Innocent, but fired for suspicion of theft

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I wondering if you could lend me any advice? I was was just fired from a job I have been at for 5 years because the owner noticed money was missing and I was the prime suspect. There are computer transactions in the computer with my initials next to it, but someone is going in and changing the transactions, but leaving my initials. The specific computer system we use is very easy for someone to change things, and reprint something however they want. I have no way to really prove I am innocent. I am clearly being set up to take the fall for another employee. I was told that if I pay back the missing money then it would be over. If chose not too, then there might be prosecution. I dont want that on my record because I didnt do it, but I also dont want to pay for money that I did not steal. I feel like I have been stuck between a rock and a hard place. I would really appreciate any help you can offer me. I cant even eat, drink, or sleep thinking about this. I am innocent, nobody believes me.
What I can tell you is that an employer may legally fire someone for suspicion of theft, even if they are mistaken.

What state are you in? It might make a difference to the answer.
I am in MA. This boss also has underage kids working there that, against the law, work over the certain amount of hours allowed that she pays cash under the table so that there is no document. There are no cameras, signatures, or any witnesses that ever saw anything. Whos to say she is not skimming cash to pay these people?The only thing anyone can say is that they see me doing the right thing, never stealing.

There are changes in the computer system, but anyone can go into that system and make changes at any time. There are no passwords or anything. Now I lost my job, although I dont want to work for someone like that, but now everybody in the plaza I work in thinks I did this because of her accusations.There are many things that go on in that place, and I cant believe this is even happening!

I have never done anything wrong in my life, I just graduated from college and have my life in front of me. I dont want it all ruined because of her. She is very a mean person, who has called me and other people durogatory names. Many clients get upset because of the things she does. I also live in RI most of the time, which is a two hour commute each way .I moved over a year ago and gave my notice, but remained loyal until she could find a year later and she still never found anybody because evrybody quits because she puts people down and is very hard to work for.

Part of me wants know if I could sue her. I dont want her to be able to keep treating people this way, do this to me with no hard evidence, and have that be that. Half the time I would leave work upset because she is so mean, but I was afraid to find another job and give her my notice because I knew she would be even more mad.

Sorry that was so long! This is just the first time anything like this ever happened, and I am at a loss.
Another thing I would like to mention is that all old employees, who have ALWAYS left on bad terms (and there is a VERY HIGH turnover rate there) still have keys. And the alarm code to the place has remained the same since the forst day she opened.

Also, the "cash drawer" is just a desk drawer, no lock or anything. And the "deposits", any credit cards slips, chaeks and cash are placed into an envolope and put in the bottom drawer of her desk, again with no lock or anything. The place is very small, everyone knows how to handl the deposit and where it goes. They all also know the system.
I keep thinking of things because this is driving me insane. When I was first questioned about this, my boss brought me in a room that has 2 doors and thin walls, we all know you can hear everything. I was approached by my boss, her husband, and a coworker. I feel like I should have been questioned by only her, not attacked by three people who wouldnt even let me explain. Now everyone knows what happened and it makes me look like a terrible person for something I didnt do, and that there is only circumstantial evidence.
Okay, we're not the ones you have to convince. No one here is saying you're guilty.

You CAN legally be fired if the employer thinks you are responsible, even if they are wrong.

They CAN have anyone in the room that they think is necessary. They CAN hold the meeting in a room with thin walls.

They CANNOT force you to repay them, but they CAN sue you if they truly believe you are the one who stole.

It would probably be best for you to discuss this with an attorney.
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