When a fraud occurs and a company and its shareholders have lost money, people begin the search for the responsible parties. Companies often wonder, "Why didn't our accountants (or auditors) find this sooner?"

Since the passage of the Sarbanes-Oxley Act of 2002, accountants and auditors have come under increased scrutiny from clients and the public at large. Regulatory bodies are on the lookout for malpractice issues that might have prevented or detected fraud.

When accountants or auditors are suspected of committing malpractice, it is important to have an experienced auditor and expert witness examine the working papers, work programs, and audit results.

Experience

Our experience analyzing cases of potential accountants' professional liability issues includes both prosecution and defense work. We have experience conducting audits and examining audit workpapers that translates well to litigation situations.

Additionally, our understanding of fraud and the methods used to commit fraud provides a solid basis for examining cases when auditors and accountants may be at fault.

Services Provided

The work of Sequence Inc. may include:

• Analysis of the fraud to determine amounts, methods, and perpetrators
• Review of engagement agreements to determine the appropriate scope of work by the accountants or auditors
• Examination of accountants' work papers and analysis of deficiencies
• Examination of relevant accounting standards (Generally Accepting Accounting Practices - GAAP), auditing standards (Generally Accepting Auditing Standards - GAAS), and other applicable rules and regulations
• Preparation of an expert report and testimony in court proceedings