Forensic accounting
When money goes missing, a dispute turns on the numbers or a loss needs explaining, you need someone to trace the records. Forensic accounting does that. Fairview Audit connects you with a partner firm that performs the investigation.
Fairview does not investigate anything itself.
What the work looks at
A forensic accountant gathers and examines evidence to help decision makers judge whether suspicions of misconduct have merit, or to support a dispute. The work is usually driven by a question: where did the money go, what is the real amount owed, or what was the loss?
Common situations include:
- Suspected employee theft, false invoices or expense abuse
- Vendor fraud, such as duplicate or inflated billing
- Disputes between business partners or owners
- Insurance claims that depend on a documented loss
- Disagreements over the value of a business or a purchase price adjustment
- Contract disputes where damages must be calculated
- Preparing financial evidence for a lawyer
The firm reviews ledgers, bank records, invoices and other documents. It looks for patterns that do not fit, such as payments to unknown parties or records that were changed. It then summarizes its findings in a report. Professional standards separate investigation work from litigation work, and a forensic accountant may not opine on whether fraud occurred. If a matter may go to court, your lawyer normally decides how the firm is engaged. [CONFIRM: a partner firm supplies and approves what litigation support it offers]
What you provide
Your partner firm will tell you what it needs. Expect requests for the following.
- A clear description of the concern and a timeline of what you know
- General ledger, subledgers and bank statements for the period
- Invoices, receipts and approval records
- Vendor and employee master lists
- Contracts, agreements and related correspondence
- Access logs or system reports, where relevant
- Names of the people who handle each process
- Any documents already collected by your lawyer or insurer
Keep original records as they are. Do not confront suspects or alter files before talking to the firm and your lawyer.
Warning: If you suspect fraud, limit who knows and preserve the records. Speak to your lawyer before taking action against any person.
What happens after you submit a request
- You submit a request on the path that fits your business, or on the not sure path if your need is unusual.
- A partner firm contacts you. It may ask for a confidential first discussion.
- You agree on the question to answer, the scope and who receives the findings.
- You share documents and the firm works through them.
- The partner firm reports its findings to you or to your lawyer.
The engagement and any fees are between you and the partner firm under the firm's own terms.
Who it suits and how matching works
This service suits owners, controllers and boards facing a suspected loss or a financial dispute. It also suits lawyers acting for a business, who may ask their client to submit a request.
Fairview offers three request paths: larger business, smaller business, or not sure or another need. There is no fixed size cut-off. Fairview matches each request by hand. Each path leads to its own form: larger business, smaller business or not sure. Your request goes to the matched partner firm, or to Fairview for manual matching on the not sure path. You then talk with the firm directly.
An independent partner firm that specializes in forensic accounting handles this work. Fairview Audit makes the match. We do not perform the review ourselves.Who does the work
Frequently asked questions
Is forensic accounting the same as an audit?
No. An audit tests financial statements broadly. A forensic engagement targets a specific question.
Will the firm tell me who is responsible?
The firm reports what the records show and does not rule on whether fraud occurred. Decisions about blame, discipline or legal action are for you and your advisers.
Is the work confidential?
Ask the firm about confidentiality and privilege before you share anything. [VERIFY: how privilege applies when a lawyer engages the firm, which varies by jurisdiction]
Can it help with a payment recovery?
It can show what was paid and whether it matched the agreement. Any recovery is a separate step between you and the other party.
Related pages
- Services overview
- Accounts payable audit
- Internal audit outsourcing
- Financial statement audit and review
Tell us what you need reviewed. We match you by hand with an independent partner firm. You keep your existing vendors.Find out what you are overpaying.