XYZ Telecom Company incurred an average losses of 10 million dollars each year through employees theft and fraud practices. The company owner who is residing in USA doesnt have direct interaction with the employees though the main office is located in USA, some of the branches are outside the country. Some of the disbursements receipts submitted by other branches are not original and fake. To prevent this, internal control systems should be strictly implemented. Based on the above scenario: 1. Identify the internal control issue that occurred in XYZ Telecom Company. Justify your answer practically. (2 marks)

2. Prepare feasible recommendations that the company owner may follow to avoid and control the overall operation of the company in a sound manner.