Understanding Occupational Fraud

Every industry is vulnerable to fraud. From large corporations to medium and small-sized businesses, occupational fraud is everywhere. Companies devote significant resources to catching and preventing fraud, yet new methods of committing fraud are invented daily. Fraud costs businesses and consumers billions of dollars each year. Allegations of fraud often incur in breach of contract cases.

Common Types of Occupational Fraud

  • Asset Misappropriation
    • The most common type of fraud, this includes the manipulation of accounts or misusing of funds for personal gain. Asset misappropriation schemes include cash larceny, skimming, payroll, billing and check and payment tampering.
  • Corruption
    • Corruption typically is perpetrated to company management. Corruption schemes include collusion, bribery, extortion and illegal payments.
  • Financial Statement Fraud
    • Financial statement fraud cases involve the misrepresentation of profits, revenue, assets, or prediction of profitability. Victims include shareholders, creditors and investors.

Within all three of these occupational fraud types, there are many types of schemes which often go unnoticed until it’s too late. Many fraud cases often involve deliberately confusing reporting of financial transactions. It is important to hire a fraud expert witness to unravel and explain these complicated accounts and transactions.

Hiring a Certified Fraud Examiner and Expert Witness

By hiring a CPA expert witness and certified fraud examiner, your firm can rely on our decades of experience handling fraud cases in a broad array of industries. Thomas Neches & Company LLP reviews business records, financial statements and more to show a judge and jury meticulously-calculated amounts owed as result of the alleged fraud.

Learn more about our fraud-related representative engagements and trial testimony below.

Representative Fraud Engagements

Side Case Number Case Name Attorney Law Firm Testify
Pln BC 021495 Danjaq, S.A. v. MGM/UA Communications Co. Mark M. Rosenthal Jeffer, Mangels, Butler & Marmaro Depo
Def BC 033169 Steven Adler v. Guns N’ Roses Morton G. Rosen Haight, Brown & Bonesteel Depo / Trial
Def 119554 Let’s Scramble, Inc. v. Pandora International Entertainment Group, Inc. Jack I. Samet Baker & Hostetler Depo
Pln 750511 Fightertown Entertainment, Inc. v. Robertson, Stephens & Company, et al. John A. Sturgeon White & Case Depo / Trial
Pln BC 168 439 The Los Angeles County Sanitation Districts v. AFS, Inc. Nancy A. Ramirez Musick, Peeler & Garrett Depo
Pln 72 145 00553 98 Fidelity Commercial Enterprises v. Managed Resources, Inc. Perry L. Hirsch Dapeer & Hirsch Trial
Pln BC 193558 PMC, Inc., et al., v. Paul Winkler, et al. Sean Riley Christensen, Miller, Fink, Jacobs, Glaser, Weil & Shapiro Trial
Pln BC184264 NEI Direct, Inc. v. First USA Bank, et al. Arnold G. Regardie Law Offices of Arnold G. Regardie Depo / Trial
Pln PC 027655 Ik Nam You v. Chong Yol Kim Peter Y. Chang Law Offices of David S. Kim & Associates Trial
Pln CV04-6340-JFW(SSx) Go Motorboards, LLC v. EnerSys, Inc. Michael A. Painter Isaacman, Kaufman & Painter Depo
Pln BC 274623 Dante Valve Corporation, et al. v. Bank of America Corporation, et al. Joseph G. McGuinness McGuinness & Associates Depo
Pln 1200037463 NationsFirst Lending, Inc. v. NovaStar Financial, Inc. Cameron M. Jolly Mixon, Valk & Jolly Depo / Trial
Pln RCV 086636 Robert Yang, M.D. and Claudia Kano v. Robert Camarena, et al. Troy Aykan Law Offices of Troy Aykan Trial
Pln C05-03295 WHA Nancy Lendall v. Chase Manhattan Mortgage Corporation Laura Lynn Davidson Law Offices of Jeffrey L. Davidson Depo
Pln BC361111 Housing Authority of the City of Los Angeles v. Lucille A. Loyce, et al. Charles E. Slyngstad Morris, Polich & Purdy Depo / Trial
Def BC 343 303 R.H. III Preferred Tool & Die, Inc. v. Milutin Babic D. Joshua Staub Law Office of D. Joshua Staub Depo / Trial
Pln BC 354412 Jim Shai Kolodaro v. Katherin Maghen, et al. Robert J. Sherman RJSLaw Trial
Pln 2-06 CV 02800 ODW-CT Samica Enterprises, LLC, et al. v. Mail Boxes Etc. USA, Inc., et al. Robert S. Boulter Lagarias & Boulter Depo
Def YC053574 Gordon Family Trust, et al, v. James J. Regan, et al. Scott E. Shapiro Law Offices of Scott E. Shapiro Depo
Def 72 517 00904 13 TNM Victor Perez Leon v. Vicente Del Rio Jeffrey G. Huron Dykema Gossett LLP Trial
Def BC430809 Sylvester Stewart and Ken Roberts v. Gerald Goldstein, et al. Gregory Bodell Kozberg & Bodell LLP Attorneys Depo / Trial
Def 50 148 T 00323 13 Innovation Advisory Group, Inc. v. National Pacific Corporation, et al. David L. Cousineau Capello & Noël LLP Depo / Trial
Pln BC532950, BC529916 Donna L. Kaplan v. Jeffrey A. Kaplan, et al. Luan K. Phan PB Law Group, LLP Depo / Trial
Pln BC630989 Art & Coin Television, LLC , et al. v. Gregory Thomas, et al. Jeffrey G. Huron Dykema Gossett LLP Depo

 

Key Sample Representative Fraud Engagement

Housing Authority of the City of Los Angeles v. Lucille A. Loyce, et al. (Charles E. Slyngstad – Morris, Polich & Purdy). Mr. Neches testified as an expert in California Superior Court, Los Angeles County, on behalf of the Housing Authority in this misappropriation of assets matter. The Housing Authority, a public agency that provides affordable housing to over 113,000 residents in Los Angeles, accused defendants, who had been the Director and Assistant Director of the Authority, of wrongfully steering to an accomplice, under the guise of bogus “consulting” work, federal funds designated to help residents. Mr. Neches testified regarding his analysis of payments to the accomplice, which totaled over $1,200,000 during the years 2000 – 2004. Result: the jury ordered defendants to repay the Housing Authority $528,000.

What is A Ponzi Scheme?

Thomas Neches Appears on ‘Getting Schooled’ Podcast w/Abby Hornacek

What is a Ponzi scheme? Who do they affect and how do they happen? Thomas sits down with Abby Hornacek to discuss these questions and more following the recent death of one of the most infamous Ponzi schemers of all time, Bernie Madoff. Madoff’s name roared into the headlines in 2008 when he was arrested for conning 65 billion dollars out of as many as 37 thousand people. (more…)


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