Growing cyber crimes, failure of regulators to track the security scams,
series of co-operative banks bursting - all are pinpointing the need of
forensic accounting, irrespective of whether we understand the need or not.
In the Indian context the Forensic Accountants are the most required in the
wake of the growing frauds. The law enforcement officers are the experts of
analyzing the fingerprints and the Narcotics but what about the digital
evidence analysis. Very few know about it
- Maurice E. Peloubet who coined the term Forensic Accountant in 1946
said that the preparation of financial statements has some but not all of
the characteristics of forensic accounting.
- This statement is enough for the chartered accountants in India to
foray in this field. It is new child on the block. Both CBI and CID cops do
the forensic accounting work.
- The growing number of regulator and the administrative agencies will
demand the services in the nature of forensic practice.
- Chartered Accountants are going to find themselves more involved in
what is essentially a type of forensic practice.
- The changing nature of the Accounting and Auditing & assurance
standards also confirms this.
- Nearly 40 percent of the top 100 American accounting firms are
expanding their forensics and fraud services, according to Accounting Today.
If this data is of some sense to Indian scenario then the day is not far
away when forensic practice will contribute to the total revenue of the
Indian CA firm.