Forensics Journal - Stevenson University 2015 | Page 47

FORENSICS JOURNAL

task forces include: Financial Action Task Force (FATF), Financial
Fraud Enforcement Task Force (FFETF), Terrorist Finance Tracking
Program (TFTP), and Terrorism and Financial Intelligence (TFI)
Task Force.

New American Security, Mr. Cohen described how the TFI found
Osama bin Laden’s “receipts and scribbled on post-it notes” (Cohen,
2014), documenting financial “expenditures on everything from
salaries for fighters and their families, to floppy disks, and receipts
for explosives” (Cohen, 2014). This information is crucial in the
world of financial forensics because even in the foothills of Al-Qaida
territory, financial experts can locate receipts and records to analyze
and possibly prevent future terror threats. Receipts obtained from
Al-Qaida suggest the cost to plan and execute numerous terrorist
activities totaled less than $5,000. While the TFI was able to
locate Al-Qaida’s receipts and documents, the government agency
may require the assistance of forensic accountants who are better
equipped for the specialized task of tracing and investigating the
financial activities of terrorists. Forensic accounting statistical
analysis tools strengthen the “identification, analysis, investigation,
and prosecution of terrorist and terrorist-related organizations”
(Dorrell & Gadawski, 2005).

In 1989, the Financial Action Task Force (FATF) was established
to address mounting concerns regarding terrorist organizations
using financial systems to launder money for illicit activities. This
group is “an international policy-making and standard-setting body,
dedicated to combating money laundering and terrorist financing”
(“About Us,” 2014).
In November 2009, President Barack Obama created the Financial
Fraud Enforcement Task Force (FFETF). The FFETF is one of “the
broadest coalitions of law enforcement, investigatory and regulatory
agencies ever assembled to combat fraud” (“About the Task Force,”
n.d.). The FFETF investigates and prosecutes fraudsters who
perpetrate significant financial crimes, take advantage of economic
recovery efforts, and recover proceeds of these crimes for victims.
“More than twenty federal agencies, ninety-four U.S. Attorney’s
Offices and state and local partners represent” the task force (“About
the Task Force,” n.d.). In order to combat financial fraud across the
country, the Task Force has established coordinators in every U.S.
Attorney’s Office. The FFETF combats many different aspects of
financial fraud such as mortgage and predatory lending fraud, Ponzi
schemes, procurement fraud, and securities fraud (“About the Task
Force,” n.d.).

FORENSIC ACCOUNTING STATISTICAL PROCEDURES
Forensic accountants utilize data analysis tools and technology to
aid law enforcement and government agencies in order to track
terrorist financing. Traditional types of data analysis tools used by
forensic accountants are: Benford’s Law, Accounting Command
Language (ACL) software, Interactive Data Extraction and Analysis
(IDEA) software, data mining software, and financial statement
analysis ratios.

The Department of the U.S. Treasury enacted the Terrorist Finance
Tracking Program (TFTP) after the terrorist attacks on September
11, 2001. The purpose of the TFTP is “to identify, track, and pursue
terrorists such as [Hezbollah] and their networks” (“Resource Center,”
2014). Since enactment, the TFTP has disrupted terrorist activities
and organizations and saved countless lives. The successful disruption
of terrorist activities is due largely to the valuable intelligence
provided by both the U.S. and global government agencies. This
information led to the “prevention or investigation of many violent
terrorist attacks of the pas Ё