Show Me (the Source of) the Money!: The Application of Fraud Case Income Verification Methods

ABSTRACT Investigations into organized crime often struggle to conclusively link perpetrators to illegal activities. However, utilizing direct and indirect methods of income analysis, investigators can prove that criminal organizations and other parties are benefitting from illegal activities. While engaging in the following case exercises, participants will utilize professionally sanctioned techniques to compute the income of potential offenders, an imperative skill for careers in law enforcement and forensic investigations. Specifically, students will gain experience by calculating illegal income and preparing a fraud report. Further, those completing the study will learn the limitations of the methodologies, possible defenses the perpetrator may utilize, and strategies to overcome those defenses. The case is appropriate for a wide range of academic curricula, including forensic accounting, auditing, income tax, and white-collar criminal justice courses. Data Availability: Data are available upon request. JEL Classifications: M4.