Startup security breach exposes internal fraud risks.

Startup security breach exposes internal fraud risks. A Delhi-based sneaker brand discovered that a newly hired employee exploited backend access to generate 100 percent discount coupons within days of joining, causing nearly Rs 2 lakh in losses. The employee resigned after a week, leaving the company to recover only half the fraudulently ordered merchandise. The situation escalated into a legal standoff when the former staff member issued harassment warnings. This incident highlights critical vulnerabilities in scaling operations and underscores the importance of robust internal controls, access restrictions, and monitoring systems to prevent employee fraud and protect company assets during growth phases.