Fraud and financial investigations

Abstract

This chapter explores financial investigations, which can refer to ‘any investigation into a person or person's financial matters’. The primary legislation used in financial investigations is the Proceeds of Crime Act 2002. A fraud investigation is, in essence, a financial investigation and features in the Fraud Investigation Model when both gathering material and securing the offenders' assets. Financial information can reveal evidence of the offenders' motives, gains, links to others and, modus operandi (methods). The early engagement of a financial investigator (FI) is essential in fraud investigations to: assist in obtaining financial information; give consideration to potential confiscation proceedings; and recover the value of the assets that have benefited that individual, such as cash, properties or vehicles. The primary objective of confiscation in fraud cases is to recover assets so that they can then be used to compensate victims if appropriate. There is also the power to restrain assets where this is necessary to stop a person who has benefited from their crime from being able to dissipate, spend, sell, transfer, or hide their assets or property before they can be confiscated.