Bad debts investigation, Central Europe

Two major banks instructed Dan and his team to conduct a forensic investigation into the aspects of their bad debt portfolio and certain questionable transactions. The scope of our work on these engagements included:

  • The review and analysis of controls, systems, and procedures.
  • The detailed analysis of loans, letters of credit and other pre-financing schemes, and arrangements.
  • The identification of significant, irregular, and/or fraudulent transactions.
  • The apportionment of blame.
  • The quantification of losses.
  • The necessary support in civil and criminal actions.

In one instance, our client was suing business parties in three foreign jurisdictions as the consequence of the investigation. In another instance, our investigation led to the arrest of a high-profile businessperson on charges of fraud against one of the two major banks.