Transcript Document 7847548
Look Before You Leap: Forensic Investigations
Financial Fraud MGT 506-1
Discussion Points
Whether To Conduct Planning Phase Covert/Discreet Phase Transitional Phase Open Phase Remedial Phase 2
Whether To Investigate?
Pros
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Knowledge of facts needed for options Incentives for voluntary disclosure
Cons
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Cost – Hard & Soft Tip of Iceberg
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Reputation and legal liability for failing to disclose
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Planning Phase
Assembling The Investigative Team
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Independence
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Competence Investigative Resource Scope
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Inflating value Legal Implications
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Investigative techniques Third party liabilities Business Implications
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Discipline
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Morale Disclosure to law enforcement
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Covert/Discreet Phase
Why So Important
Undercover/Sting Operations
Database Research
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Commercial Databases Internet
Workplace Searches
Surveillance
Computer Forensics
Field Interviews
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Transitional Phase
War Story: Bklyn Wanna Mafia Be’s
Issues
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Who Where
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When How
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Contingency Planning
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Open Phase
Investigative Mentality
Corporate Miranda Warnings
Document Gathering
Interviews
Investigative Report
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Remediation
Quantifying damages Negotiating subject's resignation of employment or disciplinary action Negotiating financial recovery from the subject and other parties Negotiating financial recovery with third party victims Advising on business implications of investigative results Lobbying prosecutors and other law enforcement authorities to file criminal charges against the subject Conducting fraud audits of other business units for vulnerability to similar misconduct Developing controls to deter recurrence Monitoring of future business activities
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Dimon Case Study
Fraud Against Employees/Joint Venture Partners
Fraud Against Suppliers
Fraud Against Customers
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Government Commercial parties Consumers
Sample Schemes
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Antitrust
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Defective pricing
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Shipment of damaged goods
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