What records does a forensic accountant need to trace funds?

Short answer. Start with complete bank statements for every account the money may have passed through, for the whole period in question. Add loan, property and share transaction documents, and the general ledger where one exists. Missing statements are the most common reason a trace stops.

A trace follows money from one place to the next. Each step needs a record.

Core records

• Bank statements for all relevant accounts, including closed accounts.
• Documents for large transactions: property settlements, loan agreements, share transfers.
• General ledgers and accounting files for business entities.

When records are missing

Banks can usually reissue statements for several years. Subpoenas or notices to produce may be needed for third-party accounts. Where gaps remain, the report should say what could not be traced and why.

General information only. It does not take account of your circumstances and is not legal, tax or financial advice.