Service
Audit Investigation & Forensic Audit
When fraud, a loss of funds or a financial dispute is suspected, a board needs facts that will withstand scrutiny by a court, a regulator or an insurer. Forensic audit applies accounting, investigation and data analysis techniques to establish what happened and who was involved. It also quantifies the loss.
Overview
When fraud, a loss of funds or a financial dispute is suspected, a board needs facts that will withstand scrutiny by a court, a regulator or an insurer. Forensic audit applies accounting, investigation and data analysis techniques to establish what happened and who was involved. It also quantifies the loss.
We conduct investigations discreetly. Our reports set out each finding with the supporting evidence trail.
Our Understanding of Your Needs
Investigations usually start with a whistle-blower report, an unexplained loss, an audit red flag, a dispute between shareholders or a query from a regulator. At that point management faces pressure to act quickly. Acting too quickly can destroy evidence or alert those involved. Evidence must be preserved properly, and electronic records must be handled so that they remain admissible under Section 84 of the Evidence Act 2011.
The board also needs to know why existing controls failed. An investigation that only names a wrongdoer leaves the same weakness open for the next person.
Scope of Service
Investigation of suspected fraud, theft and misappropriation of funds or assets
Procurement, payroll and expense fraud reviews
Data mining of general ledger, bank and payroll records to detect anomalies
Tracing of funds and assets
Quantification of loss for insurance claims and litigation
Shareholder, partnership and contract dispute support, including computation of amounts due
Litigation support and expert witness services
Support to companies during tax investigations by the Nigeria Revenue Service and State tax authorities
Fraud risk assessments and design of anti-fraud and whistle-blowing programmes
Our Methodology
Each investigation follows a structured process. The scope and pace are agreed with the board or its legal counsel.
- 1
Engagement and scoping
- Conflict-of-interest check
- Terms of reference agreed with the board, audit committee or legal counsel
- Confidentiality protocol and reporting line
Output to you: Engagement letter and terms of reference
- 2
Evidence preservation
- Securing of documents and accounting records
- Forensic imaging of devices and systems, with specialist support where required
- Chain-of-custody records for every item
Output to you: Evidence register
- 3
Data analysis
- Extraction of ledger, bank, payroll and vendor data
- Tests for duplicate payments, split transactions, round sums, weekend postings and Benford's Law anomalies
- Matching of vendor and employee records (bank accounts, addresses, phone numbers)
Output to you: Exceptions report for follow-up
- 4
Document examination and interviews
- Tracing of transactions to source documents and third-party confirmations
- Fact-finding interviews, followed by interviews of persons of interest
- Written interview records
Output to you: Interview records and transaction schedules
- 5
Quantification and analysis
- Computation of loss and tracing of funds
- Identification of the control failures that allowed the loss
Output to you: Loss schedule and control gap analysis
- 6
Reporting and support
- Forensic report to the board or counsel
- Recommendations for recovery, disciplinary action and control improvement
- Support during prosecution, arbitration or litigation
Output to you: Forensic report; expert witness support
Deliverables
01
Forensic investigation report with findings, evidence references and conclusions
02
Schedule of quantified losses and fund flows
03
Evidence register and chain-of-custody documentation
04
Control improvement recommendations
05
Expert witness statement and court attendance, where required
How We Add Value
Our reports are written to be used. Each finding is linked to source documents, so counsel can rely on it in proceedings. We work with your legal counsel from the start, which helps to protect legal privilege where it applies.
Our data analytics work covers whole populations of transactions and is not limited to samples. That allows us to find patterns a routine audit can miss. Each investigation closes with control recommendations aimed at the specific weakness that was exploited.
Applicable Standards and Regulations
- International Standards on Auditing, including ISA 240 on fraud
- principles of the Association of Certified Fraud Examiners
- Evidence Act 2011
- Money Laundering (Prevention and Prohibition) Act 2022
- Nigeria Data Protection Act 2023
- Nigeria Tax Administration Act 2025 for tax investigations
Frequently Asked Questions
We plan the work to keep disruption low. Much of the data analysis is done off site, and interviews are scheduled with management to avoid unnecessary attention.
Confidential enquiry
Concerned about a possible fraud or loss? Contact a partner in confidence on +234 803 721 1962, or use this form. It goes to the Managing Partner only.
+234 803 721 1962
Speak With a Partner
Concerned about a possible fraud or loss? Contact a partner in confidence on +234 803 721 1962.