Corporate fraud is extremely dangerous to businesses and can threaten to bring down entire corporations. It can be very hard to detect and can go be unknown to management for many years. Sometimes by the time it is found out, it might be too late because of the damage that has been done and the number of people involved in the fraud. For corporate fraud, when more people are involved, the problem can be infinitely harder to solve because it is much easier for the culprits to cover each other’s tracks and hide the financial reports from their superiors. Here at International Investigative Group, we have a team of experience professionals who are experts at investigating corporate fraud cases.
What to Expect During Investigations
It is important that
when there is even an inkling of suspicion, you take corrective action as
quickly as possible. Once the investigation starts, it will be revealed to you
how long the fraud has been going on and the results of the corporate fraud on
your company. In some high profile cases, investigators have been known to
expose entire companies of their fraudulent behaviors and what they do to cheat
their customers of their money.
How do the Investigations Work?
There is actually no
hard and fast method for all corporate fraud cases. The methods that are used
in such investigations are usually dependent on the specific case. However, the
standard procedure for most cases involves speaking and interviewing the
executives and employees who are suspected of committing the fraud, and
collecting information that can help with the case. Some of this information
consists of financial statements and any documents that might be missing.
It might be shocking
to realize, but usually the employees who are more likely to engage in such
fraudulent behaviors are those who think that they have a higher level of
protection and privacy as compared to their lower-level colleagues. They might
utilize channels of communication that are private and not associated to the company.
The best way to uncover such information from these individuals is to hire an
investigator who is experienced in this field and has the means to carry out
surveillance on the suspects.
How to Prevent Corporate Fraud
According to expert private investigator, Dan Ribacoff, “It only takes one bad apple to ruin a whole basket of apples. Similarly, it only takes one single employee to start engaging in corporate fraud before the problem gets out of hand.” Although it is safe to say that most corporate workers in the country are honest and loyal to their companies, it only takes a small percentage of dishonest workers to start corrupting the rest of their colleagues. Usually, when there is even a need for investigation for such cases, criminal activity is already happening in your company. Therefore, it is wise to believe that prevention is better than cure in the case of corporate fraud.
It is imperative
that every corporation develops a fraud prevention strategy to prevent such
destructive behaviors from ruining businesses. Our fraud investigators also
offer more than normal investigation. They specialize in the aforementioned
covert surveillance and background checks on prospective employees.
5 February 2020
When we talk about crime scenes in this day and age, there are so many possible scenarios other than the standard investigations of physical fingerprints, blood splatter analysis, and even footprints. To be more specific, cyber-crime has become such as major problem with advancements in technology. It can be hard to track cyber criminals because they hardly leave any physical trails. As a result, investigators heavily rely on digital forensics to solve such cases. Here at International Investigative Group, we specialize in digital forensic investigations that can help with any cyber-crime issue you might have.
What Exactly is Digital Forensics?
Essentially, digital
forensics is the process in which digital evidence is gathered from various
devices or networks and infrastructures. This can include mobile devices,
computers, cloud storage systems or even smart phones. Such data and evidence
can be gathered from many different sources of information, such as emails and
deleted files that might be accessed by a hacker. For cyber-crime, a digital
forensic expert would analyze the information collected and report the
situation to the relevant authorities. Below are some notable cases which were
solved using digital forensics.
Krenar Lusha in 2009
As a result of analyzing the internet search patterns of this illegal immigrant living in the United Kingdom, Derby authorities were able to make an appropriate arrest. It was actually discovered that Krenar Lusha downloaded a substantial amount of information on how to make detonators, explosives and search belts from the internet. Furthermore, when the police received their search warrant for his apartment, they managed to find him in the process of downloading video films called “The Hezbollah Military Instructions Manual and Mobile Detonators”. Authorities also found copious amounts of petrol bomb components (71.8 Liters of petrol), firearm ammunition, 14 cell phones (to be used for detonating explosive devices) and computer documents called “Ragnar’s Detonators” and “The Bomb Book”. It was found that he had also corresponded with people on the internet and posed as a terrorist who had ill intentions toward Jewish people and Americans.
Tony Porter, of the North West Counter Terrorism Unit, stated: “While there is absolutely no indication of what he intended to do with these items, I believe he had the intention of committing an extremely serious offense – I cannot possibly speculate on when or where.” After concluding that the accumulated information and data on his computer would be used solely for terrorism, he was found guilty on all 5 charges brought against him. Lusha was sentenced to 7 years in prison in the United Kingdom and was deported to his home country of Albania upon his release. The Judge described him as putting up the facade of being a pleasant and hardworking man who was trying to make a new life for himself and start a family, but behind his act, he was a man with only the intention of bringing violence and destruction upon others. Thankfully, with the use of digital forensics, his violent plot was stopped before it could even occur.
Larry Jo Thomas in 2016
The Indianapolis man was found guilty for the murder of Rito Llamas-Juarez in an attempted robbery, as the men were meeting for Thomas to sell Juarez a used iPhone via the OfferUp app. According to eyewitnesses, each party was accompanied by two others and during the transaction. Thomas then pulled out a firearm and said “Give us everything you got”. Witnesses say that he then fired at Juarez who was sitting in the passenger seat of the car. One of Juarez’s relatives ran away on foot, while the other drove away with him in the car, where Juarez tragically died.
In Thomas’ case, investigators managed to link him to the murder because of the content that he posted on his Facebook account. The IMPD was able to link his OfferUp account to his Facebook account where he was using a handle called “Slaughtaboi Larro”. He posted photos that showed him equipped with an assault rifle that resembled an AR-15. In Rito Llamas-Juarez’s murder, it was found that he was killed with ammunition that matched the weapon which Thomas owned. Furthermore, a bracelet which matched the bracelet that Thomas was wearing in one of the photos was found at the crime scene. In 2016, Thomas was sentenced to 55 years in prison and another 3 years in community corrections.
Matt Baker In 2010
This Baptist preacher was found guilty of murdering his wife, Kari. Before he was linked to the murder, his wife was reported to have committed suicide via overdosing on sleeping pills. However, it was found on his computer that Baker had searched for information regarding overdosing and had visited several drug websites before his wife died.
The investigation was launched by his wife’s family, who claimed that suicide was not in her nature and found it suspicious that Baker had given his Kari’s phone to another woman after his she had died. It was later found out that Baker was having an affair with this woman. Kari’s therapist even said that she had mentioned that she felt her husband was out to get her and suspected that he was having an affair. Unfortunately, this alone was not enough evidence to convict Baker with her murder.
After the woman who Baker had an affair with came forward about some disturbing things that he had said about his wife in private, police reopened the case and investigated Baker’s search history for the days ensuing Kari’s death. It was found that he had searched numerous internet pharmaceutical websites for different drugs that would have fatal consequences upon overdose. One of those drugs was Ambien, which was found in high amounts in Kari’s body during her autopsy. This was the evidence that cracked the case and led to his conviction for the murder of his wife. Thanks to digital forensics, after only 8 hours of discussion by the jury, the “Murdering Minister” was sentenced to 65 years in prison.
Mikayla Munn in 2016
This Manchester University student was found guilty of neglecting her newborn child. In the story originally given to Indiana police by Munn, she claimed that she did not know that she was pregnant at the time and took a bath to deal with what she believed to be menstruation pains. She claims to have passed out and found the newborn submerged underwater and not breathing when she awoke. Something about this story didn’t seem right, so an investigation was launched to find the truth about what really happened.
Investigators were able to disprove her story by using digital forensics and Munn’s internet search history as evidence. The authorities attributed her baby’s death to Munn’s online searches on how to abort a baby at home and how to cut the umbilical cord. It was eventually found that she drowned her newborn in a dormitory bathtub immediately after giving birth, making the trial a homicide case.
With this evidence brought to light, Munn pleaded guilty to the charges brought against her and acknowledged her actions and their consequences. She was sentenced to a 12 years in prison with 3 years suspended to formal probation in 2016.
Ross Compton in 2017
In this one of a kind case, the data from Compton’s pacemaker actually served as evidence in court. The data, which included his heart rates and pacer demand helped to prove that he had actually submitted fake medical certificates and engaged in insurance fraud and arson of his $400,000 home.
Compton claims that he was asleep when his house caught on fire. He states that when he awoke and saw the blaze, he quickly packed clothes and other belongings into bags and leaped from his bedroom window with his belongings to get to safety after breaking it with a cane. Police later found that this statement from Compton proved to be inconsistent with the evidence that they later found after collecting reports from his pacemaker before, during and after the fire took place.
According to documents provided by the court, a cardiologist who reviewed reports from Compton’s pacemaker stated that is highly unlikely that Compton quickly packed numerous belongings and exited the house with several bags from a bedroom window. This is especially hard to believe at Compton’s age of 60 and his heart condition. The Cardiologist was quoted as stating: “It is highly improbable Mr. Compton would have been able to collect, pack and remove the number of items from the house, exit his bedroom window and carry numerous large and heavy items to the front of his residence during the short period of time he has indicated due to his medical conditions.” The case is still currently pending, as the defense is appealing the court’s decision to allow the use of Compton’s pacemaker data as evidence. However, if it is allowed, the use of digital forensics can be accredited with putting out the flames of Compton’s insurance fraud inferno.
If you need professional assistance any type of corporate/private investigation, physical security, or cyber security, do not hesitate to contact us at hello@iigpi.com, or at (212) 987-0808
9 January 2020
CEO Dan Ribacoff, a private investigator, credibility assessment expert, and polygraph examiner, was asked how to detect lies when the use of the polygraph is not available.
Check out the following article to see Dan Ribacoff P.I.’s responses on:
1. Why We Lie 2. The Brain and How We Lie 3. Lie Detection in Speech and Conversation
Your brain really goes into ‘rev the engine’ mode when you lie
When you give me the truth, your brain is not working very hard, because it’s accessing information that is already there or not there. When you want to lie, your brain must work harder
9 January 2020
How can we prevent Employee Theft? Dan Ribacoff says that we can take these steps in order to identify and prevent it.
The number one cause of loss of inventory for businesses across the world.
Employee theft is defined as the stealing or misuse of an employer’s assets without permission. Some of these common assets that employees can steal are:
Money: This is the most common asset that is stolen in most businesses.
Time: Getting paid for time that they were not working.
Information: Stealing ideas or even the blueprint for a product.
Supplies: Most common in taking office supplies or even food from restaurants.
Most of the time, employee theft can go on for multiple years before it is noticed. It is very common in all work places and no matter how big or how small, it eventually all adds up.
How can I prevent employee theft?
Our partners over at LegalScreen have shared some telling signs to spot employee theft:
Performing background checks for all employees is the number one way to prevent this from happening. With these background checks, you can determine if the potential hire has a higher risk of stealing from you, in which case they will not be hired. These background checks are very simple and very important to a business. A very simple process can go a long way for your business in the long run.
Another way to prevent employee theft is by hiring a Private Investigator. This will show your employees and potential employees how serious you are. It gives the employees a zero tolerance policy. If you suspect theft or fraud within your company, have the Private Investigator get to the bottom of it, one less task for you as a manager to worry about.
Private Investigators are commonly used to conduct surveillance on potential suspects, perform audits of security and operational procedures, and conduct computer forensics on company owned equipment.
9 January 2020
A major WiFi flaw has been discovered and your passwords may no-longer be safe. Researchers today have revealed a new exploit titled KRACK, which makes use of flaws and vulnerabilities in WiFi security to allow attackers to monitor your activity.
If your device supports WiFi, it is most likely affected.
Dan Ribacoff says that these vulnerabilities would allow attackers to:
Intercept Passwords
Intercept Emails
Intercept Credit Card Numbers
Intercept Photos
Intercept Website History
Intercept Other Data Thought to Be Encrypted
Possibly Install Ransomware
Dan Ribacoff’s Recommendation #1:
Update Your Routers and Operating Systems on Devices Used to Access the Internet.
Dan Ribacoff’s Recommendation #2:
If browsing on a vulnerable access point, avoid using Wi-Fi and stick with a wired connection.
9 January 2020
In this post, Dan Ribacoff breaks down a few basic steps that he recommends in order to ensure the protection of you and your online business.
As a small business owner, there are many things you can do from a security perspective to prevent trouble.
It’s never too late to take implement basic steps and protocols to protect you and your business online.
Prepare for 2018:
Tips for Small Business Owners To Prevent Your Company from Being Hacked:
Use a Secure and Encrypted Messaging App
Use applications where you can control how the data is backed up and when it’s backed up.
Antivirus software is not 100% fool proof buts is a great first line of defense. Further, it’s always running in the background to provide active protection on things you might overlook.
Access Your Work and Private Accounts from Trusted Devices and Trusted Networks Only
Anytime you type in a password, you’re a potential victim of a keylogger, spyware or packet sniffer.
9 January 2020
Even though polygraphs may not be admissible at trial, understanding the science behind them is of value to all legal practitioners. On Friday, May 10th, 2019, Daniel Ribacoff, P.I. and Lisa Ribacoff will be speaking at the New York State Association for Criminal Defense Lawyers CLE Seminar at New York Law School. The seminar that we will be teaching is called “Detecting Deception at Trial, Litigation and During Cross Examination”.
On Wednesday, June 5th from 6:00pm-8:00pm, the same presentation will also be presented at the New York County Lawyers Association. This will be taking place at the NYCLA in Lower Manhattan.
On Wednesday, June 12th from 1:00pm-2:00pm, Lisa Ribacoff will be lecturing for CLE credits at the Nassau County Bar Association. The title of this program is called, “Spotting a Lie: Advanced Deception Detection Techniques”. Previously, we have been able to work with various bar associations for attendees to receive CLE credits for the in-house program. If this is of interest to you, please contact Lisa Ribacoff at lisa@iigpi.com.
9 January 2020
Almost 1 out of every 2 Americans are vulnerable to Tax Return fraud due to the Equifax breach
About 143 million Americans—nearly half of the country—face risks after the Equifax breach was identified several days ago. The breach has exposed personal data such as personal identifiers, social security numbers, employment information, credit card information and more.
Dan Ribacoff states that this exposure gives way for scammers and fraudsters to capitalize once tax season comes around.
It is worthwhile to file your tax returns as soon as possible this upcoming year.
Michael Lai, CEO of Sitejabber, reaffirms this in saying: “Once your return is filed, nobody else can file a second return without raising some red flags, so the scammers will simply move on to the next victim,”
Should you have any concern at the Federal Level, you can call the IRS and request to see what tax filings have been made under your name. Click Here to Learn More
9 January 2020
Major Security Vulnerability Discovered For iPhones and iPads running iOS 10.3.2 or lower.
Apple patches–and in turn Recognizes—a major threat to iOS devices. Dan Ribacoff strongly recommends that you upgrade your iPhones and iPads to iOS version 10.3.3 immediately.
Apple patches–and in turn Recognizes—a major threat to iOS devices. We strongly recommend that you upgrade your iPhones and iPads to iOS version 10.3.3 immediately.
An exploit was recently discovered where an attacker could execute commands on your device if it was in a certain proximity. More so, this attack could be executed from greater distances and/or remotely if your Wi-Fi router is compromised.
Affected Devices
iPhone 5 and newer
4th Generation iPads and newer
6th Generation iPod Touch and newer
What happens next will shock you
Execute Arbitrary Code
Full or Partial Device Takeover
Data Leaks
Loss of Privacy
What is this Hack Actually?
“ Broadpwn, a vulnerability in Broadcom’s Wi-Fi chipsets which affects millions of Android and iOS devices, and can be triggered remotely, without user interaction. The Broadcom BCM43xx family of Wi-Fi chips is found in an extraordinarily wide range of mobile devices – from various iPhone models, to HTC, LG, Nexus and practically the full range of Samsung flagship devices. ”
