Judgments

Forensis Accounting is a specialist consulting firm focused on delivering our accounting expertise and knowledge to the legal profession, their clients, and other corporations.

Investigation & Damages Assesment

A major Telco supplier was being sued by a retailer for losses allegedly suffered as a result of billing errors, non-provision of call data and termination of network access. Ms Lindsay was retained by the defendant to review the expert report prepared for the plaintiff. The claim involved several heads of loss, each of which was challenged by Ms Lindsay. The matter was extremely complex due to the nature of the telecommunications industry. It was necessary for Ms Lindsay to review and compile very large computer models to ascertain the veracity of the other expert's analysis and perform an independent quantification of the damages.

Accounting Investigation

A large listed company purchased a very substantial undertaking from the New Zealand government as part of the latter's privatisation policy. The public company in question later failed. The Receivers alleged that the purchase was irregular and brought action against a number of parties, including the Crown, for return of the purchase price. The case involved exhaustive analysis by Ms Lindsay and one of her colleagues of a number of complicated accounting and financial transactions to ascertain their commercial impact and whether the accounting entries and procedures correctly reflected the nature of the underlying transaction.

Damages for Breach of Contract

A major Telco suffered losses from an alleged breach of contract. Quantification of the losses required extensive modelling undertaken by Ms Lindsay. The quantification involved an assessment of both reliance and expectation damages. The work progressed over the course of two years and involved the preparation of a number of reports fully documenting the claims. The matter settled at mediation.

Expert Determination

Ms Lindsay was retained to conduct an expert determination relating to complex accounting issues arising in an earn-out calculation on the acquisition of a major consulting business by a listed company.

Fraud Investigation

Ms Lindsay was retained by a litigation funding group to critique a report relating to tracing alleged fraudulently obtained funds through a series of private and public share acquisitions.

Accounting Interpretation

This case involved interpretation by Ms Lindsay of accounting data provided and warranted by a vendor on the sale of some major hotel interests to an investment bank. The claimant was arguing that certain adjustments should be made to the EBIT incorporated in the formula arriving at the purchase price. Judgment was favour of Ms Lindsay's client.

Security for Costs

Ms Lindsay was requested to review the financial position of a litigant in a major building industry dispute. This involved the consideration of many inter-company relationships and interpretation of accounting and other documents to ascertain the ability to meet a cost order.

Audit Negligence

A firm of auditors were sued in connection with reports issued by them to trustees for the debenture holders of a large finance company. The brief, in which Ms Lindsay assisted, was to analyse all accounting and auditing aspects of the case and assist in the preparation of the Defence.

Account of Profits

An alleged copyright infringer was required to provide an account of profits. The assignment was to prepare the account. This involved Ms Lindsay's detailed review of the financial statements and underlying accounting records and preparation of complex models to quantify the account. The reports and evidence provided by Ms Lindsay opened new ground on issues involved in the quantification of an account of profits.

Dividend Payment

A company director was sued, alleging improper payment of substantial dividends from a large listed company. The assignment involved an investigation by Ms Lindsay and her colleague of all accounting aspects of the case, in particular the ascertainment of profits available for dividend in terms of the Corporations Law and Accounting Standards, and to quantify and comment on potential damages.

Costing and Allocation

Ms Lindsay was retained by a Brisbane law firm to critique a report prepared on behalf of a major listed company in the tug boat industry, relating to the cost of operating one of the divisions of the company. This matter involved accounting, costing and allocation issues. The sections of claimant's report which Ms Lindsay critiqued were withdrawn from evidence shortly after the service of her report.

Insolvent Trading

The directors of a listed company were being pursued by the Liquidator for "trading whilst insolvent". Ms Lindsay was retained to review the financial evidence of the Liquidator, including ascertaining the point of alleged insolvency, determining when debts were incurred, and quantifying the alleged deficiency in assets.