Forensic accountants have an unparalleled ability to extract information from complex and intricate financial accounts and databases. With the increase over the last decade of fraud, money laundering and other crimes which have emerged with the growth of technology, the role of forensic accountants has become more and more important in the court room. In this article we will give you an overview of the role that a forensic accountant can play in a court case, and which cases they can assist with. The following are three of the most prominent cases which a forensic accountant expert witness may assist with:

Money Laundering

Money laundering is by no means just a modern day crime; however, detecting it and finding the guilty party is becoming an increasingly difficult job. Money laundering, tax evasion and embezzlement have become far more prevalent in more recent times and now account for a huge percentage of the crimes committed in the UK. The issue faced by solicitors is how to assess the criminality of a case when they don’t have the expertise to discover the origin of funds, how money may be disguised and the individuals involved. Whether heavily facilitated by technology or baring a physical paper trail, the appointed forensic accountant expert witness can scour the existing evidence in order to establish when, how and to what extent the financial crime has been committed.

Fraud

In its very nature fraud is an incredibly immoral crime, with the criminals who partake in this activity often targeting the more vulnerable members of society. Unfortunately this crime has grown in prevalence over the last 5, 10 and 20 years with people losing out on more and more money as the years go past. In order to find the source of fraudulent activities, a solicitor will often hire a forensic accountant who is well equipped to analyse documents, banking records and financial transactions. Forensic accountants will use various methods to aid their investigation. One method is the use of a computer assisted auditor which extracts historical transactions within a business from a specific time. The aim is to search for anomalies to investigate with haste and efficiency. This in-depth data analysis will help to reveal where the funds were accessed from and moved to.

Divorce

Due to the nature and consequences of separation, divorce cases are already taxing and difficult affairs for those involved. In some cases the divorcees may be resentful and in others they may be amicable towards one another. Irregardless of their disposition towards each other, it is not uncommon for the individuals involved to hide assets or money from each other. This could be in the shape of savings, jewellery, artwork, the list goes on.

In order to make the divorce process run as smoothly as possible solicitors will often instruct a forensic accountant expert witness. This expert will examine and investigate the couple’s financial histories, accounts and assets, as well as looking for places where assets could have been hidden. This ensures that a definitive and fair sum is impartially reached and shared by the two individuals.

A Necessity in Financially-Based Cases

Solicitors instruct the services of forensic accountants as the expertise required to get to the bottom of the criminal activity in financial cases requires a highly refined skillset which many simply don’t possess. By hiring a forensic accountant expert witness through Foresight, you can guarantee that your expert is experienced and court-ready. To speak to one of our dedicated case managers, get in touch today.