Program: Financial Forensics Academy™
Sponsor: financialforensics®
Focus: What Your Clients “Think” You Know about Forensic Accounting©
Your clients’ expectations reach beyond your core expertise whether auditing, tax, valuation, or litigation. Such expectations are no surprise since forensic accounting is now a household term. Thanks to extensive media coverage of several high profile corporate collapses and showcasing of forensic accounting specialists the public “thinks” that all CPAs have such expertise. Consequently, the public, i.e., your clients “think” that you deliver professional services from a foundation of forensic accounting. The accounting profession has reinforced such perceptions despite failing to provide guidance. Specifically, virtually every accounting periodical devotes space to forensic accounting and related subjects. Further, all CPE providers offer various courses on the subject or some derivative. Finally, accounting graduates are increasingly attracted to firms offering such services. Paradoxically, the accounting profession has yet to embrace (or even offer) a cogent, comprehensive, forensic accounting methodology by which accountants can guide and refine their forensic accounting craft. Likewise, defending one’s core expertise continues to be more challenging without independently codified benchmarks within a “body of knowledge.” However, this program changes it all. This intensive five-day program is the only program of its kind in the United States. It takes participants from concept to detail and delivers specific forensic accounting tools and techniques that are immediately applicable to virtually all aspects of the accounting profession. The techniques are applicable to auditing, tax, valuation, litigation, and fraud and virtually every aspect of CPA services. By contrast, other programs purporting to provide training are too narrowly focused, e.g., fraud, or cover only concepts, and lack real-life methods.
Details:
Why You Should Attend
There are seven reasons why you should devote the time and money to attend this session:
• First, your core practice (audit, tax, et al.) will be enhanced by the 200–300+ tools and techniques taught during the class
• Second, your part-time practice areas (valuation, litigation, et al.) will be enhanced by the 200–300+ tools and techniques taught during the class
• Third, you will identify new practice areas as logical extensions of your expertise
• Fourth, you will possess a framework to train staff and leverage your knowledge
• Fifth, you will receive actual report excerpts for future application
• Sixth, you will receive actual trial exhibits for future application
• Seventh, you will be a part of restoring our forensic accounting legacy
What You Will Learn
This session is different from any other (alleged) forensic accounting session that you have ever read about or attended. Specifically, it delivers 200–300+ practical, realistic, and immediately useable forensic accounting tools and techniques that you can apply in all aspects of your practice. Participants will gain two distinctive skill sets:
First, a working knowledge of a proprietary forensic accounting methodology, i.e., FA/IM© (Forensic Accounting/Investigation Methodology©). Its software-based “process map” approach will be used to illustrate the application of forensic accounting tools and techniques to all aspects of professional services. The session applies a software-based methodology (selectively available) that provides specific investigative tools and techniques. (FA/IM©’s foundation is continually updated as current and new forensic tools and techniques are formalized. Consequently, it is a continual work-in-progress that compels attendees to periodically repeat the training in order to gain current knowledge.)
Second, training in the “Top 30” specific tools and techniques to use in forensic accounting and related assignments, e.g., Full-and-False Inclusion, Genogram, Entity(s) Charts, Timeline Analysis, Link Analysis, Item Listing, (Modified) Net Worth Method, Source and Use of Cash Method, Proof-of-Cash Method, Digital Analysis (e.g., Benford’s), CAGR, ANOVA, Gap Analysis, AQI, TATA/TARTA, et al.
Also addressed will be:
• Attest (audit, review, compilation)
• Credit Assessment
• Fraud (employee, financial statement misrepresentation, corruption)
• Internal Audit (operational and financial)
• Investing
• Litigation/Damages including (partial listing): Alter Ego, Audit/Review/Compilation, Bankruptcy, Damages, Due Diligence, Fraud–Civil and Criminal, Fraudulent Transfer/Conveyance, Insurance Loss, Intellectual Property, Lost Profits, Marital Dissolution, Shareholder Disputes, Solvency/Insolvency, Tax Returns, Valuation Focusing on Normalizations, Management Effectiveness, Guidelines
• Portfolio Analysis
• Taxation (compliance and planning)
• Valuation (fair value, fair market value)
Daily Schedule Day 1
Day 1—Our Forensic Accounting Legacy— Context and Rationale: Differentiate and Demonstrate Forensic Accounting Mind Set
• Live exercises will enable participants to use respective tools
• Review accounting profession’s legacy of forensic accounting
• Compare and contrast industry sources, e.g., ACFE, AICPA, CICA, et al.
• Introduce and demonstrate “ICE© & SCORE©” Methodologies
• Introduce and demonstrate “FA/IM©” software Methodology
• Demonstrate “hyperlinked” access to example report contents, tools, et al.
• Differentiate forensic accounting from mere “fraud” analysis (actual cases, including exhibits, will be profiled to demonstrate application)
• Identify technical reference sources
• Full-and-False Inclusion
• Chain of Custody/Duty to Preserve
• Genogram
• Entity(s) Chart/Events Analysis
• Records-based expectations
• Gap Analysis/Document Map
• (Modified) Net Worth
• Cash-T Analysis
• Lifestyle Analysis
• Link Analysis/Root Tracing
• Item Listing
• Source and Uses of Cash
• Funds Velocity Techniques (comprehensive), e.g., CAGR, et al.
• Et al.
Daily Schedule Day 2
Day 2—Laying the Foundation— Introduction to Forensic Accounting Tools: Utilizing Forensic Tools
• Live Exercises will enable participants to use respective tools
• Identify technical reference sources
• Document Map/Gap Analysis
• Interviews and/or Interrogations
• Behavior Detection/FACS
• Background Investigation/Search Log
• Collect Data for Validation/Corroboration
• Interpersonal Communications
• Audio/Video Recordings, e.g., Receiver
• Lead, Participant, and Covert Informants
• Transcripts
• Genogram—Updated
• Entity(s) Chart—Updated
• Deposition Matrix
• Events Analysis
• Key Data Output Notebook
• Et al.
Daily Schedule Day 3
Day 3—Introductory and Intermediate Techniques—Analytical Development: Digital Analysis: Introduction
• Live exercises (IDEA© software) will enable participants to use respective tools
• Proof-of-Cash—Single account
• Proof-of-Cash—Multiple accounts
• Financial Analysis (Comprehensive)
• Reverse Proof and Reperform
• Aberrant Pattern Detection
• Attributes Sampling
• Digital Analysis including: Benford’s Law, Stratification Percentage Comparison, Statistical Implications, Duplicate Numbers Test, Rounded Numbers Test, Anomalies Testing, et al.
Daily Schedule Day 4
Day 4—Introductory and Intermediate Techniques: Executing Critical Forensic Techniques
• Statistical Analysis including: Central Limit Theorem, Law of Large Numbers, Gaussian Distribution/Randomness, Hypothesis Testing, the Law of Errors, Variance Measurements, Probabilities, Bayesian Theory, Gott’s Principle, Pascal’s Triangle, Isomorphisms, and Sampling
• Begin Written Report including: “Results Visualization/WPN, Report Card” Concept—Indicia; Badges, et al.
• Empirical Forensic Tests including: Accrual Delta, AQI, Ball and Brown, Beniesh, CRO, Dechow-Dichev, Lev-Thiagarajan, LI, SGAI, TATA/CATA/TARTA/TITA/TDTA/TLTA/TCLTA, et al.
Daily Schedule 5, 6, and 7
Day 5—Matter-Specific Application—Specific Case Application
Specific case examples will be applied to the following subjects:
• Alter Ego
• Audits, Reviews, Compilations
• Bankruptcy
• Damages
• Due Diligence
• Fraud—Civil and Criminal
• Fraudulent Transfer/Conveyance
• Insurance Loss
• Intangible Assets
• Intellectual Property
• Litigation
• Lost Profits
• Marital Dissolution
• Mergers, Acquisitions,and Divestitures
• Shareholder Disputes
• Solvency/Insolvency
• Tax Returns
• Valuation, Focusing on Management Effectiveness, Guideline Selection
• Et al.
Day 6—Final Examination—Closed Book; Calculator Permitted
• Up to four hours
Day 7—Follow-up as required
• (TBD)
Development & Instruction Team
The 13 CPAs, attorneys, academics, and law enforcement professionals who have designed and instructed this course are exceptionally well qualified in virtually all aspects of financial disciplines. Their know-ledge transfer provides an unmatched opportunity to glean leading-edge techniques from their deep expertise.
Who Should Attend
Attendees (alphabetical) can be: Attorneys, auditors, bankers, CEOs, CFOs, corporate counsel, CPAs, credit analysts, economists, expert witnesses, fiduciaries, financial analysts, insurance claims adjustors, investigators, investment bankers, investors, judges, law enforcement, lenders, stock and market analysts, turnaround specialists, and others. Attendees are encouraged to be: Medium to heavily experienced professionals; those who are new to the discipline are not encouraged to attend.
NASBA Sponsorship
NACVA and the IBA are registered with the National Association of State Boards of Accountancy (NASBA), as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be addressed to the National Registry of CPE Sponsors, 150 Fourth Avenue North, Suite 700, Nashville, TN 37219-2417. Web site: http://www.nasba.org.
