Analyzing Mitch's Case
It is my belief that one of the employees is removing the cash from the register. All of the three individuals have the pressure, the opportunity and the rationalization. However, I agree with Lourdes Lora about Mitch demonstrating the greatest opportunity to commit fraud. Nowadays, divorces can be extremely stressful and costly. Mitch is an individual who already has his wages garnished by a court order. Why? We are missing substantial facts. Therefore, as a Fraud Examiner I would suggest to:
1) Interview Mitch, Crystal and John and gather additional facts.
2) In Mitch’s case.
a) Request for court records. Review his F/A (Financial Affidavit) and FJ (Final Judgment) or MAS (Marriage Settlement Agreement).
b) What does his ex-wife make? …show more content…
2 kids 1500 – 2000.
d) Investigate how much child support obligation is.
e) Was Mitch ordered to pay alimony?
f) Review the timesharing parenting plan. Who lives the majority of the time with the children? Who is head of household?
g) Requests for any financial evidence from his divorce hearing (bank statements & credit card statements).
h) Does he owe any monies to his divorce lawyer and what is the method of payment?
i) Does he use his checking account to pay his bills, including credit card bills or does he use cash to pay them?
j) Compare cash and check deposits reflected on bank statements. Total YTD deposits, and determine if the total matches with his net income reported on his YTD payroll stubs.
k) What is the monthly payment for mortgage and HOA for the new home?
l) Look up the purchase of the new house. How much did he buy it for? How much did he finance and how much money did he put down?
m) Does Mitch have excessive debts? Does Mitch have a drug addiction, gambling addiction or shopping addiction?
n) A 2014 Jag. = 439/monthly
o) Why were his wages garnished? Did Mitch violate a court order?
1) Interview Mitch, Crystal and John and gather additional facts.
2) In Mitch’s case.
a) Request for court records. Review his F/A (Financial Affidavit) and FJ (Final Judgment) or MAS (Marriage Settlement Agreement).
b) What does his ex-wife make? …show more content…
2 kids 1500 – 2000.
d) Investigate how much child support obligation is.
e) Was Mitch ordered to pay alimony?
f) Review the timesharing parenting plan. Who lives the majority of the time with the children? Who is head of household?
g) Requests for any financial evidence from his divorce hearing (bank statements & credit card statements).
h) Does he owe any monies to his divorce lawyer and what is the method of payment?
i) Does he use his checking account to pay his bills, including credit card bills or does he use cash to pay them?
j) Compare cash and check deposits reflected on bank statements. Total YTD deposits, and determine if the total matches with his net income reported on his YTD payroll stubs.
k) What is the monthly payment for mortgage and HOA for the new home?
l) Look up the purchase of the new house. How much did he buy it for? How much did he finance and how much money did he put down?
m) Does Mitch have excessive debts? Does Mitch have a drug addiction, gambling addiction or shopping addiction?
n) A 2014 Jag. = 439/monthly
o) Why were his wages garnished? Did Mitch violate a court order?