Forensic Investigation & Compliance

Forensic investigation can be either proactive or reactive, responding to risks or alleged cases of fraud, corruption, violations of compliance, misappropriation of assets and other misconducts.

We pride ourselves on our ability to undertake in-depth investigations, remaining sensitive to businesses’ concerns around reputation, confidentiality, and minimizing disruption. For accounting investigations, our qualified accountants and fraud experts have extensive experience with fraud, regulatory investigations, tax investigations and corruption cases.

Apart from detecting and quantifying alleged cases of fraud, embezzlement, bribery and corruption, our experts can also assist you proactively by understanding your external and internal environment, evaluating internal controls and suggesting or improving controls, compliance programs, governance and policies structure, risk profiling and management.

Mazars’ forensic technology team has cutting-edge data analytics tools and algorithms at its disposal to provide data mining and forensic analysis services in connection with complex investigations and dispute resolution assignments. Data from multiple sources, including mobile phone data and 'deleted' data, can be centrally stored on our premises in a forensically sound image that facilitates quick identification of problematic transactions and stands up in court. Password recovery and data decryption are available as specialist services that may provide vital additional evidence.

Fraud & Embezzlement

Examining alleged cases of fraud:

  • Missing or forged checks
  • Vendors’ payments with cash in hand
  • Diversion of funds to personal purchases
  • Ghost employees
  • Tax avoidance through disguising revenue or expenses
  • Payments to suspicious suppliers
  • Fake expenditures

Misappropriation of Funds & Assets

Theft or misuse of an entity's assets:

  • Cash theft
  • Theft of tangible assets
  • Fraudulent sale of a tangible asset through false transactions
  • Using an organization’s assets for personal use
  • Billing schemes through fake suppliers or customers
  • Unusual disbursements or transactions lacking sufficient supporting documentation

Profit Loss & Financial Damage Analysis

  • Impact of employees’ fraudulent activities
  • Property insurance claims
  • Business interruption claims

Compliance Review

Organizations operating under complex regulations need external advisors to review compliance with the law or other regulations. We can assist:

  • SMEs with no resources on compliance reviews
  • Organizations with complex business processes that require periodical review of compliance with regulations from external advisors
  • Shareholders of large corporations requiring external advisors for compliance reviews

Internal Controls Review

Review the compliance with internal procedures and controls that may result to misappropriation of assets or expose the organization to financial or judiciary risks. In particular:

  • Review of effectiveness of vendor procedures and controls
  • Review of internal controls on payment procedures due to vendor complaints
  • Review of compliance with receipt & payment procedures in case of diminishing cash cycle

Execution of Contracts

Prepare analyses to confirm compliance with contractual terms or prove and calculate the financial impact of non-compliance

  • Review of EBITDA of leased property and recalculating variable lease obligations
  • Examine timely payments of certain liabilities
  • Review related party transactions and compare to a threshold under contract requirements
  • Compare recalculated employees’ costs to contract limitations

Bribery & Corruption

Private and public sector suffer from bribery and corruption incidents, resulting in misappropriation of assets, loss of trust and profit losses. Our Forensic & Investigation professionals investigate and report on alleged cases of bribery, conflict of interest and extortion by using investigation techniques and technology. Specifically:

  • Bribery of public officials to favor specific contracts
  • Unusual payments to consultants channeled to public officials
  • Unusual supply of goods or services
  • Authority misuse or abuse
  • Unjustified personal wealth of executives
  • Expenses and supplies from executives’ acquaintances
  • Vendors complain about extortion from the Chief Purchases Manager