crime committed in his presence
Where he had “reasonable cause” to
believe the person arrested committed
the crime
13. The Supreme Court decision which holds that
no suspect, in a custodial environment, may be asked
any questions until he has first been warned that he
need not make any statement and advised of other
rights is the:
•
•
•
•
a.
b.
c.
d.
McNabb decision
Mallory decision
Ennis decision
Miranda decision
13. The Supreme Court decision which holds that
no suspect, in a custodial environment, may be asked
any questions until he has first been warned that he
need not make any statement and advised of other
rights is the:
•
•
•
•
a.
b.
c.
d.
McNabb decision
Mallory decision
Ennis decision
Miranda decision
14. The Amendment to the U.S.
Constitution which deals with searches and
seizures is:
•
•
•
•
a.
b.
c.
d.
1st Amendment
4th Amendment
5th Amendment
6th Amendment
14. The Amendment to the U.S.
Constitution which deals with searches and
seizures is:
•
•
•
•
a.
b.
c.
d.
1st Amendment
4th Amendment
5th Amendment
6th Amendment
15. As a general rule, searches may be
made of employee lockers and desks
located on the premises of the company:
•
•
•
•
a.
b.
c.
d.
If consent is given by the employee
Under no circumstances
If done by local police
If done by the security manager
15. As a general rule, searches may be
made of employee lockers and desks
located on the premises of the company:
•
•
•
•
a.
b.
c.
d.
If consent is given by the employee
Under no circumstances
If done by local police
If done by the security manager
16. When a law enforcement agent
induces the commission of a offense not
otherwise contemplated, the accused may
use an affirmative defense known as:
•
•
•
•
a.
b.
c.
d.
Hearsay
Illegally induce crime
Ex-post facto
Entrapment
16. When a law enforcement agent
induces the commission of a offense not
otherwise contemplated, the accused may
use an affirmative defense known as:
•
•
•
•
a.
b.
c.
d.
Hearsay
Illegally induce crime
Ex-post facto
Entrapment
17. The imputation of another’s negligence
to the employer is described as:
•
•
•
•
a.
b.
c.
d.
Gross liability
Vicarious liability
Agency liability
Net liability
17. The imputation of another’s negligence
to the employer is described as:
•
•
•
•
a.
b.
c.
d.
Gross liability
Vicarious liability
Agency liability
Net liability
18. A willful or negligent wrong done by
one person to another is a :
•
•
•
•
a.
b.
c.
d.
Crime
Misdemeanor
Felony
Tort
18. A willful or negligent wrong done by
one person to another is a :
•
•
•
•
a.
b.
c.
d.
Crime
Misdemeanor
Felony
Tort
19. The unlawful taking of property by
force or threat of force constitutes the
crime of:
•
•
•
•
a.
b.
c.
d.
Burglary
Robbery
Assault and battery
Larceny
19. The unlawful taking of property by
force or threat of force constitutes the
crime of:
•
•
•
•
a.
b.
c.
d.
Burglary
Robbery
Assault and battery
Larceny
20. The act of inducing a person to
commit a crime for the purpose of having
him arrested is known as:
•
•
•
•
a.
b.
c.
d.
Solicitation
Entrapment
Nolo contendre
Misprison
20. The act of inducing a person to
commit a crime for the purpose of having
him arrested is known as:
•
•
•
•
a.
b.
c.
d.
Solicitation
Entrapment
Nolo contendre
Misprison
21. Deadly force may be used to defend
yourself if you:
• a. Reasonably believe deadly force is
necessary to protect yourself or another
from unlawful use of deadly force of a
third party
• b. Your home is broken into
• c. You are protecting your property
• d. You are attacked by a drug dealer
21. Deadly force may be used to defend
yourself if you:
• a. Reasonably believe deadly force is
necessary to protect yourself or
another from unlawful use of
deadly force of a third party
• b. Your home is broken into
• c. You are protecting your property
• d. You are attacked by a drug dealer
22. The prohibition against being tried
twice for the same crime is found in the:
•
•
•
•
a.
b.
c.
d.
First Amendment
Third Amendment
Fifth Amendment
Fourteenth Amendment
22. The prohibition against being tried
twice for the same crime is found in the:
•
•
•
•
a.
b.
c.
d.
First Amendment
Third Amendment
Fifth Amendment
Fourteenth Amendment
23. In a criminal prosecution the measure
of evidence used to find the accused
guilty is:
•
•
•
•
a.
b.
c.
d.
Beyond a reasonable doubt
Probable cause
Suspicion
Preponderance of evidences
23. In a criminal prosecution the measure
of evidence used to find the accused
guilty is:
•
•
•
•
a.
b.
c.
d.
Beyond a reasonable doubt
Probable cause
Suspicion
Preponderance of evidences
24. “Strict liability” in tort involves:
• a. Specific instructions given a security
officer by a supervisor
• b. Comparative negligence by anyone in
any occupation
• c. Intentional liability
• d. An ultra-hazardous or abnormally
dangerous activity
24. “Strict liability” in tort involves:
• a. Specific instructions given a security
officer by a supervisor
• b. Comparative negligence by anyone in
any occupation
• c. Intentional liability
• d. An ultra-hazardous or abnormally
dangerous activity
25. The theory of law which vicariously
imposes liability on the principal for the
acts of his or her agents is known as:
•
•
•
•
a.
b.
c.
d.
Plain agency
Master servant
Strict liability
Respondeat superior
25. The theory of law which vicariously
imposes liability on the principal for the
acts of his or her agents is known as:
•
•
•
•
a.
b.
c.
d.
Plain agency
Master servant
Strict liability
Respondeat superior
26. An employer is responsible for the
acts of his or her employee committed
within the:
•
•
•
•
a.
b.
c.
d.
Employee’s scope of employment
Area of the place of business
Employer’s area of primary activity
Employee’s area of primary activity
26. An employer is responsible for the
acts of his or her employee committed
within the:
•
•
•
•
a.
b.
c.
d.
Employee’s scope of employment
Area of the place of business
Employer’s area of primary activity
Employee’s area of primary activity
27. The relationship in which two parties
agree that one will act as the representative
of the other is known as:
•
•
•
•
a.
b.
c.
d.
Contractual relationship
Fiduciary relationship
Partnership relationship
Agency relationship
27. The relationship in which two parties
agree that one will act as the representative
of the other is known as:
•
•
•
•
a.
b.
c.
d.
Contractual relationship
Fiduciary relationship
Partnership relationship
Agency relationship
28. An agent can ordinarily act for the
principal in such a way to make the
principal legally responsible provided the
agent:
•
•
•
•
a.
b.
c.
d.
Is authorized by the principal to act that way
Acts reasonably
Notifies the principal within 24 hours
Is eighteen years of age
28. An agent can ordinarily act for the
principal in such a way to make the
principal legally responsible provided the
agent:
•
•
•
•
a.
b.
c.
d.
Is authorized by the principal to act that way
Acts reasonably
Notifies the principal within 24 hours
Is eighteen years of age
29. If “S”, while acting within the scope of
employment, injures “T” and “T” dies, the
employer of “S” can be:
•
•
•
•
a.
b.
c.
d.
Held liable in a civil suit for damages
Subjected to criminal liability
Held liable for both civil and criminal action
Criminally liable if the act is malicious
29. If “S”, while acting within the scope of
employment, injures “T” and “T” dies, the
employer of “S” can be:
•
•
•
•
a.
b.
c.
d.
Held liable in a civil suit for damages
Subjected to criminal liability
Held liable for both civil and criminal action
Criminally liable if the act is malicious
30. The Constitutional Amendment which
provides that no person shall be denied life,
liberty, or property without due process of
law is:
•
•
•
•
a.
b.
c.
d.
First Amendment
Second Amendment
Fifth Amendment
Eighth Amendment
30. The Constitutional Amendment which
provides that no person shall be denied life,
liberty, or property without due process of
law is:
•
•
•
•
a.
b.
c.
d.
First Amendment
Second Amendment
Fifth Amendment
Eighth Amendment
31. The right to have the assistance of
counsel for one’s defense is provided by the:
•
•
•
•
a.
b.
c.
d.
Second Amendment
Fifth Amendment
Sixth Amendment
Eighth Amendment
31. The right to have the assistance of
counsel for one’s defense is provided by the:
•
•
•
•
a.
b.
c.
d.
Second Amendment
Fifth Amendment
Sixth Amendment
Eighth Amendment
32. The primary duty of a grand jury is:
•
•
•
•
a.
b.
c.
d.
Ascertain if the accused is guilty
Determine probable cause
Determine if a conspiracy exists
Determine if an investigation should be
opened
32. The primary duty of a grand jury is:
•
•
•
•
a.
b.
c.
d.
Ascertain if the accused is guilty
Determine probable cause
Determine if a conspiracy exists
Determine if an investigation should be
opened
33. According to the U.S. code, a felony is
any offense:
• a. Punishable by death
• b. Punishable by imprisonment of three
years or more
• c. Punishable by imprisonment exceeding
one year
• d. Punishable by imprisonment for a term
exceeding one year
33. According to the U.S. code, a felony is
any offense:
• a. Punishable by death
• b. Punishable by imprisonment of three
years or more
• c. Punishable by imprisonment exceeding
one year
• d. Punishable by imprisonment for a
term exceeding one year
34. The affirmative act of concealing the
commission of a felony, cognizable by a
court of the U.S., by someone having
knowledge of the felony is a violation called
•
•
•
•
a.
b.
c.
d.
Misprison of a felony
Accessory
Subornation of perjury
Obstruction of justice
34. The affirmative act of concealing the
commission of a felony, cognizable by a
court of the U.S., by someone having
knowledge of the felony is a violation called
•
•
•
•
a.
b.
c.
d.
Misprison of a felony
Accessory
Subornation of perjury
Obstruction of justice
35. When a law enforcement agent
induces the commission of an offense, the
process is called:
•
•
•
•
a.
b.
c.
d.
Accessory before the act
Misprison of a felony
Entrapment
Stare decisis
35. When a law enforcement agent
induces the commission of an offense, the
process is called:
•
•
•
•
a.
b.
c.
d.
Accessory before the act
Misprison of a felony
Entrapment
Stare decisis
36. Wrongful appropriation of the
personal property of another to the use of
the taker is a tort called:
•
•
•
•
a.
b.
c.
d.
Conversion
Larceny
Trespass
Embezzlement
36. Wrongful appropriation of the
personal property of another to the use of
the taker is a tort called:
•
•
•
•
a.
b.
c.
d.
Conversion
Larceny
Trespass
Embezzlement
37. A writ issued by a court directing the
recipient to appear and testify is a:
•
•
•
•
a.
b.
c.
d.
Warrant
Subpoena
Writ of Mandamus
Writ of prohibition
37. A writ issued by a court directing the
recipient to appear and testify is a:
•
•
•
•
a.
b.
c.
d.
Warrant
Subpoena
Writ of Mandamus
Writ of prohibition
38. The general rule as to the amount of
force a security officer is permitted to use
in order to accomplish a lawful arrest is:
• a. The amount needed to assure that the
security officer is not injured
• b. Up to and including deadly force
• c. The maximum amount
• d. Only such force as is reasonably
necessary
38. The general rule as to the amount of
force a security officer is permitted to use
in order to accomplish a lawful arrest is:
• a. The amount needed to assure that the
security officer is not injured
• b. Up to and including deadly force
• c. The maximum amount
• d. Only such force as is reasonably
necessary
39. If a grand jury finds that probable
cause exists that the accused committed the
crime alleged, the grand jury then:
•
•
•
•
a.
b.
c.
d.
Issues an information
Issues an indictment
Issues a mittimus
Enters a finding of guilty
39. If a grand jury finds that probable
cause exists that the accused committed the
crime alleged, the grand jury then:
•
•
•
•
a.
b.
c.
d.
Issues an information
Issues an indictment
Issues a mittimus
Enters a finding of guilty
40. The usual charge placed against
someone who has made an erroneous arrest
is:
•
•
•
•
a.
b.
c.
d.
Kidnapping
False imprisonment
Assault and battery
Malicious prosecution
40. The usual charge placed against
someone who has made an erroneous arrest
is:
•
•
•
•
a.
b.
c.
d.
Kidnapping
False imprisonment
Assault and battery
Malicious prosecution
41. The federal agency in charge of
disaster planning is:
•
•
•
•
a.
b.
c.
d.
Federal Emergency Management Agency
Office of Civil Defense
Department of the Army
Department of the Interior
41. The federal agency in charge of
disaster planning is:
•
•
•
•
a.
b.
c.
d.
Federal Emergency Management Agency
Office of Civil Defense
Department of the Army
Department of the Interior
42. One of the following is not prohibited
by the Federal Civil Rights Act during an
investigation:
• a. Asking questions as to religious affiliation
• b. Asking questions as to prior convictions
• c. Directing inquiry into areas of race or
color for discriminating purposes
• d. Directing inquiry into areas of religion or
sex for discriminating purposes
42. One of the following is not prohibited
by the Federal Civil Rights Act during an
investigation:
• a. Asking questions as to religious affiliation
• b. Asking questions as to prior convictions
• c. Directing inquiry into areas of race or
color for discriminating purposes
• d. Directing inquiry into areas of religion or
sex for discriminating purposes
43. Questions on an application blank or
field investigative inquiries dealing with
union membership or affiliation should be
avoided as they may lead to charges which
constitute violations of:
•
•
•
•
a. National Labor Relations Act
b. The Civil Rights Act of 1964
c. The Civil Rights Act of 1976
d. The Fair Credit Reporting Act
43. Questions on an application blank or
field investigative inquiries dealing with
union membership or affiliation should be
avoided as they may lead to charges which
constitute violations of:
•
•
•
•
a. National Labor Relations Act
b. The Civil Rights Act of 1964
c. The Civil Rights Act of 1976
d. The Fair Credit Reporting Act
44. A question on the application form
inquiring about prior arrests is on its face
illegal as a violation of:
•
•
•
•
a.
b.
c.
d.
The National Labor Relations Act
The Federal Tort Claim Act
The Omnibus Crime Control Act
The Civil Rights Act of 1964
44. A question on the application form
inquiring about prior arrests is on its face
illegal as a violation of:
•
•
•
•
a.
b.
c.
d.
The National Labor Relations Act
The Federal Tort Claim Act
The Omnibus Crime Control Act
The Civil Rights Act of 1964
45. Identify the act which basically
prohibits discrimination, discharge, failure
or refusal to hire, on any of the grounds of
race, color, religion, sex or national origin:
•
•
•
•
a.
b.
c.
d.
Fair Credit Reporting Act
The Civil Rights Act of 1964
First Amendment
Omnibus Crime Control Act
45. Identify the act which basically
prohibits discrimination, discharge, failure
or refusal to hire, on any of the grounds of
race, color, religion, sex or national origin:
•
•
•
•
a.
b.
c.
d.
Fair Credit Reporting Act
The Civil Rights Act of 1964
First Amendment
Omnibus Crime Control Act
Significant Notes
U.S. Legal Aspects
The Bill of Rights
is the
first ten amendments
to the
Constitution of the U.S.
First amendment
provides
for freedom of speech, religion,
press, assembly and to petition
the government
Second amendment
provides
the right to
keep arms (weapons)
Forth amendment
prohibits
unreasonable searches and
seizures and also sets out the
requirement that a warrant be
supported by probable cause
Fifth amendment
prohibits
double jeopardy, compulsory
self incrimination, and
deprivation of life, liberty or
property without due process
Sixth amendment provides that
the accused have a speedy public
trial, know the charges against
him, confront witnesses against
him, have compulsory process
to obtain his witnesses, and
have assistance of a counsel for
his defense
Seventh amendment
provides
the right to trial by jury
Eighth amendment
prohibits
excessive bail, excessive fines
and
cruel and unusual punishment
“Miranda warning” must be given before
“custodial” interrogation. The suspect is
advised:
a. You have the right to remain silent
b. Anything you say may be used
against you
c. You have the right to contact an
attorney
d. If you cannot afford an attorney,
one will be provided free of charge
Generally, Miranda warnings
need not be given by security
officers
The crime of “robbery” is the
unlawful taking of property
from the immediate possession of
another by force or the threat of
force
“Larceny” is the unlawful taking
of property from the possession
of another with the intent of
depriving the owner of it
permanently
“Vicarious liability” is the legal
concept which holds the employer,
as well as the employee, liable if
the “wrong” was committed while
the employee was acting within the
scope of employment
Vicarious Liability
• An employer may avoid liability
for the tortious acts of another if
the hiring contract is such that the
relationship of “independent
contractor” on the part of the tort
feasor has been established.
Vicarious Liability
• But, the employer may be held liable for the
acts of an independent contractor when:
–
–
–
–
The work contracted for is wrongful per se
The work contracted for is a public nuisance
The work contracted for is inherently dangerous
The act of the independent contractor violates a
duty imposed on the employer by contract.
– The wrongful act by the independent contractor
violates a statutory duty.
“Respondeat superior” is the legal
rule that an employer is responsible
for the action or lack of action of an
employee taken within the course of
employment.
Respondeat Superior (Let the master respond)
Basic Aspects
• Respondeat Superior:
–The right of control and not
necessarily the exercise of that
right is the test of the relation of
the master to the servant.
Note the difference between a
“crime” and a “tort”.
A crime is a violation of the
government’s penal laws;
whereas a tort is a legal wrong
done to another person
(a civil wrong)
No agreement between parties is
required.
A
crime can also be a tort
examples:
battery
trespass
assault
Most crimes are of two primary
types;
a.
b.
The federal definition of a
“felony” is: a crime punishable
by imprisonment for a term
exceeding one year
A “misdemeanor” is any crime
which is not a felony
“Corpus delicti” is a legal term
for the “body of the crime” or the
elements of the crime which must
be proved.
It does not mean a dead body
Treason is the only crime
specifically mentioned in the U.S.
Constitution
The criminal code of the United
States is found in Title 18
There are no Federal common
law crimes
Essential elements of the crime of
negligence:
a.
b.
c.
d.
A duty owed by the defendant to the
injured party
A violation of that duty by failure to
follow a required standard of conduct
A causal connection between the
negligent conduct and the harm
Actual loss or damage to the plaintiff
A fidelity bond is insurance on a
person covering that person’s
dishonesty
“Strict liability” refers to the legal
concept that one may be held
responsible for some acts without the
necessity to prove criminal intent (mens
rea). Strict liability statutes are usually
in the areas of public health, safety and
welfare and they are generally
classified as “mala prohibitum”
“Compensatory damages”
are
actual damages
directly
related to the amount of the loss
“Punitive damages” are
designed to punish the defendant
and to deter him, and others,
from a repetition of the wrongful
act
Generally,
searches by security officers are
not subject to constitutional
regulation under the 4th
Amendment
In judging whether certain conduct is
negligent, the law uses the standard
of reasonableness. The “reasonable
person” is one of ordinary prudence
who exercises due care in a situation
such as that under litigation
“Deadly force”,
as a general rule, should be used
by law enforcement officers as a
last resort and then only when
the life of the officer or another
person is in jeopardy
An “express contract” is one
which is clear, definite, direct,
and spelled out by explicit words
An “implied contract” is one
which is not spelled out clearly
by explicit words, but is
interpreted by analyzing
surrounding circumstances or
the actions of the persons
involved
“Entrapment” is a defense in
which the defendant alleges that
he was induced by government
officers or agents to commit a
crime which he would not have
committed without the
inducement
Statements made by subjects
being interrogated must be
“voluntary”
The concept of the grand jury
originated in England
An “indemnity bond” is an
insurance contract designed to
reimburse an individual or
organization for possible losses
of a particular type
A “citizen’s arrest” is an arrest
by a private person, rather than by
a public law enforcement officer.
This authority originated at
common law and is the authority
of most arrests by proprietary and
contract security officers
A law enforcement officer may
arrest for a felony based solely on
“probable cause”.
A private security officer may
arrest for a felony based in
“probable cause”, but there is no
margin for error; otherwise, a suit
for false arrest may be litigated
The “plain view” doctrine holds
that if police, in the course of
lawful duty, recognize a plainly
visible item as evidence of a
crime, the item may be seized
and admitted in a criminal trial
Probable Cause is that combination
of facts and circumstances which
would warrant a person of reasonable
caution and prudence to believe that a
crime has been committed and that
the person to be arrested is the one
who committed the crime.
The Supreme Court of Terry v. Ohio
authorized “stop and frisk” technique
without probable cause where an
experienced officer had good reason to
suspect criminal activity which was
dangerous to the officer or others
The undercover agent must know the
law regarding “entrapment.”
“Entrapment” is defined as the acts of
officers of the government in inducing a
person to commit a crime not
contemplated by him/her in order to
initiate a criminal investigation
Under no circumstances will an
undercover agent be permitted to
engage in “malum in se” crime
such as murder, burglary, rape,
arson, robbery, etc.
The Fair Credit Reporting Act,
among other things, requires
written notice to the applicant
prior to an investigation by a
third party
(Consumer Reporting Agency)
As a general rule, it is
permissible to ask about possible
“convictions” but not “arrests” on
the employment questionnaire
Basic Aspects
• Civil law is the statutory and
common law in which private
rights and remedies are found. Of
the 50 titles of the United States
Code, 49 deal primarily with civil
matters.
Basic Aspects
• Express Contract is an actual agreement of
the parties, the terms of which are openly
uttered or declared at the time the contract
is made.
• Implied Contract is one not created or
evidenced by the explicit agreement of the
parties, but is inferred by law.
Basic Aspects
• Price is the dollar value stated in
the contract.
• Reasonable value is the dollar
value of goods and/or services
determined by a court or arbitrator.
Basic Aspects
• In the transportation of goods,
recovery of damages may be
estopped by a “time bar” clause in
the shipping documents
(contracts).
Basic Aspects
• The concept of tort liability operates to:
–Compensate a victim for his loss
–Act as a deterrent for future conduct
of the same kind
–Serve as evidence of society’s
disapproval of the wrong
Basic Aspects
• The basic elements of intentional
tort liability are:
– An act or omission
– Which brought about the intended
result
Basic Aspects
• Examples of intentional torts:
–
–
–
–
–
–
–
Battery
Assault
False imprisonment
Trespass to land or to chattels (Conversion)
Fraud / Misrepresentation
Defamation
Invasion of privacy
Basic Aspects
• Generally, proprietary security
officers are servants, whereas
contract security personnel are
employees of the supplying agency
and therefor may not be considered
servants of the employing
organization.
“Stare Decisis”
• The Law of Precedence
Felony
• Federal statutes provide for five
classes of felonies ranging is
punishment from imprisonment for
a term exceeding one year to death
or life imprisonment.
Misdemeanor
• Three classes of misdemeanors:
• Class A - One year or less but more than 6
months
• Class B - Six months or less, but more than
30 days
• Class C - Thirty days or less, but more than
5 days
Infraction
• Federal statutes provide for one
class of infraction for which the
penalty ranges from 5 days or less
imprisonment to no authorized
penalty.
“Mala in se”
• Those crimes which are bad in
themselves, ie...
–Murder
–Rape
–All Common Law crimes were
mala in se.
“Mala prohibita”
• Those acts which are considered
“offenses” by the passage of
statutes. Generally no criminal
intent is required; the mere
accomplishment of the act is
sufficient for criminal liability.
Corpus delicti
• The body of the crime. The combination of
the elements which provide proof of the
crime is the corpus delicti.
• Consists of:
– Mens Rea (criminal intent)
– Actus Rea (the forbidden act)
– Coming together of the above two
Law of Causation
• There must be a cause and effect
relationship between the act of the accused
and the resulting harm. The Law of
Causation - a person is presumed to intend
the natural and probable consequences of
his act. But, the accused takes his victims as
he finds him.
“Motive”
• Motive is not an essential part
of a crime; it is not part of the
corpus delicti.
• Most crimes require the
combination of an act and an
intent, which must be
simultaneous.
• “Negligence” differs from
“recklessness,” in that in
recklessness, conduct is governed
by the actual state of mind of the
accused.
“Alibi”
• The alibi defense is one of
physical impossibility. The
testimony of an alibi witness
must cover the entire time of
the crime.
“Mistake of Fact”
• The “Mistake of Fact” defense is
used when one commits a violation
of the law in good faith with a
reasonable belief that certain facts
existed, which would make the act
innocent if indeed they did exist.
Laws of Arrest
• The basic elements which constitute an
arrest are:
– A purpose or intention to effect the arrest
– An actual or constructive seizure or detention
of the person to be arrested
– A communication by the arresting officer to the
arrestee of his intention to place him under
arrest.
– An understanding by the person to be arrested
that he is being arrested.
Laws of Arrest
• The mere words “you are
under arrest:” will not
satisfy the seizure or
detention element of arrest.
Laws of Arrest
• A warrant is an order for the
arrest of a person.
• A summons directs the defendant
to appear before a court at a stated
time and place.
Laws of Arrest
• When a private citizen acts in aid
of a known law enforcement
officer, the citizen has the same
rights and privileges as the officer
and is protected from liability
even if the officer was acting
illegally.
Laws of Arrest
• Generally, private citizens may arrest
any person who has committed an
offense in their presence or for a felony
not committed in their presence. BUT,
the arrest can be justified only by further
showing that the felony was actually
committed by the person arrested.
Search and Seizure
• The “Exclusionary Rule” excludes
evidence, otherwise admissible,
obtained by methods which violate
Constitutional guarantees of the
Forth Amendment which protects
an individual in his person and
property.
The “Tainted Fruit of the Poisonous Tree”
doctrine is that any and all evidence
obtained as a result of an unreasonable
search cannot be used against the accused.
Any other evidence obtained as a result of
the original unlawful invasion is dubbed the
“tainted fruit of the poisonous tree” and may
not be used against the person whose
privacy was violated.
4th Amendment
• The 4th Amendment does not
specifically authorize a search
without a warrant. We have
legal searches without a warrant
because of court decisions.
Searches
• A private security officer has only the
search authority of a private citizen.
• The Fourth Amendment does not apply
to searches by private persons.
• Evidence discovered by private search is
admissible in a criminal trial and is not
subject to the Exclusionary Rule.
Confession / Admission
• A confession is a statement in which a
person acknowledges guilt of a crime.
• An admission is a statement in which
a person admits a fact or facts which
would tend to prove him guilty of a
crime, but which does not constitute a
full acknowledgement of guilt of a
crime.
Confession / Admission
• The fundamental test regarding
the use of confessions and
admissions is the “free and
voluntary” test.
Federal Bureau of
Investigation (DOJ)
• Investigative Jurisdiction over Federal
criminal violations and concurrent
jurisdiction with the DEA on Narcotics and
Dangerous Drugs. Includes the:
– National Depository of Fingerprints;
– National Crime Information Center
(NCIC);
– National Center for the Analysis of
Violent Crime;
Federal Bureau of
Investigation (DOJ)
– National Center for the Analysis of
Violent Crime;
– Violent Criminal Apprehension
Program;
– Forensic Science Training and
Research Center;
– National Bomb Data Center
U.S. Marshall’s Service
(DOJ)
• Operational priorities include:
–
–
–
–
–
–
–
Physical security for Federal courts
Custodian of Federal evidence
Service of Federal Criminal and civil process
Witness-protection program
Federal Assets Forfeiture and Seizure
Transportation of Federal prisoners
Conduct fugitive investigations
Immigration and
Naturalization Service (DOJ)
• Responsible for administering U.S.
Immigration and Naturalization laws.
– Regulates non-resident aliens
– Determines admissibility of aliens
into this country.
– Handles deportation proceedings
U.S. Secret Service
(Treasury Department)
• Responsible for the protection of the
President, Vice-President and their
families as well as other designated
persons.
• Investigative responsibilities include
counterfeiting, credit card fraud and
bank failures
Customs Service
(Treasury Department)
• Enforces customs-related laws
and regulations
• Collect import duties.
Internal Revenue Service
(Treasury Department)
• Administers and enforces Federal
tax laws.
• Special intelligence division
investigates organized crime,
gambling, and tax stamp violations.
B.A.T. F.
(Treasury Department)
• Bureau of Alcohol, Tobacco and
Firearm
• Administration and enforcement of
U.S. gun and explosive laws.
• Training and investigative assistance
in arson and bomb investigations.
• Trace of weapons for law
enforcement agencies
Defense Investigative Service
(Department of Defense)
• Administers the Defense
Industrial Security Program.
F.E.M.A.
• Federal Emergency Management
Agency
• An independent agency
• Primary responsibility of dealing
with disaster planning.
F.E.M.A.
• The Director of FEMA reports to
the President and works closely
with the National Security Council,
Cabinet, and White House staff
Coast Guard
(Department of Transportation)
• Security and safety of ports.
• Investigations of marine-related
accidents, casualties and violations.
• Safety standards for commercial
vessels.
Federal Aviation Administration
(Department of Transportation)
• Issue and enforcement of rules and
regulations for air commerce and air
safety.
• Certification of airports and
inspection of air-navigation facilities.
Federal Highway Administration
(Department of Transportation)
• Regulatory jurisdiction over safety
and performance of commercial
motor carriers engaged in
interstate commerce. Authorized
to investigate violations of:
Federal Highway Administration
(Department of Transportation)
–Highway Safety Act
–Interstate Commerce Act
–Explosive and Dangerous
Articles Act
U.S. Army Corp of Engineers
• Flood control planning should
be coordinated with the U.S.
Corp of Engineers.
“NOAA”
• Progressive situation reports of
floods are available from the
National Oceanic and Atmosphere
Administration (NOAA).
National Weather Service
• The NWS begins issuing hurricane
advisories as soon as there are
indications a hurricane is forming and
it is given a name. The purpose of an
advisory is to:
– Tell where the storm is located
– Intensity of winds
– Speed and direction of movement
Bureau of Vital Statistics
• Records of births, marriages
and deaths
The Age Discrimination in
Employment Act of 1967
• Prohibits discrimination against
applicants or employees over
40 years of age.
Equal Pay Act of 1963
• Requires that employees receive
equal pay for equal work, requiring
equal skill, effort and responsibility
regardless of sex; however, the
employer may pay different rates at
different establishments.
The National Labor Relations
Act
• Known as the “Wagner Act”
• The basic test of an unfair labor
practice is whether it results in
coercion or discrimination
prohibited by the labor act.
The National Labor Relations
Act
• Management representatives may
not attend a union meeting.
• Undercover operations are neither
conducted nor authorized where
and when labor organizing efforts or
labor problems are occurring.
The National Labor Relations
Act
• Advise security personnel that
their actions will be considered
“employer actions”.
The National Labor Relations
Act
• When an employee reasonably
believes that an interview may
lead to or result in disciplinary
action and requests that a union
representative be present, union
representation must be allowed
(The Weingarten Rule).
The National Labor Relations
Act
• Management is not required to
advise an employee of this right
of representation or to “bargain”
with the union representative.
The National Labor Relations
Act
• The NLRA specifically provides
that guards and non-guard
employees cannot be members of
the same bargaining unit.
The Labor Management
Relations Act
• Known as the Taft-Hartley Act
• Forbids unions from:
–Coercing an employer to pay for work
not performed (Featherbedding)
Labor Management Reporting
and Disclosure Act
• Known as the Landrum-Griffin Act
• Established safeguards and
restrictions on union officers and
management conduct regarding their
members, also prohibits either union
or employer from “Hot Cargo”
agreements.
Labor Management Reporting
and Disclosure Act
• A “Hot Cargo” agreement is
defined as one where the employer
agrees to cease doing business
with any person or to cease
dealing in any products of another
employer.
Strikes
• Economic Strike - The most frequent type
• takes place where there is a vote to stop
work because a satisfactory employment
agreement has not been negotiated.
• Economic strikes must be preceded by at
least a 60-day notice that the union desires
to modify the existing collective bargaining
agreement.
Strikes
• The Unfair Labor Practice Strike
• When strikers strike to force discontinuance of an
alleged violation by an employer of the labor law.
• This type of strike permits no time for effective
planning by security.
• All striking employees who request to return to
their jobs must be allowed to do so by their
employer.
Strikes
• Three phases of security
involvement during strikes:
–Pre-strike planning stage
–Strike operation plan phase
–Post-strike intelligence phase
Strikes
• The main goals of the security
force during labor disturbances
should be:
–
–
–
–
–
To lessen potential for violence
To adequately deal with violence when it occurs
To prevent death, injury, and damage to property
To maintain order
To preserve the integrity of the work site.
Strikes
• The security strike operations plan
is a comprehensive statement of
all policies, procedures and
activities to be done during the
strike period.
Strikes
• The security strike operations plan
– The plan should be made available to each
security supervisor and higher manager.
– It should not contain sensitive information
– Effective planning of access control indicates uses
the fewest entries possible and those used should
be located where easily policed.
– Management should develop a prior policy, which
is understood and adhered to by all parties,
regarding arrests during a strike. A sound policy
would be not to agree to amnesty for serious
offenses (felonies).
Strikes
• The chief weapon of the
strikers is the ability to
discourage people from
entering plant premises and
to prevent movement of
goods and materials to and
from the plant.
Strikes
• “Lockout” - is the refusal of
management to allow members of
the bargaining unit on the premises.
A “lockout” may be used legally in
the face of an imminent violent
strike; however, notice of a
“lockout” must be given to the
bargaining unit or a charge of unfair
labor practice could result.
Occupational Safety and
Health Act (OSHA)
• The Williams-Steiger Occupational
Safety and Health Act (29 USC 651678) was signed into law in December
1970 and became effective on April
28, 1971. The primary responsibility
for administration of this act falls
upon the Department of Labor.
Occupational Safety and
Health Act (OSHA)
• The statute states that every employee
“affecting commerce” is subject to the
provisions of OSHA. This means just
about all employees in every industry
are covered. One exception is the
mining industry.
Occupational Safety and
Health Act (OSHA)
• The general purpose of OSHA is to
provide safe and healthful working
conditions for employees.
• All businesses are required under
OSHA to have a person or persons
trained in first aid available.
Occupational Safety and
Health Act (OSHA)
• OSHA Form #200 - a log and
summary of occupational injuries and
illness.
• OSHA Form #101 - a supplemental
record of occupational injuries and
illness.
Occupational Safety and
Health Act (OSHA)
• An “injury” results from a single
incident. A one time chemical
exposure is an injury.
• An “illness” is an abnormal condition
or disorder caused by exposure to
environmental factors in employment.
Occupational Safety and
Health Act (OSHA)
• Records on all work-related deaths,
injuries, and illnesses must be current
and must be available to Labor
Department inspectors upon request.
All records concerning injury/illness
must be maintained for at least 5
years.
Occupational Safety and
Health Act (OSHA)
• If an on-the-job accident results in
the death of an employee or the
hospitalization of 3 or more
employees, the nearest OSHA
office must be contacted within 8
hours.
Occupational Safety and
Health Act (OSHA)
• In Marshall vs. Barlow, the Supreme
Court held that officials of OSHA
cannot inspect businesses without
first obtaining warrants. This ruling
does not apply to a few specialized
industries such as firearms and
liquor industries.
Occupational Safety and
Health Act (OSHA)
• It is not necessary for OSHA
inspectors to show “probable cause”
to obtain a warrant. The inspectors
only must show that the inspection is
part of a general administrative plan
to enforce the safety laws.
Occupational Safety and
Health Act (OSHA)
• When they find conditions of
“imminent danger”, compliance
officers may REQUEST, not
demand shutdown.
Occupational Safety and
Health Act (OSHA)
• Most citations allege violations of
specific safety and health
standards or of the posting and
record keeping requirements.
Occupational Safety and
Health Act (OSHA)
• Citations based on the “general
duty” clause are increasing in
frequency and will further
increase if OSHA tries to regulate
conditions such as workplace
violence. There is no “free first
bite” !!
Occupational Safety and
Health Act (OSHA)
• Citations are not issued to
employees. A citation is issued to
the employer if employees fail to
comply with safety and health
standards.
Occupational Safety and
Health Act (OSHA)
•
•
•
•
•
•
•
Types of citations include;
Imminent Danger
Serious Violation
Non-serious Violation
De Minimis Violation
Willful Violation
Repeated Violation
Occupational Safety and
Health Act (OSHA)
• Types of citations include;
• Imminent Danger
– any condition or practice such that a danger
exists which could reasonably be expected to
cause death or serious physical harm
immediately, or before the imminence of
such danger can be eliminated through the
enforcement procedures provided by this act.
Occupational Safety and
Health Act (OSHA)
• Types of citations include;
• Serious Violation
– a substantial probability that death or
serious physical harm could result and
the employer knew, or with the exercise
of reasonable diligence, should have
known of the hazard. A fine not
exceeding $7,000 must be assessed.
Occupational Safety and
Health Act (OSHA)
• Types of citations include;
• Non-serious Violation
– The condition is likely to cause injury,
but not death or serious physical harm,
or the employer did not know of the
hazard. (A tripping hazard on a level
surface). A fine of $7,000 or less may
be imposed.
Occupational Safety and
Health Act (OSHA)
• Types of citations include;
• De Minimis Violation
–No immediate or direct relationship
to safety or health.
Occupational Safety and
Health Act (OSHA)
• Types of citations include;
• Willful Violation
– The employer intentionally or
knowingly violated the act, or was
aware of a hazard and made no
attempt to correct it. The minimum
penalty is $5,000 - max. of $70,000
Occupational Safety and
Health Act (OSHA)
• Types of citations include;
• Repeated Violation
–a second or subsequent citation for
violation of the same standard or
general duty clause. The minimum
penalty is $5,000 - max. of $70,000.
The American With Disabilities
Act of 1990 (ADA)
• Regulations to implement Title 1
(Employment) are issued by the
Equal Opportunity Employment
Commission (EEOC). The
regulations cover all employers
with 15 or more employees in
industries affecting commerce.
The American With Disabilities
Act of 1990 (ADA)
• Those not protected under the Act:
– Transvestites (Section 508)
– Current illegal drug users (Section 510)
– Homosexuals, bisexuals, persons with
sexual behavior or compulsive gambling
disorders, kleptomaniacs, and
pyromaniacs (Section 511)
The American With Disabilities
Act of 1990 (ADA)
• Any medical examination or inquiry into
the disability of an applicant or employee
is prohibited unless the employer can
show a job relationship and a consistent
business necessity. Medical examinations
after an offer of employment has been
made must be given to all prospective
employees.
The American With Disabilities
Act of 1990 (ADA)
• Readily achievable means easily accomplished
without much difficulty or expense.
• Accessibility means free of barriers that could
prevent a person with impaired mobility from
getting to a desired location in the facility, or to
use lavatories, lounges, lunchrooms, public
telephones, drinking fountains or other amenities.
The American With Disabilities
Act of 1990 (ADA)
• The World Health Organization (WHO)
definition of “impairment” is a permanent
or transitory psychological, physiological,
or anatomical loss or abnormality of
structure or function (an amputated limb,
paralysis after polio, diabetes, mental
retardation, impaired hearing or sight).
The American With Disabilities
Act of 1990 (ADA)
• The WHO definition of “disability”
includes restrictions on, or the
prevention of, carrying out an activity
because of an impairment, in the
manner or within the range considered
normal for a human.
The American With Disabilities
Act of 1990 (ADA)
• Under the ADA, a “disability” is a
physical or mental impairment that
substantially limits one or more of
the major life activities of an
individual.
The American With Disabilities
Act of 1990 (ADA)
• The WHO defines “handicap” as a
disability which interferes with what is
expected at a particular time in one’s
life (inability to care for oneself,
communicating thoughts and
concerns, developing a capacity for
independent economic activity).
Federal Sentencing Guidelines
• The 1987 Individual
Sentencing Guidelines tended
to narrow the range of
punishment for a certain crime
and to standardize sentencing.
Federal Sentencing Guidelines
• The 1991 Organizational
Sentencing Guidelines cover antitrust, money laundering, fraud,
ERISA, securities, and
environmental law violations.
Federal Sentencing Guidelines
• A $20 million gain to a company
from an anti-trust violation could
result in a criminal fine ranging
from $1 million to $80 million
depending on the guidelines
applied.
Federal Sentencing Guidelines
• The deterrence and detection
objectives are reached by requiring
every company:
– To make restitution to any party injured
by the criminal conduct; and
– To pay a fine which is not tax
deductible
Federal Sentencing Guidelines
• The fine consists of a “base fine”
which is multiplied by a
“culpability score” to determine a
minimum and a maximum range
within which the court impose a
fine.
Federal Sentencing Guidelines
• The “base fine” is the greater of:
–The pre-tax gain to the company from
the crime, or
–The loss to any party intentionally
injured by the crime, or
–From $5,000 to $72,500, determined
from a “level of seriousness” table.
Federal Sentencing Guidelines
• In determining the “culpability
score”, every business starts
with a rating of 5 and
aggravating or mitigating factors
move the score within the range
of 0 to 10.
Federal Sentencing Guidelines
• Aggravating factors, include;
– Participation, tolerance, or disregard of criminal
conduct by high level personnel or substantial
authority personnel in a large organization. (Add
5 points).
– A history of similar conduct within the last 5
years. (Add 2 points)
– Obstruction of justice in the course of the
investigation, prosecution or sentencing. (Add 3
points)
Federal Sentencing Guidelines
• Mitigating factors, include;
– Self-reporting, cooperation with an
investigation, and accepting responsibility for
the conduct of the organization. (Subtract 5
points)
– An effective compliance program(s) to prevent
and detect criminal conduct. (Subtract 3 points)
Federal Sentencing Guidelines
•An effective compliance
program has seven
mandatory components:
Federal Sentencing Guidelines
• 1. Establishment of compliance
standards which are reasonably
capable of preventing criminal
conduct.
• 2. Specific responsibility for high
level management to oversee the
standards.
Federal Sentencing Guidelines
• 3. Communication of standards and
offering training in compliance issues
to employees.
• 4. Tests of the compliance system
with auditing, monitoring, and other
tests designed to detect criminal
conduct.
Federal Sentencing Guidelines
• 5. Due care to insure that discretionary
authority is not delegated to individuals
with a propensity to engage in illegal
conduct.
• 6. Enforcement using disciplinary
procedures which include provisions
for discipline of individuals who fail to
detect or report an offense.
Federal Sentencing Guidelines
• 7. All reasonable steps, after an
offense has been detected, to
prevent a future similar occurrence.
Federal Sentencing Guidelines
• A determination, after the fact,
that an effective compliance
program did not exist will
probably result in a probation
status which may require that
the company:
Federal Sentencing Guidelines
• 1. Publicize its criminal acts at its own
expense as directed by the court.
• 2. File periodic financial reports with
the court
• 3. Submit to periodic examination by
court appointed experts.
The End