Forensic accounting: The ‘better safe than sorry’ approach to fraud investigations
Forensic accounting services exist as a means of preventing, identifying, and reducing the risk of fraud. While the more dramatic cases may uncover large sums of missing funds over many years, the ideal approach to forensic accounting is to minimize the risk of fraud before it happens – or identify it as soon as possible.
As such, forensic accounting specialists should be consulted when there is any suspicion or allegation of theft, embezzlement, or fraudulent activity – doing so may lessen the financial damage to your company.
Signs You Might Need Forensic Accounting Services
You should contact a qualified forensic accounting specialist upon discovery of any of the following situations:
- Identification of internal control issues
- Personnel appearing to live beyond their means
- Unbalanced intercompany accounts
- Unusual write-offs or transactions
- Infrequent or late financial reports
- Disgruntled behavior from employees with access to finances
- A supplier who insists on dealing with one specific employee
- An employee who is over-protective of their work activities and does not take annual vacation time
Any of these situations could be indicative of fraudulent activities. It is important to stay alert and identify potential issues early, to minimize the damage to your company that would otherwise accrue if left unchecked.
If you encounter any of the warning signs above, contact us immediately to schedule a consultation with one of our forensic accounting experts.