What parameters and potential solutions could I initiate/suggest to alleviate concerns that fraudulent invoices could be sent out?This question is in regards to internal auditing/divisional...

What parameters and potential solutions could I initiate/suggest to alleviate concerns that fraudulent invoices could be sent out?

This question is in regards to internal auditing/divisional performance accounting.

I am an outside consultant looking after a law firm's interests. They have an internal auditor to catch problems before others do but do not fully trust him. They had one serious internal fraud situation in the past (from someone taking advanatage of deliberate incorrect billing), and they are paranoid it could happen again. I need to reassure them it will not.

Asked on by lscrivy

1 Answer | Add Yours

Top Answer

readerofbooks's profile pic

readerofbooks | College Teacher | (Level 2) Educator Emeritus

Posted on

This is not an easy question. I am afraid that this task will not be an easy one at all. If you are talking about a law firm and making sure their billing invoices are correct, then there a few things that you can do to make sure that there is nothing fradulent going on.

First, you might want to let the people of the firm know that you will be going over everything with precision. This will create an atmosphere where people will not cut corners.

Second, you should ask for the internal auditor's work and go over this to make sure that nothing seems off on a macro level. In addition, you can ask him or her questions, if you have any issues.

Third, you might want to send this internal audit to each laywer to see if what the internal auditor came up with sounds right. This step might be the most important, because if there is anything fradulent going on, then you can catch it here. Also by getting the people in the firm involved at this step adds another level of check.

We’ve answered 318,915 questions. We can answer yours, too.

Ask a question