The analysts at FTI Consulting identify fraud, determine how it occurred and implement safeguards to minimize the risk of recurrence. We also can assist with the recovery of assets lost to fraud and identify those that may be linked to it.
Our industry-leading experts spearhead investigations into the facts and circumstances surrounding potential incidents of fraudulent activity. We also analyze financial data to assist companies with risk avoidance and mitigation measures in their operations or business transactions.
FTI Consulting has been engaged to monitor compliance, investigate fraud and mitigate the damage from fraudulent activities in these and other areas of specialization:
- Fraud analytics
- Foreign Corrupt Practices Act and U.K. bribery review and monitoring
- Anti-money laundering
- Transactional and operational due diligence
- Regulatory response coordination
- Employee and vendor fraud
The firm’s Financial and Enterprise Data Analytics team relies upon a number of analytical software packages to join disparate datasets into a single repository, perform various analyses upon them, and identify trends, patterns and outliers to detect fraud.
The firm’s FEDA professionals have extensive experience in the managing and mining of large, complex information systems. The nature of business processes and transactional systems within the modern enterprise afford new opportunities for fraudulent activity by both employees and third parties. Understanding these systems, and the relationships and interactions between them, is imperative. FEDA’s fraud analytics relies on customized methodologies to suit a particular investigative need and is based upon a large analytics library of possible fraud indicators. FTI Consulting uses a number of skills and processes to aid in fraud detection across the enterprise, including:
- Database intrusion and compromise analytics focused on log file parsing and the analysis of the actions of users within the systems
- PEP analysis (politically exposed persons): matching high-risk individuals against suppliers, customers, agents and employees
- Office of Foreign Assets Control and sanction list (SDN)
- High-risk payment analysis
- SWIFT message parsing for ease of review by counsel and clients to track the flow of funds between financial institutions
- Identification of evidence of the manipulation of system processes or programs to facilitate fraudulent activity
- Identification of red flags to support the investigation of fraud
The FEDA team uses the following technologies, among others:
- Microsoft SQL server
- Audit Command Language (ACL)
- FEDA-developed proprietary tools
We produce simple but detailed visualizations from complex data sources, making it easier to identify abnormalities. Visualization of complex information offers clients a clearer sense of the problem vs. the confusion caused by tables of numbers. The FEDA team uses several software programs to create visualizations, including Tableau.
The FEDA team performs audits and IT due diligence, often as part of the M&A process. Independent, third-party due-diligence on complex, low-latency, high-frequency, transactional IT environments has become crucial in today’s data-intensive industries.