Forensic Audit

Question 1

Planning

Answer 1

1. Clarify objectives and deadline for engagement
2. Enquire whether the insurance company has been contacted
3. Scrutinise the insurancy policy to ensure cover is in place.
4. Consider the resources and skills required
5. Confirm w. client that full access to info will be allowed.
6. Confirm the output of the investigation
7. Confirm whether you will be required as an expert witness.

Question 2

Procedures

Answer 2

1. Inspection of documents
2. Enquiries of mgmt and staff
3. Analytical procedures
4. Automated tools and techniques
5. Tests of controls

Question 3

Reports

Answer 3

1. Summary of procedures performed
2. Summary of results of procedures
3. Conclusion regarding losses
4. Recommendations to prevent future problems.

Question 4

Fraud Investigation Work

Answer 4

1. Funds tracing
2. Asset identification and recovery
3. Intelligence gathering
4. Due diligence review

Question 5

Insurance Claims

Answer 5

1. Detailed review of policy from either insured or insurers persepctive to investigate coverage issues.
2. Identification of appropriate method of calculating loss, quantification of losses.

Question 6

Professional Negligence

Answer 6

1. Advising on merits of case in regards to liability quantifying losses.

Question 7

Shareholder Partnership and matrimonial disputes

Answer 7

1. Detailed analysis of numerous years accounting records to quantify the issues in dispute, tracing, locating & evaluation of assets