The Concept of Forensic Accounting

Forensic Accounting, financial forensics or forensic accountancy is the area of accountancy that investigates a company or business if there is an anticipated or actual disagreement or any litigation. Whether you are investigating potential or actual fraud of a person or business, or are going through a divorce need to find hidden assets, or if you need an expert witness at trial, our accredited forensic accountants can help.

SDC CPA is a global investigative accounting team that assembles to secure, collate and analyze corporate books, records and other financial information to provide clear and concise, evidence-based reports to boards, management and regulators in accordance with court standards. With this article SDC CPA will try to clarify the concept, purpose and historical development of Forensic Accounting, the types and factors that characterize it, the reasons for its existence, resolve misconceptions and doubts in practice, erase its secrecy and stop challenging the use of Forensic Accounting by people who do not understand it.

The article also aims to explain the psychological importance of bringing this profession into the standardization and classification of occupations, and the distinction and differentiation between supervision, control, audit and inspection, on the one hand, and Forensic Accounting, on the other. A proper understanding of a profession that has a much broader and scientifically based scope of action today will also eliminate the danger of attempting to gain the monetary benefit of individuals through its mystification.

Furthermore, with this paper, SDC CPA takes a closer look at the profile of people who may be Forensic Accountants, the knowledge and skills they need, speak to the seriousness of their methods and techniques that contribute to the investigation and proving of organized crime. The second part of the article clarifies the appearance of the faces of the site, which are clues, material evidence and crime patterns that are used in organized crime investigations from the perspective of a Forensic Accountant. The legal framework, domestic and foreign experience in the field of Forensic Accounting complete the picture of the whole issue.

Finally, through numerous examples, analyzing case studies from our and world practice, the concrete application of the skills and knowledge of Forensic Accountants in the investigation process is presented, which is the best way to create a quality knowledge base for future investigations. An analytical account of the most famous cases in the world of accounting research - such as the closure of the infamous Al Capone, the case of Big Joey's arrest and the overthrow of the seventy-year tradition of the Mafia Bonnano family, the British-Canadian fraudulent bond case, and numerous other cases - gives a new dimension to the way cases are investigated.

Constant monitoring of the flow of money contributes to the weakening of the financial potential of criminal groups and cuts the branches of the large-spread canopy of organized crime, which, in conjunction with corruption, threatens to endanger its environment and the entire economy of the country.