The current covid pandemic situation has changed the order of the world. Working from home with multiple constraints has become a new norm. In this scenario, research is very important to be able to upgrade one’s skills to adapt to the transformed circumstances in the emerging new world. Forensic audits also should be constantly upgraded. However, reference material on this subject is limited and not easy to come by. This book therefore has been written with a view to share the results of forensic accounting expert CA Chetan Dalal’s research and past experiences to provide a greater variety of forensic tests and techniques of investigating fraud.
This book is supported by 10 audio visual films (hyperlinks given even in the hard copy editions as well) to explain certain concepts and case studies. This research may be useful to professionals, businessmen, investigators, auditors, directors, key management executives and even students who are interested in pursuing this field. The author has attempted to develop a new theory called the ‘theory of inverse logic’ in this book. This theory in a nutshell illustrates the advantages of looking both ways, forwards and backwards, in given situations to get multidimensional views. For example, absence of serial continuity is a good conventional way of determining whether there is fraud or abuse and it is necessary. But this inverse logic theory also considers a reverse situation where the presence of a serial or sequential continuity (where it is not expected) could itself be a symptom of fraud.
The book also illustrates application of certain reality tests on evidence, particularly documentary evidence. A document may appear to indicate something routine or normal but when examined forensically with reality tests, the presence of fraud or deception may be spotted. Thus, in addition to the normal investigation and auditing techniques (which are absolutely necessary) certain reality tests and tests of ‘reasonableness’ using reverse logic may yield new results.
The aim of this book is to provide food for thought using research and experience, but it has to be used discreetly, with expert judgment, and within the legal framework. The case studies in this book are all academic and demonstrative, using imaginary situations created with adaptations from case files. Some exhibits, extracts of pictures or photos have been shown only to make the cases understandable but any resemblance to an entity, person, case is purely co-incidental.
Click here to watch the first episode on The Theory Of Inverse Logic In Forensic Accounting– “The case of the bank manager’s suicide”.
About the Author
Chetan Dalal :
Chetan D Dalal, a Chartered Accountant and a Certified Fraud Examiner, conducts fraud investigations and training in detection of fraud. He is also a Certified Internal Auditor and a Certified Information Systems Auditor. His website is www.chetandalal.com He has served on the Board of the Association of Certified Fraud Examiners (India Chapter) and India Merchants Chamber. He has also served in the past on the editorial board of an international journal – “Inside Fraud Bulletin”. He has been the chief faculty member in the first ever certification course on forensic accounting and fraud investigation for the Institute of Chartered Accountants of India.
He has also conducted many workshops on fraud investigation for several companies in India and overseas. He has to his credit various awards and prizes for his research and paper contributions in the areas of fraud detection. He has authored several publications on fraud detection, internal audits, audit practices and procedures which have been published by the Institute of Chartered Accountants of India and the Bombay Chartered Accountants Society. He is a regular contributor of articles on fraud, accountancy and audit in many Indian corporate magazines, economic dailies, and professional journals. He has also contributed articles in international journals such as the Internal Auditing-UK, IT Audit forum (USA), Accountant’s Ledger (Canada), etc. The author has received contributions from several eminent CAs and technical experts.