Forensic accountants, also referred to as forensic auditors or investigative auditors, utilize their accounting, auditing and investigative skills in various litigation support and investigative accounting settings. A forensic accountant has the responsibility to communicate financial information clearly and concisely in a courtroom setting. They provide an accounting analysis that is suitable to the court which will form the basis for discussion, debate and ultimately dispute resolution. They are trained to look beyond the numbers and deal with the business reality of the situation.
WHAT ALL CAN I DO?
As part of the corporate governance committee, a forensic accountant can make significant contribution in: formulating and establishing a comprehensive governance policy; prevention of fraud; monitoring not only compliance at the top levels of the corporate power, but also management procedures and employee activity. They ensure the integrity of financial statements by actively investigating for potential frauds.
Insurance companies recruit forensic accountants to have a precise assessment of claims to be settled. Similarly, policy holders seek the help of a forensic accountant when they need to challenge the claim settlement as worked out by the insurance companies. A forensic accountant handles the claims relating to substantial loss policy, property loss due to different risks, loyalty insurance and other types of insurance claims.
Forensic Accountants can also work in a number of government organizations where they conduct the financial investigative portion of complex cases.
Forensic accountants are employed here to inquire, identify, investigate, test, examine, analyze and interpret financial documents and data.
Forensic Accountants with broad business backgrounds and forensic experience are a vital resource to the litigation team and provide valuable insight into financial issues. Litigation often involves multiple, complex accounting and legal issues that overlap and intertwine.
- Perform forensic research to trace funds and identify assets for recovery
- Conduct forensic analysis of financial data
- Prepare forensic accounting reports from financial findings
- Prepare analytical data for litigation and testify the same as needed
- Analyze and investigate financial statements and reports for signs of irregularities
- Reconstruct the events and activities involved in financial wrongdoing
- Create presentations in support of legal cases, and may be called upon to testify in court regarding their findings
- Audit records, investigate into inconsistencies, trace assets, and interview individuals who created, contributed to, or reviewed records under analysis