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An employer is liable for accidents caused by an employee through negligence within the scope of his employment. However, an employer is NOT liable for willful, wrongful acts such as fraud, unless there is some evidence that people high up in the organization were involved in the crimes. This is both because committing fraud isn't an accident and because fraud would never be considered to be within the scope of someone's employment. Employers don't have an obligation to stop their employees from committing crimes.
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