Forensic Accounting: A Corporate Fraud and Scam Deterrence Tool in India

Abstract

Forensic accounting is not new field, however in recent years the expanded number of frauds and the helplessness of theauthorities to battle them have acquired the Forensic accounting the spotlight. Forensic accounting is the strengthpractice area of bookkeeping that portrays commitment which result from genuine or expected prosecution. Forensicaccounting is vital instrument to recognize, research and prevent the frauds. To recognize and intercept financial fraudsand white-collarcrimes forensic accounting is utilizing different instruments. forensic accounts are at present extremelypopular, to persuade the public demand for trustworthiness, fairness and transparency in announcing expandingdramatically. These forensic accounts need bookkeeping, finance, law, insightful and research abilities to recognize,communicate and prevent fraud. As an ever-increasing number of organizations search for forensic accountants andprofessional offer certificates in this field, it is becoming clear that the forensic accountants have a range of abilities thatis totally different from an auditing or financial accountant. In India tragically it is being utilized as an investigating tool,as opposed to a preventive tool. This study highlights the problem to develop future prospects of Forensic Accountingand its importance in India. It also covers the impact of financial and economic crimes on Indian Economy andeffectiveness of forensic accounting functions.