Question 5:

You have been assigned a lead investigator a potential fraud investigation.

The subject of the investigation is Emily Williams, a 40 year-old senior executive at reputable financial services company.

There have been suspensions of fraudulent activities surrounding her. Including discrepancies in financial records and an extravagant lifestyle that seems incongruent with her reported income.

You task is to conduct a comprehensive lifestyle audit on Emily and provide recommendations based on your findings.

Emily profile is as follows:

*age :40.

*position: Senior Executive at financial company.

*Income:high, but exact figures are not disclosed.

*lifestyle:expensive vacations, luxury purchases over and above known income, upscale dining.

*social media:frequent posts showcasing lavish lifestyle.

*known expenses: High Mortgage, Multiple car payments, club memberships.

*Work hours:long hours, often involves international travel, unsupervised.

*Reputation:Previously regarded as hardworking and diligent, now reported as distant and private.

Explain how you would conduct a lifestyle audit for Emily to determine if there are any signs of fraudulent activities.

What subsequent recommendations would you make based on the outcome of the lifestyle audit?

Your response should cover the following areas:

#Financial discrepancies:analyse the inconsistencies in Emily's reported income and her extravagant lifestyle.

#Identity potential red flags that might indicate fraudulent activities.

#Expense analysis: examine Emily's known expenses and assess whether they align with her reported income. Identity any discrepancies or excessive and spending patterns.

#Social media examination:analyse Emily's social media presence and it's congruence with her reported financial situation.

#Look for any post or information that might indicate hidden assets or undisclosed income sources.

#Work schedule and travel: consider Emily's demanding work schedule and international travel.

#Determine whether her reported income is plausible given her job responsibilities.

#Reputation and Behavior:Evaluate Emily's reputation and behavior within the company. Assess whether any changes in her behavior or attitude could be linked to fraudulent activities.

NB:Note: Your recommendations should be based on the principles of forensic accounting and fraud investigation. Focus on providing evidence-based insight and drawing connection s between Emily's lifestyle and potential fraudulent activities. Your analysis should be unbiased and objective, replying on concrete data and information also provide examples and References (10 marks).

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