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 Is it legal for a business to not report a felony theft to police and simply take the money from the employee on duty. No  working cams

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Most states have laws that dictate the reporting of serious crimes like felonies. I would refer you to the law in your jurisdiction. That being said, in your scenario a business or business owner has caught someone stealing. In theory, could the business owner or manager either take the merchandise or money back from the employee and not report it to the appropriate authorities? Yes, they could but I am not sure why they would want to. Even if the owner or manager did this, it still might be illegal depending on the state in which this act occurred. Theft is a large problem in most retail outlets.

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