Yip Associates routinely provides forensic accounting services to court appointed receivers in Securities and Exchange Commission, Commodities Futures Trading Commission, and Federal Trade Commission matters. We conduct detailed investigations and analyses of financial and operational records, reconstruct financial information to determine the sources and uses of investor funds, trace funds to insiders and third parties and assist with the identification of potential causes of action.

Yip Associates provides financial accounting consulting services to fiduciaries in receivership proceedings, including:

• Tracing of funds
• Identification of unknown bank accounts
• Identification of investors and verification of investor transactions
• Identification of transfers to insiders and related entities
• Identification and quantification of misappropriated funds
• Identification of potential assets and sources of recovery
• Quantification of commissions and fees paid
• Identification of Ponzi-like schemes
• Analysis of insolvency
• Analysis of potential claw-back actions
• Review and analysis of claims
• Expert report, affidavit, declaration, deposition and trial testimony
• Calculation of distributions to claimants

We use financial data analytics to efficiently capture and analyze the financial data, create comprehensive databases from which we reconstruct bank and brokerage account activity.  Based on our database we can trace the source of funds from investors, lenders, and to the extent there are business profits and the use of funds for commissions, fees, business expenses, and unauthorized purposes. Based on the comprehensive account reconstruction, we can identify Ponzi-like activity.

Representative Matters – Receiverships

• Securities and Commission Exchange v. TCA Fund Management Group Corp., et al. – Yip Associates served as forensic accountants to the Receiver of this Florida-based investment adviser. Our firm investigated an alleged improper revenue-recognition fraud scheme in order that fraudulently inflated net asset values and performance for several funds under management, resulting in the funds always reporting positive returns. According to the complaint, the funds’ reported net asset value of $516 million as of November 2019 was inflated by at least $130 million.
• Securities and Exchange Commission v. Equialt LLC, et al. – Yip Associates was retained as accountants to the Court Appointed Receiver to investigate alleged fraudulent unregistered securities offering that raised more than $170 million from at least 1,100 investors.
• Securities and Exchange Commission v. Kinetic Investment Group, LLC, et al. – Yip Associates was retained by the Receiver tasked with investigating and identifying potential misuse of investor funds for an approximately $30 million dollar investment fraud.
• Securities and Exchange Commission v. Arthur Nadel, et al. – Yip Associates was retained by the Court appointed Receiver in connection with an action involving six hedge funds with $400 million dollars under management that were operated by Arthur Nadel as a Ponzi scheme.

Our Professionals

• Maria M. Yip, CPA, CFE, CIRA, CFF
• Hal A. Levenberg, CIRA, CFE
• Shawna B. Amarnani, CPA, CIRA, CFE
• Nicole Escudero Dueñas, CPA, CIRA, CFE
• Danny D. Zamorano, CPA
• Charles D. Bailey, CFE
• Matthew J. Bellacosa, CPA, CFE
• Susan Y. Tai
• Christopher M. Vatti

Contact Yip Associates to find out how our team can help you.