Fraud cases involve allegations of dishonest activities that may negatively impact a business, organization or individual. These activities typically rely on deception in order to take advantage of an individual or organization and can include theft, forgery, money laundering, credit card fraud and more. These crimes can be either criminal or civil in nature and the penalties vary by state.
To conduct a successful fraud investigation, first establish a factual basis for the suspected scheme. This can be done by interviewing individuals who can provide context or corroborate an allegation. This includes the person who reported the fraud, the accused individual’s manager and any other persons with whom they worked closely (like their coworkers or even their cube mate).
Gather relevant documents and records, such as financial statements, transaction logs, email correspondence and more. Analyze these documents to uncover any discrepancies. Conduct interviews with individuals who are connected to the fraud in order to obtain firsthand accounts of any activities that have been alleged and shed light on possible motives, methods and more. Keep a secure chain of custody to ensure the integrity and admissibility of any collected evidence during the investigation process.
Intent is an essential element in all fraud cases, but it can be difficult to prove through objective proof alone. Circumstantial evidence is often used to support the claim of intent. For example, a court could find that an individual submitted a fraudulent statement knowing it was false if they can establish that the individual was responsible for all aspects of the case, including the submission of the false statement and the motive for doing so.