The Tallahassee BeanCounters: A Problem-Based Learning Case in Forensic Auditing

Abstract

You are auditing the books of the Tallahassee BeanCounters (TBC), a minor league baseball team in Tallahassee, Florida. During your audit the team's owner, Franklin Kennedy, approaches you and offers an additional fee if you will quietly investigate the possibility of fraud within the firm. Mr. Kennedy reports that he received an anonymous tip and, based on that information, believes that someone within the firm could be perpetrating fraud. Your task is to use the information given here (the financial books and back-up documents) as a starting point for your investigation. From that starting point, use creativity and investigative skills to determine what other information you need. After obtaining requested information, use all the material you have gathered to determine whether fraud was committed. To completely solve a fraud, you must show the following: who committed the fraud, how it was committed, that it was intentional (not error), the economic impact of the fraud, and that it was your suspect who gained financially from the fraud.