When it comes to civil disputes, matrimonial law, or suspected fraud, forensic accounting provides invaluable assistance in uncovering the truth. A forensic accountant uses not only their financial and mathematical knowledge, but also skills similar to those of a detective, to get to the bottom of tough monetary questions with legal implications.
Due to the complexities of the modern financial world, it takes specialized training and expertise to make sense of what may have really happened in instances of possible malfeasance. Professional accounting opinions are also invaluable in matrimonial matters such as divorce cases, as well as in various kinds of civil litigation. No one is better suited for this than a forensic accountant. Using a keen investigative eye, these experts can help individuals, businesses, and government organizations uncover financial irregularities and legal issues.
Three Main Areas of Forensic Accounting
Financial crimes are far from victimless and can lead to innocent, unsuspecting people losing their savings. Untold quantities of money can also be tied up in civil litigation at any given time, and it’s in everyone’s best interest to have a fair system of determining who is in the right in matters such as contract disputes. Training in forensic accounting provides the necessary skills and expertise to investigate such cases.
Forensic accountants usually apply their skills in the following three primary areas: litigation support, investigation, and dispute resolution.
#1. Litigation Support
If financial disputes cannot be resolved in ordinary negotiations between individuals or businesses, things may end up in mediation, arbitration, or even the courtroom. That’s where litigation support from a forensic accountant comes in.
During civil or matrimonial litigation, for example, a forensic accountant might be called in to provide an objective and impartial analysis of financial records and other documents, calculate potential damages, and even provide testimony on the subject.
Forensic accountants are also asked to review and analyze evidence such as contracts, financial statements, tax returns, emails, and other documents in order to quantify economic damages.
The goal is to determine how much an individual, corporation, or other organization has been financially affected by the actions of another, especially as it concerns any potential legal settlements.
#2. Investigation
It’s not just the business world that requires a forensic accountant’s services. If a person or business is suspected of a financial crime, a forensic accountant may be tasked with examining financial records and documents to uncover any evidence.
They’ll use their analytical and investigative skills to scour the relevant papers, uncover hidden funds, analyze the records, and identify any discrepancies. Forensic accountants may also offer their services to law enforcement agencies and government organizations in the investigation of money laundering, embezzlement, or other crimes.
#3. Dispute Resolution
In some cases, a forensic accountant may be hired to help resolve a financial dispute between two or more parties. Forensic accountants are trained to assist in situations where there is disagreement about who is owed what, who is responsible for which debts, and similar issues.
In cases like this, forensic accountants provide objective, unbiased analysis of financial documents, helping the parties to interpret financial laws involved in the dispute or make sense of complex contracts. They might also be called upon to testify at any arbitration or litigation process that may arise — they will gather facts, interpret them, and present their findings to a court of law. Forensic accountants may also offer neutral, expert advice to fairly conclude disputes when the parties enter into mediation rather than a lawsuit.
Cg Offers Forensic Accounting Services You Can Trust
If you’re looking for a reliable, experienced forensic accounting firm to help with your case, then look no further. Our experienced professionals are here to provide you with the resources and support you need.
We provide comprehensive forensic accounting services that include forensic divorce accounting, fraud investigation & mitigation, economic damage calculations, fraud risk assessment, forensic auditing & data analysis, and expert testimony in cases of mediation or litigation.
Contact us at Cg today — let our team of forensic accountants put your mind at ease.