Forensic and Counter Fraud

Helping protect your business against fraud.
Investing in fraud prevention can deliver a return as high as 12:1, with a reduction in fraud-related losses of up to 40%, within 12 months.

The latest global research shows that losses to fraud average 5.85% of an organisation’s expenditure

Our Team

We are specialists with a high-level national and international track record built up over many years. We have advised clients of all different types and sizes, including governments, major national and international companies and high profile charities.

We have a strategic partnership with Europe's premier research institute on fraud, the Centre for Counter Fraud Studies at the University of Portsmouth. Jim Gee, head of the team, is also Visiting Professor and Chair of the Centre.

Fraud Resilience

Fraud Resilience is a measure of how well organisations protect themselves against fraud.

It is an holistic approach that encompasses everything an organisation needs to do (strategic, pre-emptive, reactive and governance-related) to protect itself against fraud. It measures:

  • how well an organisation understands the nature and cost of fraud affecting it
  • whether an organisation has an effective strategy to address the problem
  • whether an organisation has a counter fraud structure to implement its strategy
  • whether an organisation takes a range of pre-emptive and reactive actions to counter-fraud
  • the extent to which fraud is addressed and managed like any other business issue.
  • An organisation that is fraud resilient has the systems and processes necessary to prevent and deter fraud

A Fraud Resilience assessment diagnoses the areas requiring urgent attention.

We apply a government-accepted fraud resilience methodology to all our forensic and counter-fraud work.

Our Research and Data

Crowe and the Centre for Counter Fraud Studies manage the largest databases in the world concerning the nature and cost of fraud. These contain 19 years of data concerning 558 loss measurement exercises from many countries and across 40 types of expenditure with a total value of £13.27 trillion.

We also manage the largest existing database concerning fraud resilience (the government-accepted measure of protection against fraud) with data from over 1200 organisations and across most sectors.

We use the data to provide information to organisations to help them assess their fraud risks and to measure their counter-fraud measures, for our extensive series of reports, and as the basis of our Self Assessment Fraud Resilience tool.

Forensic accounting

Commercial litigation

We are experienced in assessing the effects of business interruption, and analysing lost opportunities and profits.

We cover claims involving:

  • loss of profits, value, or chance
  • wasted expenditure
  • contingent losses
  • contractual disputes
  • professional negligence
  • shareholder disputes
  • sale and purchase of businesses.

Our services:

  • analysing information on liability and quantum
  • drafting assistance
  • expert witness services
  • expert determination
  • calculation of quantum of loss
  • independent opinions on technical accounting matters
  • insolvency investigations and litigation support.

Fraud

We can establish and quantify the effect of fraud, and help protect you against economic crime.

Our financial investigation services include:

  • asset tracing and recovery
  • establishing and quantifying the effect of fraud
  • identifying areas for further investigation.

We can also develop and/or implement counter-fraud and anti-corruption measures.

Divorce

We act as expert and advisory accountants in divorce cases involving business assets.

We are used to dealing with complex share structures, quasi-partnerships and accounts that do not immediately reveal all relevant financial information.

We can:

  • advise on liquidity and available funds
  • identify potential liquidity and how it might be extracted
  • evaluate the actual income of the parties
  • provide opinions on the potential income that might be derived from the family business.

Expert evidence

We can provide experienced expert witnesses, skilled at communicating complex information to non-experts.

Expert witness evidence has been provided in:

  • cases of alleged ‘unfair prejudice’ to minority shareholders
  • shareholder and partnership disputes
  • commercial disputes
  • compensation claims
  • divorce proceedings
  • employee dismissal proceedings
  • fraud and theft cases
  • criminal confiscation cases
  • alternative dispute resolution.
Measuring and reducing the cost of fraud

The most recent Annual Fraud Indicator report shows that the UK currently loses £192 billion a year to fraud.

Other research, undertaken globally by the University of Portsmouth’s Centre for Counter Fraud Studies over the last 19 years, shows that individual organisations lose an average of 5.85% of expenditure to fraud and related issues.

Fraud is not just an individual event within organisations, it is an ongoing, mostly high-volume, low-value cost. Most organisations have an underlying exposure to fraud that is in proportion to their fraud resilience. Low resilience results in a higher exposure.

Managing fraud for competitive advantage

Fraud is costly: it undermines your organisation’s stability and profitability and it reduces the resources available.

The financial cost of fraud is a difficult area to address and rarely receives the same attention as other business costs, such as staffing, accommodation, utilities, and procurement. Determining the financial cost of fraud requires specialist counter fraud expertise. Organisations that lack the necessary specialist counter fraud expertise are typically subject to on-going and unacknowledged business costs.

Applying modern counter fraud good practice by reducing the financial cost of fraud gives an obvious competitive advantage by reducing the financial cost of fraud. The financial cost, and the benefit of its reduction, can be measured.

Fraud Loss Measurement

Fraud Loss Measurement is the method used to determine the nature (type) and extent (financial cost) of fraud affecting an organisation. It measures the actual financial cost of fraud.

How it works
A representative sample of items of expenditure it taken, weighed via algorithms for correctness, error and fraud, and delivers a fraud loss measurement that is accurate and statistically valid, accurate to +/- 1% and to a 95% level of statistical confidence.

Once you know the financial cost of fraud for your organisation you can reduce and minimise it like any other business cost. We have delivered projects that delivered reductions of up to 40% within a 12 month period, with around a 12 to 1 return on the cost of the work.

Building resilience against fraud

We can help you set up and apply counter fraud good practice. Applying good practice allows you to deal effectively with individual instances of fraud and also gives you a strategic approach that that pre-empts and minimises fraud losses. It puts the management structures and tools in place that will enable you to performance-manage counter fraud like any other area of work.

Justifying investment in counter fraud

The hidden nature of fraud and the need for specialist investigative work to establish its nature and extent means that it is often difficult to justify the necessary investment. By measuring the true financial cost of fraud, you can quantify the cost and the benefits and make an informed decision on the value of counter fraud investment.

Investigation and intelligence

Fraud and Financial Investigations

Where a fraud or other financial loss through dishonesty occurs, we can assemble the right team to discover what has happened, to identify those responsible and, more importantly, to prevent further loss (financial and reputational) and to recover what has been taken.

Our investigators understand the impact that fraud and other financial crime can have on an organisation and its people and recognise the need to act swiftly and discreetly.

Holding professional qualifications and with many years practical experience, we adhere to the stringent legislative requirements that apply to this work, ensuring that the range of sanctions remain available, whether these be criminal, civil or regulatory.

We have access to resources throughout the world, enabling us to trace assets and the proceeds of the wrongdoing, wherever they may be and have worked with numerous organisations, small and large, in the public, private and charitable sectors to deliver pragmatic and effective solutions.

We offer an initial cost-free, informal conversation.

Business Intelligence

Undertaking a business relationship carries with it many risks, risks that can often be mitigated by knowing as much as possible about the other party, whether they are customer, supplier, or potential partner. The global market place means that we do business and source products and materials from countries where different languages, laws and customs prevail and with extensive supply chains that may include entities located on a number of different continents. The Modern Slavery Act requires large companies to identify the risks of modern slavery and human trafficking within their supply chains, illustrated by a number of recent, high-profile, media exposés. A simple Google search is not enough to identify risk.

You need not only to protect your business, but also to ensure that your organisation’s activities will not fall foul of national or international anti-money laundering legislation, and the key to this is the need to fully ‘know your customer’.

We are able to provide you with a fully researched and documented report, identifying and verifying the key personnel, organisations and locations involved, so that informed decisions can be made when entering into new contracts or reviewing existing relationships.

Training and mentoring

Our courses and mentoring service are delivered by Accredited Counter Fraud Trainers.

Professional training

Where fraud or other financial crime has occurred it is essential that your organisation’s responders have a full understanding of the legislative and procedural requirements to carry out a financial crime investigation. Doing so will ensure that all possible sanctions remain available and provides the best chances to minimise loss and recover funds.

Our courses are delivered by Accredited Counter Fraud Trainers who have many years’ experience in delivering professional, university-accredited training. They have also had extensive operational experience enabling the theory to be applied to real-life situations.

Courses

Accredited Counter Fraud Specialist [16 days]
Accredited Counter Fraud Technician [5 days]

Both courses are linked to the Cabinet Office’s Developing Standard for Countering Fraud and delivered in conjunction with QuestGates Limited. They are accredited by the Counter Fraud Professional Accreditation Board and the University of Portsmouth.

Fraud Awareness [half-day]
Interactive course to make staff aware of the many forms in which financial crime can occur and to illustrate the vital role that they play in protecting their organisation’s assets.

Advanced Counter Fraud Specialist [5 days]
University-accredited course designed to equip managers and policy makers with the skills and knowledge necessary to enable them to put in place an effective strategy to protect their organisation from fraud.

Open-source Investigation [1 day]
Explores the extensive range of sources that are available on the Internet and deep-web to progress and enhance an investigation or due-diligence.

Investigator mentoring

The role of investigator is a challenging one, with client or management expectations bringing pressure to bear, as well as having to deal with reluctant witnesses, hostile suspects and examining a plethora of data. Evidence may not be readily accessible and normal investigative sources may not have produced relevant material.

When faced with such circumstances investigators often find it hard to know where to start and from where support and information may be sourced, particularly if he or she is new to the role and is the sole resource investigative resource within their organisation.

Our Investigator Mentoring Service offers low-cost, confidential support from our team of accredited and experienced counter fraud specialists. We can talk through the problems being faced and offer possible solutions and strategies to deal with the difficulties being experienced.

Contact us

We have an established track record of helping organisations reduce fraud losses. The cost of our fraud loss measurement and reduction service varies depending on scale and complexity. We have a range of options are available to suit all organisations and issues. The work can be completed in as little as two to three months and provides reliable and robust foundation for your business decisions.
Jim Gee
Jim Gee
Partner, Head of Forensic and Counter Fraud
London