Forensic Fraud Investigation & Asset Tracing

Scope of Expert Analysis

• Tracing of misappropriated funds through bank accounts, corporate structures, and nominee arrangements
• Identification of assets purchased with fraud proceeds — property, vehicles, investments, cryptocurrency
• Analysis of complex financial structures used to conceal fraud proceeds
• Cross-border asset tracing supporting worldwide freezing and recovery orders
• Quantification of the value of traced assets at relevant dates
• Expert evidence supporting civil recovery and confiscation proceedings

Typical Instructions

• Worldwide freezing order (WFO) or Mareva injunction applications requiring asset identification
• Civil recovery proceedings under the Proceeds of Crime Act 2002 or equivalent legislation
• International asset recovery where fraud proceeds have been moved offshore
• Insolvency proceedings where assets have been stripped from the company by fraud
• Due diligence on suspected nominee structures or shell companies

Methodology & Delivery

• Systematic tracing from source of funds through each layer of transactions
• Use of financial records, corporate registries, and open-source intelligence
• Identification of beneficial ownership through nominee and trust structures
• Clear chronology of asset movements with supporting documentary evidence
• Expert report structured for use in freezing order and recovery applications

Related Expert Witness Services

Frequently Asked Questions

How does a forensic accountant quantify fraud loss?

A forensic accountant quantifies fraud loss by tracing the claimant's financial position before and after the fraudulent act, identifying the direct financial loss caused by the fraud, and applying the appropriate methodology for the specific fraud type — such as counterfactual analysis for investment fraud, or direct loss calculation for embezzlement. The methodology is fully disclosed in the expert report.

What is the counterfactual method in investment fraud loss quantification?

The counterfactual method in investment fraud loss quantification asks: what would have happened to the claimant's money if the fraud had not occurred? The expert models the return that a legitimate, suitable investment would have produced over the same period, then compares this to the actual outcome. The difference between the counterfactual return and the actual loss is the investment fraud loss.

Can you provide fraud loss expert evidence for international arbitration?

Yes. Fraud Loss Expert provides forensic accounting expert witness reports for international arbitration proceedings — including ICC, LCIA, SIAC, AAA/ICDR, and ICSID. Reports are prepared to the expert witness rules of the applicable arbitration institution and the applicable law governing the dispute.

What is APP fraud and how is the loss calculated?

Authorised Push Payment (APP) fraud occurs when a victim is deceived into authorising a payment to a fraudster. Loss is calculated as the total amount of payments made as a result of the fraudulent instruction, less any amounts recovered. Forensic accountants analyse the payment records, trace funds, and produce an expert report quantifying the total loss.

What must a CPR Part 35 fraud expert report contain?

Under CPR Part 35 and Practice Direction 35, a fraud loss expert report must include: the expert's qualifications, a summary of instructions, the facts and materials relied upon, the expert's opinion and methodology, a range of opinion where relevant, a summary of conclusions, and a statement of truth confirming the expert's duty to the court.