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Uncovering the Truth When
Fraud is Suspected
A competent forensic expert is essential when identifying the source
of fraud and the trail behind it.
A forensic expert who offers a diverse background of operational
experience is even more valuable.
Forensic accounting is part of
the investigation in uncovering the truth when financial
fraud is suspected. But is that
enough? Often the client
damaged by fraud has a difficult time accepting that it
happened and that steps must
be taken to prevent it from
happening again.
More Than Just the
Numbers
An investigation of financial fraud
involves more than analyzing
numbers. Determining the opera-
tional weaknesses that allowed
fraud to happen requires special-
ized experience. A consultant
with hands-on experience in the
operations of a wide variety of
businesses and an understanding
of internal financial controls is
able to not only analyze the
numbers but also provide knowl-
edgeable guidance on how to
uncover weaknesses and estab-
lish procedures to deter fraud in
the future.
Identifying the Breakdown
in Internal Controls
According to the Association of
Certified Fraud Examiners’ 2012
Report to the Nations, the vast
majority (77%) of frauds were
committed by individuals working in one of six departments:
accounting, operations, sales,
executive/upper management,
customer service and purchasing.
Often the perpetrator is one that
has limited or no oversight and
unilateral authority to access
cash, inventory or other assets
and/or financial data. A consultant experienced in fraud investigation will be able to focus on
those who have such access and
could potentially be responsible
for fraud.
Company Performance
Indicators
Reviewing a company’s projec-
tions and historical results
against actual recent perfor-
mance or industry benchmarks
may help uncover the truth based
on the degree of variances in
income and expense categories.
A high-level overview of compar-
ative periodic results can provide
tremendous insight in narrowing
the scope of the investigation.
The forensic expert who has an
understanding of business oper-
ations in a variety of industries is
better able to analyze trends and
identify inconsistencies in a com-
pany’s financial information.
Uncover the Truth Behind
Your Case
Hiring a financial forensic expert
with a broad background of
experience in the operations of
various industries brings expertise that is a step beyond basic
forensic accounting, and allows
you to provide a value-added
service to your client.
The right financial expert will
help your client track down and
identify the fraudulent activity,
as well as establish processes to
deter fraud and limit losses in
the future.
One Renaissance Square | Two N. Central Ave, Suite 700 | Phoenix, AZ 85004
www.sierracgllc.com
JOSEPHINE GIORDANO, MANAGING DIRECTOR
MBA, CPA/ABV, CVA, CBA, CFE, CFF, ASA, CDBV, CIRA
Jo has fraud investigative experience as well as knowledge of financial
and operational internal controls in several industries, including banking,
healthcare, and farming. She also has experience in corporate restructuring,
business valuations and receiverships.
