Forensic & Integrity Services
How we can help
EY Forensic & Integrity Services service offerings
When unusual financial activity is suspected, we can investigate, perform electronic evidence discovery, and review financial reports – all with the sensitivity and urgency required. And if necessary, we can provide expert witness testimony to explain our findings.
That’s why some of the world’s largest companies – and many of its best-known law firms – turn to EY.
Our areas of focus include:
- Fraud and Investigations
Addressing the risks associated with fraud and other misconduct is not a new phenomenon. Coupled with continual advances in technology and the broadening activity of prosecutors and regulators, the financial and reputational consequences of not doing enough to tackle these problems are escalating.
Experienced in forensic accounting, financial and securities regulation, technology systems, and risk management, our multidisciplinary teams investigate situations where you suspect there is a problem. We also help you take preventative measures and minimize the risk of such problems occurring in the first place.
Our key services:
- Investigating fraud
We conduct pragmatic, evidence-based investigations into business fraud and other potential wrong-doing, including financial misstatement, sanctions, violations and money laundering. We rapidly respond to a crisis, uncover the facts and work with you to manage an appropriate response. We can help you trace, freeze and recover assets, and identify the root cause of the issue, all with minimal disruption to your business.
- Investigating bribery and corruption
We investigate suspicions of bribery and corruption, carry out forensic due diligence and assist with disclosure requirements for regulatory investigations, often utilising our global forensic network to examine risk or uncover unethical behaviour at its source. We also design and implement effective governance models for preventative and remedial work.
- Software license forensics
Software license management is a complex activity for both publishers and customers alike. Faced with increasingly intricate IT estates and software contracts, companies are not always keeping track of their software deployment. Consequently, the extent of compliance with software licenses is often unknown and insufficient resources are allocated to address the problem.
EY can provide you with a global software license review capability. We use an in-depth forensic approach that combines investigative skills and tools. in conjunction with our refined software license review methodology.
- Investigating fraud
- Forensic Technology & Discovery Services
Fraud Investigations. Disputes. Regulatory reviews. Regulatory compliance monitoring. Fraud risk management. Transaction monitoring.
In these and other contexts, businesses need to access unstructured data (such as emails, word documents and spreadsheets) and structured data (such as SAP/Oracle or other accounting databases, HR, procurement or other databases) for relevant content.
It can be like trying to find a needle in a haystack. Let us help to remove some of the hay. It is how EY makes a difference.
Specifically, we can help you with:
- Computer Forensics
Multiple elements contribute to the risk of information stored on a network being insecure, inappropriate or unlawful. Data leakage and IP theft costs organisations millions annually. Copyright infringement can lead to legal action by the copyright holder. In-appropriate material is often discovered and reported in the media, causing damage to reputation. Our forensic experts are able to conduct network audits to assist clients understand their exposure and develop strategies to manage those risks appropriately.
- Forensic Data Analysis
We combine deep forensic investigation knowledge with advanced analytical techniques such as investigative data linking, social network analysis, artificial intelligence and predictive modelling to prevent and detect fraud, waste and abuse.
Across all business sectors, clients are faced with a rising tide of disputes, investigations and regulatory reviews. Handling the relevant electronically stored information (ESI) in a consistent, defensible and cost effective way has become a key business challenge. We help you navigate these challenges and create solutions that are tailored to your specific needs. We offer a range of services to assist you to respond to requirements to produce ESI in disputes, investigations and regulatory reviews. We can also help you to manage your ESI at source to enable you to better anticipate and respond to future requests in a consistent, defensible and cost-effective manner.
- Computer Forensics
- Dispute Services
An increasingly litigious environment and wider activity of the various regulatory and governing bodies means that disputes are becoming ever more frequent.
We provide accounting expertise to quantify the losses incurred as a result of inaccurate post acquisition reporting, arguments with customers, suppliers or other stakeholders. We also provide support during negotiations and as expert witnesses in court should a settlement not be reached.
- Resolving Disputes
We can assist clients with damage analysis and quantification. In relation to post-acquisition disputes, we can assist with calculations and preparation of reports addressing amounts due as a result of contractual post-closing purchase price adjustments, usually related to working capital or earn-outs. We also provide forensic contract review services and professional negligence claims advice. Our dispute services experts across Oceania can provide written and oral testimony in the context of a Court, Tribunal or with a Regulator.
- Forensic Contract Reviews
Forensic contract reviews can mitigate risk, generate savings, identify areas for improvement and provide practical input to future contract negotiations. Through our forensic rigour, we help identify cost savings and recoveries while also increasing the knowledge of contract owner’s responsibilities and accountability of contract ownership. Using our forensic analytical techniques, we evaluate the overall impact of issues on project cost and likely level of disallowable costs, disputed costs and error versus fraud.
- Competition Law
Our understanding of Competition Law helps our clients avoid regulatory action and mitigate the cost of litigation should it occur. We can check adequacy of compliance procedures, seek to reduce potential fines or damages payable, help challenge regulators’ decisions, and support actions to claim damages from others.
- Resolving Disputes
- Anti-fraud & Anti-Corruption Services
Fraud and corruption risk continue to be significant concerns for both private sector companies and governments. Various surveys and other studies continue to show that organisations large and small are experiencing fraud events. It is not uncommon for nearly half of survey respondents to have experienced a fraud during the survey period.
The Association of Certified Fraud Examiners 2012 Global Fraud Study1 found that the typical organisation loses 5% of its revenue to fraud each year. We therefore help you take calculated measures to mitigate against the risk of such problems occurring in the first place.
Our anti-fraud and corruption services:
We have proven global methodologies that are aligned with leading practice in fraud and corruption control and relevant guidance provided by global regulators.
We bring together forensic data analytics, experienced fraud and corruption investigators, forensic accountants and anti-fraud and corruption compliance professionals to deliver robust and practical solutions to our clients.
Our anti-corruption services are founded on key elements of an effective foreign bribery compliance program required by regulators. Our anti-fraud services are aligned with leading practice such as AS 8001-2008 Fraud and Corruption Control. Both include amongst others:
- Development of fraud risk management frameworks
- Developing codes of conduct benchmarked against leading practice and designing specific anti-corruption policies, internal controls and procedures
- Preparing or enhancing fraud policies and procedures
- Promoting fraud awareness through the delivery of tailored fraud awareness training
- Deep dive analysis of key business processes to identify fraud ‘hot spots’ and key exposures
- Design and roll-out of whistleblower programs, including promotional material
- Assistance with due diligence efforts and ongoing monitoring of third party relationships
- Forensic data analytics that assist clients by highlighting high risk transactions or behaviour for closer scrutiny.
- Corporate Compliance
Pressures are mounting on businesses to demonstrate profitable growth achieved in an ethical way. Many organisations are investing heavily in compliance programmes and risk management systems in order to demonstrate that they are acting with integrity as well as to avoid prosecution.
We help companies manage risk, investigate alleged misconduct and measure the financial implications when issues arise. We bring together members of our team with deep sector knowledge and extensive experience of risks such as bribery and corruption, fraud, money laundering, competition and anti-trust, data protection and privacy, sanctions, mis-selling and counterfeiting. We understand the exposure, manage the risks and provide advice or support a response when necessary.
- Identifying risk exposures
We help you understand how the behaviors and activities across your business are exposing you to real or perceived risks and how the underlying culture is mitigating or exacerbating that exposure.
- Implementing compliance programmes
We help you understand how to enhance your programme, create alignment across key risk areas, determine the level of resources required to sustain the programme, assess its effectiveness and support its implementation.
- Responding appropriately
We help ensure you are prepared to make timely and proportionate responses to issues raised, investigate allegations, analyse trends, identify root causes and support remediation efforts.
- Identifying risk exposures
- Integrity Diligence
Understanding who you conduct business with has become more than just good business practice – it is increasingly smart compliance. Multinational organizations are rapidly adjusting to enforcement standards that hold companies responsible for the actions of their business partners and vendors, and require effective third-party due diligence.
Failure to effectively investigate and identify risks posed by third parties can result in the misappropriation of assets, costly fines, financial loss and reputational damage. Whether the research is related to anti-bribery and corruption compliance, anti-money laundering compliance, suspected fraud, or the reputation of a company and executives subject of an acquisition target, EY’s Integrity Diligence (ID) service can assist.
- Comprehensive check of sanctions, embargo and watch lists
- Establishment of corporate and individual profiles through review of a wide range of open sources
- Public records databases, i.e., criminal and civil litigation, bankruptcies and regulatory infractions
- Local language research utilizing jurisdiction-specific resources
- Business ownership and asset searches