CASE EXAMPLES

Reputational due diligence

A European investment company requested identification of potential reputational risks if they were to invest in a Dutch property developer. The aim of the due diligence was to compile a profile the subject, its track record, reputation in the industry and nefarious issues to be aware of.

Market research

This research aimed to identify the major players in the postal industry in Europe, how they were run, their position in the market place and their relative strengths and weaknesses. It included identifying the dynamics between companies, suitable partners and attitudes towards joint ventures, mergers and takeovers on behalf of one of the mayor players.

Fraud

A sales manager of a Dutch fibre manufacturer in China was suspected of collusion with a supplier, where the manager received bribes to keep the product prices down. The investigation identified evidence through records, enquiries and computer forensic imaging. The manager and supplier were confronted with their actions without interrupting the company’s business.

Corruption

An agent of an international steel manufacturer demanded unjustified payment from the manufacturer for brokering a deal between the company and a government ministry. When the agent was not paid, he threatened the CFO with physical harm. An investigation ensued to assess the level of risk for the company and the CFO if they were to continue to deny payment.

Litigation support

A telecommunications company was in a dispute with tax authorities in India. The company needed assistance understanding India’s legal system country, the hierarchy of the tax authorities and its options for solving the dispute. In addition, enquiries were carried out to profile key players in the dispute employed by the government, as well as the judges, law firms and political lobbyists involved.

Intellectual property infringement

A manufacturer of engine parts in Thailand received complaints that its carburettors were faulty. The engine parts in question were badly executed copies. The investigation aimed to identify whether their products had been reverse engineered or their intellectual property had been stolen, and to identify the company that had copied their products to launch legal proceedings against.

Interim Management

For six months a project leader was installed at the oversight committee of a large non-governmental organization that finances humanitarian and medical projects in Africa. Labyrinth Risk Consulting investigated large-scale allegations of fraud, theft and other irregularities by the grants’ beneficiaries, through management of five in-house investigators and their activities. This included external communication, financial responsibility, reporting, planning and execution of the investigation.

Quality Control

Labyrinth Risk Consulting was engaged by a well-known risk consultancy in two Latin American cities to introduce standardization of services across the board and to improve the quality of the deliverables to clients through supervision, control and training of the company’s investigations divisions.

Training

Labyrinth Risk Consulting provides training to consultants such as in proper report writing, conducting a proper due diligence, use of specific databases and use of i2 analytical software.