Fraud examination reports are not written only for internal use. The2014 International Fraud Examiners Manualclearly emphasizes:
“When drafting a report, fraud examiners must consider who might end up reading it. Fraud examiners should keep in mind that the fraud examination report will be read by the general public and adverse parties. Under no circumstances should the fraud examiner prepare a communication with the idea that the information will not be disclosed to adverse third parties. Fraud examiners should draft their reports with this caveat in mind.”
The manual further specifies the wide range of potential readers:
*“There are many individuals and groups that might end up reading a fraud examination report, including the following parties:
Company insiders (managers, board of directors, owners, investors, etc.)
Attorneys (legal counsel, prosecutors, regulators, and defense counsel)
Defendants and witnesses
Press and media outlets
Judges or juries”*
This aligns with theCFE Prep - Investigationsstudy guide, which also confirms:
“There are many parties that might read a fraud examination report, including company insiders, attorneys, defendants and witnesses, press and media outlets, and judges or juries.”
????Interpretation:
The mediamay access the report through litigation disclosures or leaks.
Opposing legal counselwill review the report during discovery or trial.
Investors and owners(company insiders) are primary stakeholders.
Thus, the only correct choice isD. All of the above, because fraud examination reports must be written withall possible audiences in mind, ensuring accuracy, clarity, impartiality, and professionalism to withstand scrutiny from multiple directions.
