ACCOUNTANCY AND FINANCIAL MANAGEMENT - Area of Work
FORENSIC ACCOUNTING Performing investigative processes to expose frauds and illegitimate financial practices are part of a day’s work.
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orensic accounting is a niche within the field of accountancy that employs accounting and financial skills during investigations of fraud, disputes and suspected transgressions. It is a forensic accountant’s responsibility to identify and uncover illegitimate financial practices to identify suspects and recover illicit funds, making the nature of the job sensitive. Some professionals choose to specialise in fraud risk management, with the objective of working to reduce the possibilities of financial fraud. Depending on their job scope, forensic accountants may also work with law enforcement authorities and lawyers, and may even be requested to act as expert witnesses in court.
General overview Although having a finance-related degree as well additional training in criminal justice or law enforcement are significant advantages, applicants are required to obtain a recognised professional qualification first. Most firms in Singapore accept qualifications such as Certified Fraud Examiner (CFE), Certified Public Accountant (CPA) and Chartered Accountant of Singapore. Upon entering a company, many graduates spend some time training and gaining experience in an audit or forensic department before going into forensic accounting. Some, however, are hired directly. At the beginning, new recruits will have to persist through much low-level data analysis like creating spreadsheets and checking financial records and written records for relevant information. As experience is gained, heavier responsibilities such as conducting individual investigations, will be assigned.
Required skills Other than identifying the source of fraud to pin down the culprit with good numerical skills as well as an inquisitive and analytical mind, caution needs to be exercised and all information must be questioned. Remaining focused at all times, bearing in mind the key issues of the case and being aware of the significance of the information being analysed are important too. Moreover, all information has to be handled with care and attention to detail as evidence might be hiding in the depths of seemingly trivial data. Portraying a professional image at all times reflects an identity of independence, integrity and credibility – traits that cannot be stressed enough in this field. As a representative of a firm, graduates will need to convince clients that they stand for objectivity and unbiased judgement.
Pros and cons Some obstacles include uncooperative clients or emotional employees who either feel wronged or that their loyalty to the company is being judged. Work can also get tedious and labourious at times, with routine record analysis. However, the sense of satisfaction is immense when cases are solved with the discovery of crucial pieces of information. There are opportunities to travel and meet professionals from diverse and interesting backgrounds though, and a graduate’s network can swell with contacts such as law enforcement officers, forensic technicians, lawyers and even private investigators.
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