Why Proactive Fraud Examinations Matter
Fraud is one of the most significant and persistent risks facing businesses today. According to the Association of Certified Fraud Examiners (ACFE), organizations lose an estimated 5% of their revenue to fraud each year. These losses are not only financial—they erode trust, damage reputations, and in some cases, threaten the survival of the business.
Importantly, the ACFE recommends that businesses conduct proactive fraud examinations at least every three years. By regularly reviewing operations for red flags, companies can prevent defalcation, misappropriation of funds, and embezzlement before the damage becomes irreparable.
RSA Risk Management & Investigations, PLLC provides these examinations with a unique advantage: RSA stands for Retired Special Agents. Our professionals include former IRS-CI, FBI, and U.S. Secret Service agents trained in financial investigations at the federal level. We combine forensic accounting standards with cutting-edge technology and investigative expertise to deliver a comprehensive assessment of your business.
The RSA Difference
What sets RSA apart is its investigative approach. Rather than simply searching databases, RSA combines forensic accounting techniques, data analytics, and investigative fieldwork to uncover and trace assets that others often overlook. The findings are built to withstand court scrutiny, providing attorneys with reliable, actionable leads that strengthen enforcement efforts.
RSA’s Fraud Examination Framework
RSA conducts fraud examinations using the standards and guidelines established by the ACFE. Our approach is structured, evidence-based, and designed to be admissible in court if wrongdoing is uncovered. However, when performed proactively, these examinations serve as an early-warning system—deterring fraud, strengthening internal controls, and protecting stakeholder interests.
Our methodology includes:
Forensic Accounting Techniques
We apply standard forensic accounting practices to evaluate financial statements, reconcile accounts, and test controls. This includes:
- Transaction testing to validate accuracy and legitimacy
- Reconciliations between books, bank statements, and external records
- Trend and ratio analysis to identify anomalies in revenue, expenses, or margins
- Flow-of-funds analysis to trace money movement across accounts
Comparative and Benchmarking Analysis
RSA compares a company’s financial performance and expense ratios to prior periods, industry norms, and peer groups. This helps identify:
- Unusual spikes or drops in revenue or expenses
- Outliers in payroll, procurement, or vendor payments
- Discrepancies suggesting falsification or misreporting
Artificial Intelligence and Data Analytics
RSA utilizes artificial intelligence and forensic data analytics to detect red flags hidden in large datasets. By converting bank, credit card, and accounting records into structured formats, we can:
- Categorize and classify thousands of transactions
- Flag duplicate, round-dollar, or unusual payments
- Detect transfers to unknown accounts or related parties
- Identify payments to shell companies or nontraditional vendors
- Spot high-risk spending patterns such as gambling, luxury purchases, or off-book accounts
Investigative Techniques and Interviews
Technology is powerful, but it cannot replace the value of good old-fashioned investigative work. RSA’s retired federal agents bring decades of experience in interviewing witnesses, employees, and executives to identify inconsistencies and probe suspicious activity. Interviews often reveal:
- Pressure points that create opportunities for fraud
- Employees aware of improper conduct but reluctant to report
- Collusion among insiders or third-party vendors
This human intelligence, combined with data-driven findings, creates a comprehensive fraud risk profile.
Exploring All Program Areas of the Business
Fraud can occur in any corner of an organization. RSA examinations are holistic, exploring all program areas where funds may be vulnerable:
Accounts Payable – fictitious vendors, duplicate payments, kickbacks
Payroll – ghost employees, inflated overtime, misclassified staff
Procurement – collusion with vendors, bid-rigging, conflicts of interest
Revenue Recognition – overstated sales, premature booking of income
Inventory & Fixed Assets – theft, diversion, or misuse of company resources
Executive Expenses – personal charges disguised as business costs
Digital Assets & Cryptocurrency – hidden transfers or undisclosed wallets
By examining these areas, RSA can identify both existing fraud and weaknesses in internal controls that create opportunities for misconduct.
Benefits of Proactive Fraud Examinations
Engaging RSA to perform a proactive fraud examination delivers multiple benefits:
Deterrence – employees and vendors are less likely to commit fraud when they know independent examinations occur regularly.
Early Detection – red flags are identified before losses escalate.
Control Strengthening – examinations highlight gaps in oversight and provide recommendations for improvement.
Legal Readiness – findings are documented under ACFE standards, preserving evidence for potential litigation.
Peace of Mind – business owners, boards, and investors gain assurance that assets are being safeguarded.
Act Before the Problem Surfaces
Fraud examinations should not wait until suspicion arises. By then, losses may already be substantial. The ACFE recommends conducting proactive fraud examinations every three years. Doing so not only protects company resources but also demonstrates due diligence to regulators, shareholders, and clients.
Get To Know Us
Meet Your Dream Team
Stuart G. Berman
Principal and Co-Founder
Stuart G. Berman CFE, PSP, CAMS, is the Principal and Co-Founder of RSA Risk Management & Investigations, PLLC. Prior to co-founding RSA, Stuart was an award-winning Special Agent In Charge where he supervised the regional criminal, civil and administrative investigative program, encompassing six Midwestern states and 12 judicial districts.
Michael De Meo, MAFF
Principal and Co-Founder
Michael De Meo, Principal and Co-Founder of RSA Risk Management & Investigations. Prior to co-founding RSA Michael was a Senior Special Agent with the General Services Administration (GSA), Office of Inspector General (OIG). Michael’s record is one of consistent accomplishments in leadership and investigations. Michael has led several multi agency criminal and civil investigations.
Denise Dohanic
Director
Denise has 26 years of federal service with U.S. Pretrial Services and U.S. Probation in the districts of Colorado and Arizona. She has served as a supervisor, contract services officer, program development coordinator, and line officer. As a pre-trial/probation officer, Denise supervised pretrial defendants, probation and post conviction offenders.