A forensic accounting expert witness is an accounting expert who works in investigating instances of fraud in the financial reporting of a business. The expert is especially skilled in uncovering all kinds of financial fraud. Most forensic accounting expert witnesses specialize in the use of forensic methods to track how company funds may be laundered that's through a seemingly legitimate asset like real estate or company equipment.
The professional will analyze financial data and seek irregularities that indicate fraud. The expert then gathers findings by providing court testimony or for review by internal investigators.
Reasons to Hire a Forensic Accounting Expert Witness
1. Accuracy in Representing Facts
In courtroom trials, the testimony from a forensic accounting expert witness almost always helps represent the facts in an accurate way and in a particular way that the jury will understand. Some cases are complicated, so getting the facts and proving a point is especially difficult, especially with the use of technical legal terms. Expert witness testimony is more convincing and credible in the eyes of the law.
2. Expertise in Achieving Settlements
A forensic accountant has a unique set of knowledge and skills that will offer any financial-related legal matter crucial insight and analysis to resolve a dispute at hand.
If the ultimate goal of a legal proceeding is to achieve a fair and reasonable settlement rather than drag the case through years of litigation and complicated, expensive legal proceedings, then it is worth consulting with an expert witness. The knowledge of a true witness will be convincing enough for a party to a dispute to settle and not involve the UAE courts.
3. Provide an Impartial Opinion
An expert’s witness can offer an unbiased opinion which is sufficient to convince a judge. It is important to have an expert in the specialized field related to the case and with the credentials and experience to prove that the expert is an objective and reliable source of information. A forensic accounting expert witness is considered more reliable as there is no personal interest on either side of a case. Essentially, a forensic expert can help make an informed decision regarding a particular case.
4. Offers Litigation Support
A forensic accounting expert witness is valuable for every stage of litigation. Depending upon the specific case, a forensic accountant might be called upon during:
Pretrial: a forensic accountant can be called during pretrial proceedings to help a legal team during the discovery of evidence and help in writing a report regarding findings. The expert will also be tasked with supporting facts and evidence, establishing causation, creating a general strategy, and organization of the information supporting the case.
Trial Support: many cases end at a settlement before trial, but the approach must be to assume a trial is happening. A forensic accounting expert witness can prepare for testimony and gather evidence if necessary.
5. Interpretation of Accounting Jargon
Forensic experts can be called upon to interpret accounting jargon, offer their investigation findings, and communicate with the court in a straightforward, honest manner.
6. Help Uncover Embezzlement
Embezzlers are getting increasingly clever and they're hard to track. Even in cases wherein the crime is obvious and egregious, the standard accounting method used by an organization may not be able to catch it. A certified public accountant may be specifically told to seek out fraudulent activities, but the professional's demeanor is not the same as an investigator or forensic accountant. By hiring a forensic accounting expert witness, a company gets expert help in investigating embezzlement.
Also, digital transfers are generally accepted and there's a myriad of computer hacking tricks that make the assistance of a forensic expert a practical necessity.
FAQs
How Do Forensic Accountants Investigate?
Forensic accounting utilizes auditing, accounting, and investigative skills in examining a business's finances. The accounting analysis that is provided by a forensic expert is suitable for use in legal proceedings.
Also read: Why Is It Important to Hire Expert Witnesses in Court?
How Are Forensic Accountants Used in Court?
A forensic accountant often works with law enforcement authorities to determine and provide evidence involving fraudulent activities. The expert can conduct or help with criminal investigations.
Why Do We Need Forensic Accountants?
Forensic accounting is needed for various reasons but mainly for investigating fraud, embezzlement, and other irregularities hidden in financial transactions. While the duties of forensic accountants mainly lead them to investigate and analyze, they may also be called upon to serve as expert witnesses in court.
Forensic Accounting Expert in UAE
If you would like to know more about how a forensic accounting expert witness in UAE can help your business, call us for a free initial consultation. For over three decades, Farahat and Co have advised and assisted several companies in the region as the firm retains a team of seasoned experts. Talk to them today!
