Forensic Audit: The Relevant Issues

Abstract

Forensic Audit can be defined as an examination of an organization’s financial and other associated records in order to trace out the evidence/proof against frauds committed which can be used in a court of law. Forensic audit, which is investigative in nature, requires in-depth study / analysis of the area under investigation and evidence identified which can be used in the court of law. Forensic Audit is a rigorous examination of financial and other related transactions and records, while proof is derived against the offence committed and can be used in the court of law. With the increasing trends in the corporate scams and scandals, the normal auditing practices are often proved to be limited in certain circumstances making the room for forensic auditing. This Paper has been planned to study the various issues in forensic auditing in different corporate as well as non-corporate sectors and steps taken by the Government of India in curbing the fraud/scams.