Timecard fraud is the most common employee dishonesty in any organization with hourly staff, and it is unusual among frauds in one respect: the employer's response is constrained by wage law in ways that surprise most managers.
Specifically, you must pay for hours actually worked even where the employee violated a policy, and you generally cannot deduct the value of falsified time from wages. That means the remedy for timecard fraud is disciplinary and evidentiary, ...