Corporate Fraud Investigation
Hudson Intelligence investigates fraud and financial crimes for public and private corporations, as well as small and medium-sized businesses.
We work closely with business owners, executives, and legal counsel to provide clear answers in complex cases. Every investigation is led by a Certified Fraud Examiner.
Identifying and Investigating Corporate Fraud
There are countless ways fraud can occur inside a corporation – and more ways to deny, rationalize and conceal the problem – which is why many internal fraud schemes continue for years without being detected.
In broad terms, internal fraud consists of asset misappropriation, corruption, or financial falsification within a business organization. Specific schemes include embezzlement, skimming, kickbacks and overbilling.
Concerns of corporate fraud often relate to red flags in the financial statements and unexplainable fluctuations in profits, revenue, expenses or inventory.
Many cases begin with complaints from whistleblowers, including current or former employees, customers or suppliers.
Other warning signs of potential fraud include:
- Bank wire requests to send vendor payments to new beneficiaries or foreign accounts.
- Large purchase orders for products or services from unfamiliar vendors.
- Customer complaints of overbilling or duplicate invoices.
- Lack of competitive bidding for major supplier contracts.
- Employees who consolidate – or refuse to delegate – responsibility for review, approval and payment of invoices.
- Altered accounting entries, missing documents, or failure to produce financial records.
- Employees and executives who appear to be living beyond their means.
Today’s business leaders must also navigate a complex environment of external threats. Financial fraud schemes and criminal exploits against corporations are constantly evolving. Fraud can also be committed against businesses by their suppliers (bid-rigging, price-fixing and procurement fraud); by competitors (theft of trade secrets and intellectual property); by corporate debtors (bankruptcy fraud); by foreign intelligence services (economic espionage); and by criminals (ransomware, extortion, check fraud, payment scams, etc.).
The investigators of Hudson Intelligence have worked on behalf of companies and outside counsel to investigate some of the largest and most complex corporate frauds in the past two decades, including cross-border violations of the Foreign Corrupt Practices Act (FCPA) and multi-billion-dollar investment frauds.
Corporate Fraud Playbook
Fraud investigations are unfamiliar territory for most executives and business owners. For more information on managing a corporate fraud investigation, review our Corporate Fraud Playbook, which provides strategic and tactical guidance with practical steps for achieving the best possible outcome.
Fraud: A Survival Guide for Small Businesses
Small businesses lose nearly twice as much money per every occurrence of fraud, compared to comparable incidents at medium-sized and large corporations, according to a recent study. With the right approach – and the right assistance – business owners can bounce back successfully while taking steps to ensure the fraudsters are identified and held accountable. Read more: Small Business Fraud.
Consult an Investigator
If you have concerns about corporate fraud and would like to discuss a potential investigation, please complete the form below. You can also speak with an investigator by contacting our offices at 800-580-8755.