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Posts Categorized: Forensic Accounting

Assure Timely Royalty Payments with Royalty Audits by Forensic Accountants

Have you or your clients licensed the use of intellectual property in return for royalty fees?  Are you or your clients franchisors who receive franchise fees from your franchisees?  If so, are you conducting royalty audits in a timely manner to assure that you are receiving the fees to which you are entitled?  If not,… Read more »

Fraud Investigations Reveal How to Stem Purchasing Department Fraud

Do you have a purchasing department employee who suddenly started taking expensive vacations, wearing expensive jewelry or driving an expensive new car?  There are lots of reasons why an employee might appear to be living beyond their means.  Perhaps the employee or their spouse came into an inheritance, won the lottery, received a sizeable insurance… Read more »

Employee-Driven Retail Fraud Continues Despite Fraud Deterrence Measures

Despite increasingly stringent fraud deterrence measures, fraudulent activity in retail operations such as stores and restaurants continues to pose a significant problem, with the retail industry estimating a loss of nearly $3.2 billion to fraud in 2014. “Technological improvements and greater oversight have made it more challenging for fraudsters to steal cash and inventory from… Read more »

Forensic Accountants Simplify the Most Complex Data for Jurors

Presenting financial information to a jury, especially in complex matters, can seem a nearly impossible task.  Most jurors have little or no understanding of financial statements or financial analysis, and introducing large amounts of data and complex spreadsheets can be mind boggling and intimidating.  But the job of a forensic accountant providing expert witness testimony… Read more »

Fraud Tales: Fraud Investigation Tracks Tiny Fraud that Grew

As fraudulent activity goes, it was a seemingly miniscule theft — a mere $2,000 pilfered decades ago.  Hardly worth raising an eyebrow.  But the case of Mark Jenkins is a prime example of how a seemingly innocuous case of fraud can mushroom into a major theft, requiring a forensic accountant to conduct a fraud investigation… Read more »

Fraud Tales: Fraud Investigation Uncovers Medicare and Medicaid Fraud

Government payments to providers under the Medicare and Medicaid programs are based on an “honor billing system,” meaning it is up to providers to honestly and accurately bill the government for services or goods provided.  Not surprisingly, fraud investigations routinely uncover fraudulent activities that cost the government billions of dollars each year. “As a forensic… Read more »

Fraud Tales: Fraud Investigation Reveals Fraudulent Junior Partner

The senior partner at an auto dealership was a successful businessman who owned multiple businesses.  As a result, he relied heavily on his junior partner to act as the general manager of the dealership.  With the dealership running smoothly and turning a profit, the senior partner had no reason to suspect anything was amiss until… Read more »

Valuation Issues in Divorce Best Left to Forensic Accounting Experts

Determining the equitable value of a business that is at the center of a divorce case can be a tricky situation, particularly when spouses have differing opinions about what that value should be.  No doubt that is why most attorneys turn to a forensic accounting expert who has served as a marital dissolution accountant and… Read more »

Rely on Forensic Accounting Experts to Untangle Valuation Issues in Divorce

The decision to end a marriage is a messy affair that becomes undoubtedly more complicated when the division of property includes a business that must be valued.  In these cases, determining a fair value for the business is best left in the hands of a forensic accounting expert who has experience serving as a marital… Read more »

Forensic Accounting Experts Tackle Valuation Issues in Divorce

Marriage dissolution is never easy.  Throw in the complexity of one spouse owning a business that must be equitably valued and the complications multiply.  Fortunately, forensic accounting experts who also have served as marital dissolution accountants and business valuation experts can help unravel the complexities and help the parties reach a fair valuation of the… Read more »

Forensic Accounting Experts Unravel Complex Valuation Issues in Divorce

Ending a marriage equitably can be a complex process when spouses and their attorneys face the daunting prospect of determining the value of a business.  In these cases, it is always a good idea to consult a forensic accounting expert who also has served as a marital dissolution accountant and a business valuation expert to… Read more »

Fraud Investigations Identify Common Expense Reimbursement Schemes

Expense reimbursement fraud is one of the most common and pervasive types of fraud affecting companies today.  While the amount stolen by any one individual is relatively low, fraud investigations have found that the sheer number of employees committing this type of fraud can translate into a significant loss for a company. “Many employees don’t… Read more »

Business Valuation: Why Shares in Private Companies Are Discounted

You own 25 percent of a privately held business valued at $2 million, so it stands to reason that your investment is worth $500,000, right?  Not necessarily.  When valuing an ownership interest in a privately held company, business valuation experts must consider factors that can significantly reduce the value of your stake in the business…. Read more »