Introduction
Fraud examination is a multi-step process, consisting of document examination to identify fraudulent activity or identify any evidence concerning such activity. Additionally, neutral third-party witnesses, as well as corroborative witness accounts should be considered if they are available.
An independent forensic accountant may also be brought in to help determine the origin and movements associated with any suspicious financial transactions. These steps must all be done carefully in order to make sure that definitive evidence can be discovered, analyzed, and presented in a way that is consistent with the highest legal standards.
Document Examination
The document examination stage is the most important since it reveals relevant information about a case. Following document analysis, it is essential to identify potential suspects and document accounts related to the crime.
Subsequently, an investigation should be carried out, where evidence must be collected and analyzed so that it can be either used to build up a stronger case against an accused or discounted from further consideration.
Corroborative witnesses
A fraud examination is a process of gathering, analyzing, and evaluating information. Corroborative witnesses are a key part of the process, as these individuals provide insight into what exactly happened. Specifically, corroborative witnesses may be able to offer testimony about the event that took place and may have knowledge about the people or organizations involved.
Corroborative witnesses are also important because they can help to paint an accurate picture of what occurred; without them, it can be difficult for someone conducting a fraud examination to build a trustworthy case. It’s also worth noting that without corroborative witnesses, the fraud examiner is likely to lack sufficient evidence to draw any meaningful conclusions.
Neutral Third-Party Witness
A fraud examination is an essential part of the investigative process when there has been an alleged instance of fraud. It involves pulling together relevant evidence, analyzing documents, researching facts, and conducting interviews to identify potential discrepancies.
It’s critical for a fraud examiner to remain objective throughout the process, as well as work in collaboration with a neutral third-party witness.
This person’s role is to observe the proceedings and provide additional insight or expert testimony if necessary. Depending on the situation, the fraud examiner may have access to other resources such as financial data or accounting knowledge to help piece together a clearer picture of what happened. In the end, all evidence must come together in a coherent fashion in order to assess whether fraud occurred and determine if any crimes were committed.
For a neutral third-party perspective, having corroborative witnesses involved is recommended. These witnesses have no personal stake in the outcome of the case and can potentially provide valuable insight into past events surrounding the crime.
Co-conspirators
Co-conspirators may also be identified during a fraud examination. Co-conspirators could be defined as individuals involved in a fraudulent activity along with another person who assists in its commission.
Co-conspirators are necessary for a successful fraudulent act to occur, so identifying them is an important part of the examination process.
Gathering information from all those involved including victims, suspects and witnesses is critical and may even lead to discovering other co-conspirators that were previously unaware of the crime taking place. A thorough investigation of any suspected fraudulent activity should always include considering the presence of co-conspirator(s).
Accused
A typical fraud examination begins with the identification of an accused perpetrator. Accusations can come from a wide variety of sources including management, internal controls, or law enforcement.
Step two involves the collection and synthesis of evidence to develop a case against the accused. This includes collecting financial records, searching warrants, and interviewing affected parties as part of an investigation. Thirdly, after conclusive evidence is gathered and organized into a logical order, it is presented in a report or testimony to support legal action against the accused- party.
Finally, whether it is within a criminal or civil trial set, an expert witness will use their expertise to provide the evidence which supports their conclusion and helps resolve the fraud accusation in question.
