Business Consulting, Fraud Prevention/Detection and Litigation Support Case Studies
Post-Sale Review of Escrow — Healthcare Client (GA): Conducted study of post-sale collections to determine if release of $ multi-million escrow account held as condition of final purchase agreement was warranted. Review resulted in no funds released, but also confirmed likely fraud. Acquiring company filed lawsuit against former owner to recover purchase price due to inflated/non-GAAP financial statements. Applying the results of the findings vs. the original purchase price reduced value by 60%. Project documents and work product were utilized by litigators. Action persisted due to subsequent acquisition by internationally-known conglomerate and pursuit of final resolution via lawsuit and mediation/settlement.
Market Research Project for Sales Consulting Entity: As part of a software client’s strategic planning processes, specifically-underwritten and proprietary market research was performed as part of a core sales consulting team. This market research required significant review of the software firm’s research, engineering, sales and implementation functions at one of its domestic USA locations. Thereafter, the core team led in-depth customer-facing and investigative on-site visits at five different (global company) client locations in the UK. The research process required, among other things, experienced and highly-developed knowledge of financial and control processes, management reporting surrounding information technology assets, and a working understanding of systems utilized in asset management and security processes of global companies. The project required dedicated, periodic time intervals over the course of four months, culminating in final, editorial-quality reports addressing the total operational and economic impact quantified via the clients’ use of the software, as documented to the software firm’s management team.
Accounts Receivable Fraud – Global Telecommunications Company (GA/VA): As director of all commercial domestic credit and collections, took over responsibility of additional (carrier/wholesale) line of business. Over the course of eight months, uncovered three schemes to defraud the company. After exposing the fraud and terminating perpetrators, led internal investigation and coordinated all support for external, white-collar crime resources hired to direct civil and criminal prosecution. Over an extended period, drove coordination of evidence, history, and exhibits, testified in three different civil and criminal proceedings (over 40 hours of direct testimony): series of depositions, Federal criminal grand jury, and criminal jury trial. All pursued perpetrators pled or were found guilty—jail sentences for two internal fraudsters and a $6 million judgment against the primary one; one external culprit pled guilty, and final perpetrator was subsequently found guilty on all counts at jury trial.
Sarbanes-Oxley (“SOX”) and Business Consulting Review – National Insurance Company (GA): Appointed to direct oversight, analytical and infrastructure activities for the company’s Project Management Office responsible for SOX efforts at all USA and North American operations. Developed documentation for unique processes (pension and retirement plans, “Separate Accounts” and SOX-equivalent requirements promulgated by Dutch parent company). Visited multiple sites accompanied by public accounting management personnel to coordinate quantification and reporting requirements for SOX “significant account” coverage. Developed the “control-process-to-account-coverage” matrix and assisted in developing the overall reporting for all status and progress updates.
Re-Engineering of Credit, Collections, and Receivables Management — Global Telecom Company (GA/VA): Significantly improved commercial billing effectiveness, cash-flow, collections results and accounts receivable management. Efforts resulted in $200+ million bad debt and cash-flow savings during a period of record revenue increases, acquisitions and major product releases that caused the portfolio to grow from $800 million to $1.8 billion. Directed simultaneous implementation of new systems, mid-range computing equipment, and installed best-practices while consolidating six centers into four mainstream units (650 personnel); optimized effectiveness to accelerate revenue and corresponding cash flow; re-configured the network connecting workstation environment to the two primary data centers; reduced financial risk and generated bottom-line savings from operations.