CFE – Investigation — Question 9

Which of the following statements concerning access to nonpublic records is FALSE?

Answer options

• A. During the government’s criminal investigation, a fraud examiner not employed by the government has a right to access relevant documents that the government has obtained.
• B. An audit clause can be designed to allow a party to inspect the books of a business partner or vendor.
• C. A fraud examiner can request a business’s bank records even if the business is not legally obligated to comply.
• D. When civil litigation has commenced, a party may often a subpoena or legal order for an individual’s relevant bank records.

Correct answer: B

Explanation

The correct answer is B because while audit clauses can indeed allow inspections, they are not universally applicable and depend on the agreement's specifics. Options A, C, and D are all true statements regarding the access rights of fraud examiners and the legal processes involved in obtaining records.