Pursuing A Career In Forensic Accounting

Forensic accountants are financial detectives who audit, investigate and ascertain the accuracy of financial reporting documents, often in connection with anticipated or on-going legal action. They are charged with ferreting out questionable financial data, chiefly for the purpose of investigating white-collar crime involving individuals as well as businesses of all sizes. They may work with businesses, non-profit organizations (including government and law-enforcement agencies), estates, individuals and others who require forensic-accounting services. Recent regulations have made forensic accountants widely sought after, and there are many career options available for those who are interested.

Forensic accountants may help with risk management and risk reduction through customized design of accounting and auditing systems and procedures. As a function of due diligence and investment analysis, they will advise on a wide variety of financial transactions:

• ·         Contemplated mergers and acquisitions

• ·         Venture capital investments

• ·         The purchase of corporate bonds, commercial paper and stocks

• ·         Bankruptcy proceedings etc.

The criminal activity uncovered may include fraud, embezzlement, money laundering, the concealment of debt, the concealment of assets or other fraudulent activities, or even financial crimes. Forensic accountants may be called upon to testify in court as expert witnesses in criminal and civil litigation and appear in pre-trial depositions. Beyond their typical work in the business sector and the investigation of individuals' assets for various legal purposes, forensic accountants may also examine criminal enterprises to recover illegally obtained money or spot money laundering. In a government confiscation of assets in organized-crime cases, or in tax cases against individuals or companies, the work of a forensic accountant is indispensable.

Forensic accountants are also often Certified Public Accountants and Certified Fraud Examiners (CFE) as a Certified Fraud Examiner is a specialist with extensive training in the prevention and deterrence of fraud and is required to pass a 500-question examination for certification that covers topics such as fraud examination and investigation techniques, financial transactions, criminology and ethics, and legal elements of fraud. Requirements for certification also include high moral character and strict professional and academic standards. The CFE credential is conferred by the Association of Certified Fraud Examiners. The certification is recognized worldwide, and employers look for it when forensic accounting is needed in this area. Although in Nigeria the Institute Chatered Accountants On Nigeria (ICAN) have incorporated forensic investigation as one of their departments which makes it a recognized body for Nigerians willing to become a forensic accountant although they are presently few forensic accountants in the country yet there are opportunities to be explored in this area.

Both the forensic accountant and the CFE must have a comprehensive understanding of business information and all aspects of financial reporting.

BECOMING A FORENSIC ACCOUNTANT

Forensic accountants are required to have a bachelor's degree in any field but most importantly accounting. Employment opportunities and career advancement may be enhanced with a master's degree in accounting or in any of the business sciences. Entering the field of forensic accounting as a Certified Public Accountant is an additional advantage. As an adjunct to forensic accounting, career-minded accountants may also become a Certified Fraud Examiner. The CFE credential requires a course of study and an examination.

Courses in forensic accounting are offered at many colleges and universities, other private institutions and through online educational programs. Scholarships, grants and subsidies for the education and training of forensic accountants are available from governmental and private sources but in Nigeria only UNIBEN is offering the course at masters’ level as most Nigerian universities are yet to incorporate the course.

In conclusion Forensic accounting can be a fascinating, satisfying and well-compensated career. The field is expanding, and there are numerous job opportunities in the private sector, government and other non-profit organizations. The work is beneficial to the community, and the profession is highly respected.