CRI Group Corporate capability Brochure

in an ever-changing business landscape

• Has the proven track record of success to reduce your business risk in an international marketplace

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INTEGRITY Due Diligence

• Employs Certified Fraud Examiners, forensic accountants and investigators in 80+ countries worldwide

Corporate Security & Business Intelligence

• Provides 20+ years of global experience

Forensic Accounting & Fraud Investigation

Corporate Research and Investigations LLC:

Employee Screening & Background Investigations

Your global, multi-faceted solution

About CRI Group Corporate Research and Investigations LLC is a global supplier of investigative, forensic accounting, business due diligence and employee background screening services for some of the world’s leading business organizations. A licensed and incorporated entity of the Dubai International Financial Centre (DIFC), CRI safeguards businesses by establishing the legal compliance, financial viability, and integrity levels of outside partners, suppliers and customers seeking to affiliate with your business.

Memberships, Partners & Awards CRI Group maintains partnerships with leading global organizations in the fields of due diligence, fraud investigation, forensic accounting and more. Some of our affiliations include:

Implemented and Certified ISO 9001:2008 (Quality Management Systems) ISO27001:2005 (Information Security Management Systems)

We are proud to be named the 2013 “Business Due Diligence Firm of the Year – UAE” and “Anti-Fraud Adviser of the Year – UAE” by Acquisition International. AI’s Awards celebrate excellence and recognize investors, advisers and service providers for expertise in their specialized fields.

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Forensic Accounting & Fraud Investigation

Corporate criminals are more sophisticated than ever.

Are you protected?

unseen threats such as employee fraud, compliance issues, third-party risk factors and other concerns that can quickly — and severely — impact any organization ... in any part of the world.

Fraud and Forensic Accounting Investigations Statistics show that the threat of Corporate Fraud increases markedly in a down economy. And when such fraud occurs, it takes an average of 18 months to detect. In that timeframe, the damage to your business can be both widespread and irreversible. CRI Group’s own statistical research indicates that the vast majority of fraudulent activity originates from: • Money laundering • Intellectual property crimes

• Check and credit card fraud • Online cyber fraud

• Embezzlement

FACT: The hidden costs related to corporate fraud drain an estimated five percent of revenue from corporations worldwide.

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Forensic Accounting & Fraud Investigation

Our team of experts can help safeguard your business from

Fraud can also include false accounting, cash theft, asset misappropriation, bribery, corruption, contract and procurement fraud, payroll fraud and numerous other misdeeds.

AML Consulting and Advisory Services The specialists in the Anti-Money Laundering (AML) Consulting and Advisory Services division of CRI Group have provided support and assistance with AML issues for more than 23 years. These services help an organization: • Meet international and regional AML compliance requirements

• Identify high-risk individuals and avoid associations with potential money launderers Our experts have studied the countless tactics and behaviors money launderers exhibit — trafficking, counterfeiting, corruption, third-party fraud or theft/diversion by insiders, just to name a few — and bring the highest level of competence and proficiency in our ability to execute effective detection and compliance programs for our clients.

CASE STUDY

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Fake Hospital Bills

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A CRI Group investigation to verify hospital bills revealed that the hospital in question was closed almost two years prior due to a dispute amongst doctors — and now existed at a different address, which was 10 km away from the address provided by the claimant.

Lessons Learned

Further inquiries confirmed that there was no record for the invoice and patient in the given dates (or any other dates).

In the course of the investigation, it was also determined that the stamp on the bills was a fake, and the names on the bills were phony.

How CRI Group Can Help Our experts can help your organization establish the proper due diligence procedures necessary to prevent and detect fraud.

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• Always beware of red flags in the billing process • Verify payment and billing information • Check all documents for authenticity

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Forensic Accounting & Fraud Investigation

• Navigate various regional AML legislation and laws

Corporate Security & Business Intelligence

Information is one of your most valuable assets in business.

Take steps now to safeguard it.

your corporate security, conducting business investigations and gathering intelligence to provide you with the insight you need to make the right decisions and plan the right strategy for growth and success.

CRI Group specializes in a full range of services, including: • Intellectual Property Investigations: Let our experts help you protect your rights to trademarks, patents, designs, copyrighted material and trade secrets.

• Corporate Investigations: Don’t fall victim to insider theft such as embezzlement, asset misappropriation and other schemes. CRI Group’s Certified Fraud Examiners can help you detect and prevent fraud in your business.

• Insurance Fraud Investigations: Take advantage of CRI Group’s special expertise in insurance fraud, including both business and personal claims.

• Risk Management: Prevent fraud before it happens. Our experts will work to identify your fraud risks and help you develop the methods to counter them.

FACT: Malicious misconduct by individuals within an organization can often lead the outside world to suspect misconduct by the company as a whole.

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Corporate Security & Business Intelligence

At CRI Group, we use a thorough — yet discreet — approach to maintaining

• Corporate Security Consulting: Our team will address data protection, financial fraud risks, insider threats and all manner of issues that can harm your business. By being proactive, you can prevent devastating losses down the line.

• Business Intelligence: CRI Group takes two approaches to business intelligence and investigation — primary investigative operations, focusing on the current status of your business (location of assets, financial information, etc.); and intelligence operations, focusing on research the future and potential growth of your business.

Take control of your business’ future make informed decisions that will lead to new growth and continued success.

CASE STUDY

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The Company That Didn’t Exist CRI Group was contacted for a due diligence/ corporate investigation into a company dealing in water treatment plant services in Pakistan. Through corporate and tax records, investigators identified the company’s CEO and a director.

During the course of the investigation, it was discovered that no actual company exists at the address provided. Similarly, while checking the residence of the director and CEO, the addresses listed were for a hostel and a hospital, as well as a fake address that didn’t physically exist.

When investigators spoke with people living in the area, residents confirmed that they didn’t know either of the individuals nor the company in question. Further investigation revealed that there was no such company in the industry.

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One person revealed, however, that he knew the individual who was listed as CEO of the company, and said that the man was an employee of a shop that deals in home filter plants at the domestic level. The investigation revealed that he was not the CEO he claimed to be, and the water treatment plant services company was a fake.

Lessons Learned • Look beyond the information provided by a third party — it may be fraudulent

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Corporate Security & Business Intelligence

Let the experts at CRI Group help you gain the information you need to

• Don’t take unnecessary risks when partnering with outside organizations How CRI Group Can Help

We have the expertise and resources to conduct discreet, thorough investigations and help you maintain your corporate security.

Employee Screening & Background Investigations

We’ll secure their past.

Hiring qualified, honest and hard-working employees is an integral part of thriving in the business community. What you don’t know can hurt you, and the simple act of employing one “bad apple” can result in unprecedented loss for your company. CRI Group strongly recommends pre-employment screening as a key, proactive part of keeping your business safe.

CRI Group is a leading worldwide provider of specialized international background screenings, and our detailed background checks can provide: • Employment Verification: Confirm past employers, locations of past employment, dates employed, salary levels, reasons for leaving, position titles, gaps in employment history and pertinent contact information.

• Education Verification: Confirm grades, degrees and qualifications.

• Criminal History: CRI Group can perform international criminal record searches at nearly every level of government. Reports are comprised of all convictions for the applicant in the requested jurisdictions.

We also perform detailed checks related to: • Risk Management • Identity and Address Verification

FACT: 90% of security issues affecting businesses worldwide are brought about by the people working directly inside of those businesses.

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Employee Screening & Background Investigations

You secure your employees’ future.

• Character References • Credit History (in accordance with applicable laws) CRI investigators work deep in the field, traveling to remote destinations worldwide to conduct interviews, develop resources and even enlist local assistance to verify information. Our expert team of verification originating out of Pakistan, the Middle East and regions of Asia.

With comprehensive solutions for multinational corporations, CRI Group is also the right choice for businesses seeking to establish compliance with international applicants and vendors.

Contact us to learn more about the full range of employee screening and background investigation services provided by CRI Group to help you safeguard your business.

CASE STUDY

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fakes and forgeries from applicants An applicant claimed to be a holder of a university degree. When CRI Group conducted its local education verification process, the university named by the candidate reported that the applicant’s degree was ‘fake and forged.’ The applicant also provided a reference letter, apparently signed by the university’s Deputy Controller of Examination (Dy COE) — confirming his education record and asking to re-check his record with the university. However, further investigations showed that the reference letter was also fake, and the signatory was not, nor had ever been, the Dy COE of the university. Another fake and forged degree was revealed when CRI Group investigated the applicant’s BBA — as there was no conferment of said degree.

In another pre-employment verification of an applicant, CRI Group uncovered disturbing details. When the applicant’s previous employers were contacted, one of them

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reported that the applicant was hired without any prior experience, was trained for a couple of months, and then terminated due to committing cash embezzlement as well as participating in harassment and workplace violence. A second employment verification revealed his termination, as he caused a financial loss to the company.

Lessons Learned • Some job candidates will seek an advantage through fraudulent means • In certain cases, the hidden truth might even include criminal behavior • Always verify information provided by individuals you seek to hire

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Employee Screening & Background Investigations

professionals provides screening services with a focus on companies

How CRI Group Can Help Our verification services go deep into an individual’s background, checking employment, education criminal history and other critical details.

Integrity Due Diligence

Outside threats can cripple your business and harm your reputation.

We provide your due diligence solutions.

Successful risk management begins with a scrutinized understanding of the individuals and organizations with whom you’re conducting business. It also requires compliance with international laws, which can be complex and are often changing.

For more than 20 years, CRI Group has been safeguarding clients around the globe by providing investigative due diligence and business investigative services, utilizing a vast network of professional resources strategically located throughout key regions of the Asia Pacific, South Asia, the Middle East and North Africa.

“3PRM”: A “Third-Party Risk Management” Strategy™ CRI Group’s own exclusive, expertly-developed “3PRM”: A “Third-Party Risk Management” Strategy™ service provides the very best in third-party risk management. The tions, protecting organizations from liability, brand damage and business harm.

CRI Group establishes the legal compliance, financial viability and integrity levels of those outside partners, suppliers, customers and other sources worldwide that seek potential affiliations with your business.

FACT: Studies confirm that in this global economy, at least 50% of organizations worldwide fall prey to unscrupulous business dealings and other outside threats posed by seemingly legitimate business partners.

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INTEGRITY Due Diligence

3PRM strategy imparts a proactive approach to mitigating risks from third-party affilia-

3PRM Strategy The 3PRM strategy includes a focus on the following: • Providing third-party risk assessments

• Conducting due diligence

• Meeting contracting requirements

• Providing management oversight

With a network of trained professionals positioned across five continents, CRI Group’s 3PRM services utilize one of the largest multi-national fraud investigation teams the industry has to offer.

The 3PRM strategy is especially critical when your business is performing pre-merger and acquisition research and pre-IPO due diligence, engages new clients, employs,

PHASE 1:

Risk assessment should evaluate the following areas:

Identify Vulnerabilities

PHASE 2:

2 INTEGRITY Due Diligence

• Jurisdictional considerations • Data and IP protection • Whistleblower policies

Third-party contracts should address the following:

Contracting Requirements

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• Financial viability • Quality • Security of information • Price • Reliability • Other details within the scope of the contract

Evaluation of potential business partners should include:

PHASE 3: Conducting Due Diligence

PHASE 4:

• Business and operations • Financial condition and reputation • Experience, culture, vision and business style

• References and government records • Background checks • Insurance and certifications

The key elements of a successful business relationship:

Management Oversight

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• Audit and supervision functions • Business continuity plans • Supply chain alternatives

• MANAGE

• MONITOR

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• MAINTAIN

Third-Party Risk Management Program Fundamentals

Due diligence on potential third-party providers is critical to confirm legitimacy and reduce the risks associated with such business relationships. The above diagram illustrates third-party risk management and due diligence fundamentals.

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contracts or retains foreign business partners and requires a consistent and auditworthy AML and anti-corruption compliance program.

CRI Group provides the knowledge required to navigate unfamiliar markets by assessing the backgrounds, integrity and character of those with whom you do business.

Commercial Due Diligence In the commercial market, our due diligence services typically focus on: • Ways to enhance revenue and reduce cost • Opportunities for consolidation or realignment in the industry • Ways to implement operational improvements We consider the size of the addressable market for your company/product; the growth drivers and projections in the addressable market; and the fundamental profitability drivers of the market. We then often build our own detailed market models with future projections to help you make informed decisions on business expansion and growth.

CASE STUDY

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the horse meat scandal

• Know who your suppliers are • Develop crisis management and disaster response plans • Secure multiple supply routes • Establish back-up production sites in different regions • Consider redundancy production strategies • Establish a third-party risk assessment plan How CRI Group Can Help We can help you develop and put in a place an effective third-party risk assessment plan that keeps your organization protected, and minimizes your exposure to unseen or unknown trouble spots. As your business grows, so do opportunities — let CRI Group uncover the information you need to make sure those opportunities are positive and beneficial to your growth.

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This crisis in particular demonstrates that as the global food supply chain expands and becomes more complex, due diligence must exist as a vital part of international business, not only for the food industry but for all sectors of the global economy. This reality extends to all areas of business — as unethical, illegal, or even simply sub-par practices by a third-party associated with your organization can have long-lasting damaging effects on your bottom line.

Lessons Learned

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INTEGRITY Due Diligence

The infamous horse meat scandal in the United Kingdom presents a classic scenario of the damage that can come from risky third-party associations. Widely known international corporations, including Burger King and many others, were forced to cut ties with a meat supplier after facing financial and reputational harm from the discovery that some of the supplier’s products were tainted with horse flesh.

In today’s economy, it’s essential to prevent corruption on a global scale.

Count on CRI Group for all your corporate investigative needs.

Contact Us

Middle East & North Africa

Asia

Corporate Research and Investigations LLC Level 9, #917, Liberty House, DIFC P.O. Box 111794 Dubai, UAE Tel: +971-4-3589884 Cell: +971 50 9038184 Fax: +971 4 3589094 Email: crimena@crigroup.com Web: www.crigroup.com

Pakistan Office Level 12, #1210, 1211 55-B, Islamabad Stock Exchange (ISE) Towers Jinnah Avenue, Blue Area Islamabad, Pakistan PO Box 2144 Tel: +92 51 111 888 400 Toll Free : 0800 00 CRI (274) Email: pakistan@crigroup.com Web: www.crigroup.com

Qatar Office Level 22, Tornado Tower Al-Funduq Street PO Box 27774 Doha, Qatar Tel: +974 44292434 Email: doha@crigroup.com Web: www.crigroup.com

Europe EMEA Head Office Level 33 25 Canada Square London E14 5LQ United Kingdom Tel: +44 207 038 8023 Cell: +44 7588 454959 Email: london@crigroup.com Web: www.crigroup.co.uk

Singapore Office 1 Raffles Place, #19-61, Tower 2 One Raffles Place, Singapore 048616 Tel: +65 6808 5634(35)(36) Fax: +65 6808 5800 Cell: +6597265812 Email: singapore@crigroup.com Web: www.crigroup.com

Americas New York Office 600 Third Avenue, Suite 252 New York, NY, 10016 United States of America Tel: +1 (646) 571-2501 Email: newyork@crigroup.com Web: www.crigroup.com

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©2013 Corporate Research and Investigations (Pvt) Limited. Fraud360 and “3PRM”: A “Third-Party Risk Management” Strategy™ are registered trademarks of Corporate Research and Investigations (Pvt) Limited. All rights reserved.