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What is a Financial Investigation and What is it Good For

What is a Financial Investigation and What is it Good For?

Financial investigation is a well-established investigative discipline that law enforcers employ to tackle organized crime. The process is increasingly becoming popular because of its effectiveness. Additionally, leading experts recommend that financial investigation be adopted as the cornerstone of all terrorist financing and profits generating cases.

The entire financial investigation process entails collecting, relating, and analyzing the available data to prosecute a crime and deprive criminals of their wrongly acquired proceeds. Financial investigation is vital in stopping corruption and crime because most criminals remain in contact and control of their assets, leaving a typical "paper trail" for investigators to follow. Such a paper trail can lead law enforcement investigators to identify collaborating offenders, instruments employed to acquire the assets, and the location of criminal activity.

Objectives of Financial Investigation.

Financial investigation is a method that applies a multi-pronged approach, which combines the skills of experts in forensic audits, financial crime compliance and investigations, data analytics, and forensic analytics. The main objectives of financial objectives include:

  • Uncover economic and financial structures by studying patterns.
  • Initiate whenever appropriate, money laundering investigations.
  • Identify illegally earned proceeds.
  • Trace and initiate asset confiscation.

The Process

Typically, financial investigation begins with creating a simple financial profile where the investigators browse through open sources like google, closed sources like vehicle registration databases, and informal checks with banks. After completing the basic asset check, the team proceeds to a more detailed financial investigation where data is located, collected, collated, analyzed, interpreted, and presented, followed by subpoenas and suspects' interrogation.

The financial investigation team should have the latest technology and analytical tools at their disposal. Additionally, the team should collaborate with banks, law enforcement, the local community, and financial regulators to prevent suspects or offenders from benefiting from their criminal undertakings.

Benefits and Uses of Financial Investigation

Aside from identifying criminals engaging in money laundering schemes, terrorist financing, and drug dealing, financial investigation can help an organization follow the money trail. Since it uncovers the economic structure within groups and identifies individuals' partisans in illicit activities, a corporation can utilize it to settle property loss cases and shareholder disputes. Additionally, financial investigators can follow paper trails involved in company acquisition or mergers, partnership disputes, and business interruption.

Intensive financial investigations can help locate missing witnesses or victims, trace people, identify motives for certain criminal activities, and provide information on the suspect's movement. Financial investigators help clients and law enforcement officers confiscate, recover tax, seize cash, and recover assets gained via illegal ways. Important benefits of financial investigation in stopping criminal activities in embezzlement, tax evasion, theft, public corruption, and identity theft include:

  • Decreased total investigation cost.
  • Provides alternative methods of processing evidence.
  • It is a quick and time-saving method.

People who can benefit from financial investigations include governments, large corporations, private institutions, and law enforcement agencies. If you feel like you are an individual who could use a financial investigation, do not hesitate to contact Roland Investigations to assist you. We are ready to help!

By Roland Investigations 11-24-2020

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