A local translator employed by a major private military contractor to support its personal security details in Kabul snatched a rifle from one of his colleagues and opened fire on them and their clients. Local police intervened and shot the translator, but not before the translator had fatally shot three of the four personal security detail with whom he had been working.
The military contractor's client at the time happened to be a major media organization and the story was immediately broken on the international networks.
In the inquiry that followed it became clear the contractor had failed to comply with its own due diligence and vetting procedures when recruiting the translator, who on investigation had a history of narcotics abuse and was a known Taliban sympathizer.
The contractor faced substantial lawsuits from the families of those killed, suffered reputational damage and put at risk a number of its other contracts. Very significant management time was incurred in dealing with the incident and its aftermath, trying to properly compensate the families of those that were killed and mitigating the contractor’s losses.
In some cases, it might quickly become apparent that your personnel have failed to discharge their duties correctly and have exposed the company to substantial liabilities. This is one reason why insurance is purchased. A critical element of managing risk ought to be a focused insurance policy that will help protect you and the viability of your business when the worst occurs.