Fraud is one of the biggest challenges faced by corporate (read as any businesses, not just corporations) America. Impact is enormous as not only do these businesses face financial loss, but clientele may lose confidence, and if a corporation, investors may rethink their contribution to the business. Fraud may find the business on the wrong side of government regulation causing more loss through legal expenses. Experienced private investigators can bring a broad suite of KSA (knowledge, skills and abilities) that can aid in determining the length and depth of fraudulent events.

Types of Financial Frauds in Business

• Corporate irregularities; a certain amount of non-compliance to procedure and polices is expected. But certain limits should never be exceeded. Compliance reviews must be conducted regularly.
• Asset misappropriation; using the company credit card to fuel your personal car, or buy clothing.
• Regulatory violations; compliance with the Foreign Corrupt Practices Act and the UK’s Bribery Act, all affecting business on an international scale. If operating on an international basis compliance with multiple jurisdictional agencies is expected.
• Improper business relationships; self-dealing and undisclosed relationships.
• Patent and copyright infringement, mismanagement and theft of intellectual property. Intellectual property theft covers a lot of territory. In some jurisdictions proof of value must be established to prosecute under current statutes. This is a very difficult undertaking. Theft is one aspect, another is destruction of the data. Customer/client lists fall under this category.
• Financial reporting fraud; including accounting violations and irregularities. Money laundering. Forensic accounting practices discover many irregularities associated with business fraud.
• Suspicious transactions; like unauthorized wiring of funds
• Conflicts of interest
• Bribery and corruption.
• Unexplained inventory loss due to internal theft. Theft from dock yards has grown and is now considered an ‘organized criminal pursuit’ with sophisticated criminal distribution outlets. A major problem for tech industries.
• Fraudulent vendor invoices; by vendor or internal
• Employee misconduct, including sexual harassment of employees, worse if directed towards a client. Showing up late or intoxicated. Working late and excessively using corporate assets for personal business.
• Cyber security breaches, hacking and data loss or theft. A constant problem associated with modern business. Those with nefarious thoughts are going to utilize the same tools that businesses use. A good IT department is a must have to conduct secure electronic transaction, for fast recover if your systems are penetrated and a quick response to mitigate any damage.
• Human rights violations; Labor law violations.
• Product counterfeiting, diversion and piracy. Not just music a video. Counterfeit Rolex watches and other exotic and expensive brands are sold daily. Clothing, including T-shirts are popular counterfeit designs.
• Risk management; Risk managers attempt to diminish the impact of risky operations, practices and mitigate settlements.

Private Investigator & Security Services in Greater Miami, Sunny Isles, Fort Lauderdale, Boca Raton, Weston, Plantation City & Miami Gardens Florida

Those who businesses fall prey to acts constituting fraud should be aware that an outside investigator or auditor will help to restore prestige and confidence. Internal investigation will always be suspect, better a disinterested third-party investigation. Extensive group KSA is needed as the investigation of fraud can cross so many skill and experience boundaries it is difficult to find a single individual that can do it all. Business fraud investigation demands a team approach. Advanced Private Investigation and Security can handle all your private investigator and security needs. Contact us today!