In a corporate fraud investigation, the most abundant source of information about the fraud will likely come from internal records of the company. Remember, of course, that the internal records will be not only be paper records, but will be digital as well. In fact, the volume of digital records will likely be greater than the paper records, as companies reduce the amount of paper in favor of computerized records.
Typical internal records requested by a fraud investigator include accounting system data, financial statements, tax returns, sales and accounts receivable records, expense documentation, and proof of payments to vendors. The financial data requested often starts with broader requests (financial statements and tax returns) and moves toward more detailed requests (account detail, invoices, etc.). This is because the broader requests are generally used to get background information about the company and its finances. As the investigation progresses, the investigator will dig further into the specifics, which will require the detailed documentation. Read More