Forensic Auditing and Fraud Detection Training Course

Participants can recognise common fraud schemes and the methods used to conceal them.

• Asset misappropriation schemes involving cash, inventory, expenses and payroll
• Corruption indicators within procurement, tendering, contracting and vendor management
• Financial statement manipulation through revenue, expenses, assets and liabilities
• Round-tripping, channel stuffing and premature revenue recognition warning signs
• False vendors, split purchases and duplicate invoices used to divert funds
• Concealment through altered documents, journal entries and reconciliations

Participants can prepare a prioritised fraud risk assessment linked to business processes and controls.

• Fraud risk universe built from processes, assets, incentives and opportunities
• Inherent risk ratings based on impact, likelihood and control vulnerability
• COSO Internal Control principles applied to fraud exposure assessment
• Fraud triangle factors assessed through pressure, opportunity and rationalisation
• Process walkthroughs identify override points, segregation conflicts and manual interventions
• Risk registers assign control owners, residual ratings and treatment actions

Participants can identify and document red flags requiring further forensic review.

• Behavioural red flags distinguished from evidence of actual wrongdoing
• Unusual transactions assessed against timing, authority, value and counterparties
• Management override indicators found in journals, estimates and approvals
• Vendor master changes reviewed for shared addresses, accounts and contacts
• Payroll anomalies include ghost employees, overtime spikes and duplicate bank accounts
• Document inconsistencies recorded without prematurely concluding fraud occurred

Participants can triage allegations and determine proportionate initial response actions.

• Allegation intake records capture source, facts, concerns and immediate risks
• Triage criteria assess credibility, materiality, urgency and potential conflicts
• Retaliation risks considered when allegations arise from whistleblowers or employees
• Initial preservation actions protect records before subjects become aware
• Conflict checks identify investigators with reporting, personal or operational interests
• Escalation decisions distinguish routine control issues from suspected misconduct

Participants can define an investigation scope and testable fraud hypotheses.

• Scope statements define allegations, periods, entities, systems and exclusions
• Fraud hypotheses link suspected acts, actors, methods and evidence sources
• Issue trees separate known facts, assumptions, questions and investigative tasks
• Materiality thresholds set proportionate review depth and resource allocation
• Investigation plans sequence preservation, analysis, interviews and reporting decisions
• Terms of reference establish authority, confidentiality and reporting arrangements

Participants can preserve and document evidence suitable for internal, legal and disciplinary review.

• Relevant, reliable and sufficient evidence assessed before drawing conclusions
• Chain-of-custody logs record collection, transfer, storage and access
• Original documents protected while working copies support analytical review
• Evidence registers assign identifiers, sources, dates and relevance assessments
• Contemporaneous notes distinguish observed facts from investigator interpretations
• Secure storage controls restrict unauthorised access, alteration and disclosure

Participants can examine business records for inconsistencies, alterations and missing evidence.

• Invoice testing compares purchase orders, receipts, approvals and payment records
• Document chronology identifies impossible sequences, backdating and late approvals
• Signature comparisons flag inconsistent authorisation patterns for further review
• Metadata review identifies document creators, modification dates and version history
• Missing record analysis considers retention rules, access rights and deletion risks
• Reconciliation breaks traced through ledgers, bank records and supporting documents

Participants can identify financial reporting anomalies using analytical procedures and ratio analysis.

• Horizontal analysis identifies unexpected movements between reporting periods
• Vertical analysis compares account balances against revenue, assets and expenses
• Ratio analysis tests liquidity, margins, receivables and inventory relationships
• Revenue cut-off testing identifies premature, fictitious and deferred transactions
• Journal entry analysis targets late postings, unusual users and manual adjustments
• Cash flow comparisons expose earnings patterns unsupported by operating cash

Participants can design data tests that identify anomalous transactions for investigation.

• Population profiling establishes fields, completeness, duplicates and data limitations
• Benford's Law screens naturally occurring values for digit distribution anomalies
• Duplicate payment tests compare invoice numbers, amounts, dates and suppliers
• Stratification isolates high-value, round-number and threshold-avoiding transactions
• Exception reports identify weekend postings, dormant vendors and split purchases
• Link analysis maps relationships among employees, vendors, accounts and addresses

Participants can investigate procurement fraud indicators from sourcing through payment.

• Bid-rigging indicators include identical pricing, rotating winners and unusual withdrawals
• Conflict-of-interest checks compare vendor ownership, staff declarations and contacts
• Three-way matching exceptions analysed for receiving, pricing and quantity irregularities
• Vendor due diligence reviews registration, beneficial ownership and bank changes
• Contract variation patterns tested for scope inflation and approval bypasses
• Purchase order splitting examined against delegation thresholds and procurement rules

Participants can test payroll, expense and asset records for misappropriation schemes.

• Ghost employee testing compares payroll records, personnel files and attendance
• Expense claim reviews test duplicates, unsupported costs and policy exceptions
• Corporate card analysis identifies personal spending, merchant anomalies and split transactions
• Inventory shrinkage investigations reconcile stock movements, counts and adjustments
• Cash theft indicators include voids, refunds, discounts and delayed deposits
• Asset register testing traces disposals, missing equipment and unauthorised transfers

Participants can investigate suspected manipulation of revenue, expenses and accounting estimates.

• Revenue testing traces recorded sales to contracts, delivery and cash collection
• Cut-off procedures examine transactions immediately before and after reporting dates
• Fictitious sales indicators include circular payments, weak customers and missing deliveries
• Expense capitalisation tested against accounting policies, invoices and asset existence
• Reserve manipulation assessed through assumptions, historical experience and subsequent events
• Related-party transactions reviewed for disclosure, pricing and commercial substance

Participants can identify, preserve and review electronic evidence within appropriate boundaries.

• Digital evidence sources include emails, system logs, devices and cloud records
• Forensic imaging preserves electronic media without altering original data
• Hash values verify file integrity during collection, transfer and review
• Email review protocols define custodians, date ranges, terms and privilege handling
• System access logs identify unusual user activity and privilege changes
• Data privacy requirements considered before collecting personal and sensitive information

Participants can prepare structured, fair and evidence-informed investigative interviews.

• PEACE model structures planning, engagement, account, closure and evaluation
• Interview objectives distinguish information gathering from confronting suspected wrongdoing
• Evidence sequencing prevents premature disclosure of critical facts and sources
• Question plans use open, probing, clarifying and closed question types
• Witness order considers knowledge, independence, vulnerability and contamination risks
• Interview logistics address privacy, language support, note-taking and recording

Participants can conduct and document interviews that obtain reliable factual accounts.

• Rapport building establishes purpose, process, confidentiality limits and interview expectations
• Open questions elicit uninterrupted accounts before detailed evidence is introduced
• Cognitive interviewing techniques support recall through context and chronology reconstruction
• Inconsistencies explored using neutral questions rather than accusations or assumptions
• Interview notes capture exact statements, documents shown and follow-up actions
• Closing procedures confirm accuracy, identify further evidence and explain next steps

Participants can calculate and document financial losses using transparent assumptions and evidence.

• Direct losses calculated from payments, assets, inventory and diverted revenue
• Avoided cost claims separated from actual loss and unsupported estimates
• Restitution schedules link amounts to transactions, documents and responsible parties
• Interest and currency effects calculated using stated dates and rates
• Loss models document assumptions, exclusions, uncertainty and supporting evidence
• Control failure costs assessed alongside direct financial losses where appropriate

Participants can prepare clear forensic reports supported by evidence and proportionate conclusions.

• Report structures separate mandate, procedures, facts, analysis and conclusions
• Findings use evidence references rather than speculative or emotive language
• Standards of proof explained according to organisational, civil and criminal contexts
• Chronologies present significant events, transactions, interviews and evidence sources
• Limitations disclosed where evidence is unavailable, incomplete or disputed
• Recommendations address recovery, disciplinary action, controls and further investigation

Participants can convert investigation findings into control improvements and response actions.

• Root cause analysis distinguishes control design failures from operating failures
• Corrective action plans assign owners, deadlines, evidence and escalation routes
• Control redesign addresses segregation, approvals, monitoring and access rights
• Fraud response protocols define legal, human resources and communications involvement
• Recovery options consider insurance, restitution, civil action and contract remedies
• Follow-up testing verifies completed actions and sustained control operation

Participants can manage forensic assignments with independence, confidentiality and defensible governance.

• Independence threats assessed before accepting investigation responsibilities and assignments
• Confidentiality protocols govern case communications, records and need-to-know access
• Legal counsel involvement considered for privilege, reporting and employment matters
• Defamation risks reduced through factual wording and evidence-based conclusions
• Data retention schedules balance investigation needs, privacy and legal holds
• Quality reviews challenge scope, evidence, findings and recommendations before release

Participants can integrate fraud risk assessment, evidence analysis and case documentation into a structured investigation file.

• Case facts converted into allegations, risks, hypotheses and investigative questions
• Evidence matrices connect source documents, transactions, interviews and findings
• Analytical results prioritised using materiality, corroboration and explanatory strength
• Competing explanations assessed against available records and witness accounts
• Case review meetings challenge assumptions, gaps and premature conclusions
• Investigation timelines coordinate tasks, dependencies, approvals and reporting milestones

Participants can build, review and present a complete forensic audit case file with defensible findings and remediation actions.

• Allegation intake assessed against evidence, risk, scope and escalation criteria
• Fraud hypotheses tested using transaction data, documents and witness accounts
• Evidence register completed with provenance, relevance and custody records
• Financial loss schedule prepared from traceable transactions and stated assumptions
• Forensic report drafted with findings, limitations, conclusions and recommendations
• Management presentation defends methods, evidence, actions and control improvements