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

SideCase NumberCase NameAttorneyLaw FirmTestify
PlnBC 021495Danjaq, S.A. v. MGM/UA Communications Co.Mark M. RosenthalJeffer, Mangels, Butler & MarmaroDepo
DefBC 033169Steven Adler v. Guns N’ RosesMorton G. RosenHaight, Brown & BonesteelDepo / Trial
Def119554Let’s Scramble, Inc. v. Pandora International Entertainment Group, Inc.Jack I. SametBaker & HostetlerDepo
Pln750511Fightertown Entertainment, Inc. v. Robertson, Stephens & Company, et al.John A. SturgeonWhite & CaseDepo / Trial
PlnBC 168 439The Los Angeles County Sanitation Districts v. AFS, Inc.Nancy A. RamirezMusick, Peeler & GarrettDepo
Pln72 145 00553 98Fidelity Commercial Enterprises v. Managed Resources, Inc.Perry L. HirschDapeer & HirschTrial
PlnBC 193558PMC, Inc., et al., v. Paul Winkler, et al.Sean RileyChristensen, Miller, Fink, Jacobs, Glaser, Weil & ShapiroTrial
PlnBC184264NEI Direct, Inc. v. First USA Bank, et al.Arnold G. RegardieLaw Offices of Arnold G. RegardieDepo / Trial
PlnPC 027655Ik Nam You v. Chong Yol KimPeter Y. ChangLaw Offices of David S. Kim & AssociatesTrial
PlnCV04-6340-JFW(SSx)Go Motorboards, LLC v. EnerSys, Inc.Michael A. PainterIsaacman, Kaufman & PainterDepo
PlnBC 274623Dante Valve Corporation, et al. v. Bank of America Corporation, et al.Joseph G. McGuinnessMcGuinness & AssociatesDepo
Pln1200037463NationsFirst Lending, Inc. v. NovaStar Financial, Inc.Cameron M. JollyMixon, Valk & JollyDepo / Trial
PlnRCV 086636Robert Yang, M.D. and Claudia Kano v. Robert Camarena, et al.Troy AykanLaw Offices of Troy AykanTrial
PlnC05-03295 WHANancy Lendall v. Chase Manhattan Mortgage CorporationLaura Lynn DavidsonLaw Offices of Jeffrey L. DavidsonDepo
PlnBC361111Housing Authority of the City of Los Angeles v. Lucille A. Loyce, et al.Charles E. SlyngstadMorris, Polich & PurdyDepo / Trial
DefBC 343 303R.H. III Preferred Tool & Die, Inc. v. Milutin BabicD. Joshua StaubLaw Office of D. Joshua StaubDepo / Trial
PlnBC 354412Jim Shai Kolodaro v. Katherin Maghen, et al.Robert J. ShermanRJSLawTrial
Pln2-06 CV 02800 ODW-CTSamica Enterprises, LLC, et al. v. Mail Boxes Etc. USA, Inc., et al.Robert S. BoulterLagarias & BoulterDepo
DefYC053574Gordon Family Trust, et al, v. James J. Regan, et al.Scott E. ShapiroLaw Offices of Scott E. ShapiroDepo
Def72 517 00904 13 TNMVictor Perez Leon v. Vicente Del RioJeffrey G. HuronDykema Gossett LLPTrial
DefBC430809Sylvester Stewart and Ken Roberts v. Gerald Goldstein, et al.Gregory BodellKozberg & Bodell LLP AttorneysDepo / Trial
Def50 148 T 00323 13Innovation Advisory Group, Inc. v. National Pacific Corporation, et al.David L. CousineauCapello & Noël LLPDepo / Trial
PlnBC532950, BC529916Donna L. Kaplan v. Jeffrey A. Kaplan, et al.Luan K. PhanPB Law Group, LLPDepo / Trial
PlnBC630989Art & Coin Television, LLC , et al. v. Gregory Thomas, et al.Jeffrey G. HuronDykema Gossett LLPDepo

 

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.

IF YOU HAVE ANY QUESTIONS, PLEASE CALL THOMAS NECHES DIRECTLY AT 213.624.8150.

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