Employee Fraud
From small scale expenses fraud to million pound embezzlement, the cost of fraud is immeasurable for a company's reputation.
Case Study 1 - MULTI MILLION DOLLAR PENSION FUND FRAUD
The CEO of a Middle Eastern pension fund, was suspected of arranging kickbacks via artificially elevated investment management fees charged by hedge fund managers in exchange for substantial monetary investments. The individual allegedly received cash and assets in excess of $200m via a complex web of offshore entities. The investigation undertook a review of hedge funds' accounting records, and reports determining the veracity of the allegations, and value of the fraud.
case study 2 - ceo expense fraud & Asset misappropriation
The CEO of a NASDAQ listed multinational corporation in the online retail industry, was suspected of defrauding the company by submitting false invoices. The individual's company computer was forensically imaged, and recovered documents reviewed in conjunction with invoices submitted by "suppliers". The investigation confirmed false invoices had been created on the CEO's computer, and submitted to the company's finance department. The investigation also revealed ghost employees, unauthorised suppliers, missing equipment and intellectual property theft. Criminal and civil proceedings were commenced against the CEO.
CASE STUDY 3 - COVERT INVESTIGATION INTO ALLEGED KICKBACKS
A large construction company, received allegations of an employee offering kickbacks on construction contracts via a whistleblowing hotline. To avoid arousing suspicion, the client wanted a covert investigation into the employee's activities to determine if the allegations were true. The individual's company laptop and mobile phone were forensically imaged, recovered documents and logged phone calls were analysed, and a profile of the individual compiled. The individual's employment was subsequently terminated.
CASE STUDY 4 - FOREIGN SUBSIDIARY ASSET MISAPPROPRIATION
The Chinese subsidiary of a UK automotive manufacturer received whistleblower allegations of local management extracting assets for their own use and diverting profits to other businesses which they owned. Our work included a review of the accounting books and records including the sales, purchases and production documents of the Chinese entity, interviews with key management and staff, and background checks on a number of key employees.
Our work revealed that a number of the allegations made by the whistleblower were well founded, that assets had been misappropriated and significant weaknesses in the subsidiaries procedures.