Forensic investigation

Forensic investigation in the construction industry

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Customer's request

The shareholder and management of the Customer engaged Grant Thornton Kazakhstan (hereinafter referred to as the Consultant) to conduct a forensic investigation in a construction company owned by the Customer (hereinafter referred to as the Target Company) in connection with the existing suspicions against the management of the Target Company.


Work done (together with technical construction experts)

Analysis of costs in the implementation of the construction complex through a comparative analysis of estimates with market prices
Identification of inadequate design and ineffective controls in the procurement procedure
Identification of tenders/suppliers conducted with violations of procurement procedures
Identification of areas and amounts of overpricing and volumes of materials/works/services
Identification of contracts with suppliers concluded on unfavorable terms, provision of unreasonable advances to suppliers
Checking the presence of affiliation of the management of the Target company with suppliers
Conducting interviews with employees of the Target company with cross-checking of the data provided
Development of hypotheses on violation of the law with the support of lawyers on the side of the Customer
Evaluation of % of the volume of work performed from the design volume
Compliance of the work performed with the project
Analysis of as-built technical documentation for completeness and compliance with the actual work performed


The consultant found:

Significant overestimation of prices and volumes by suppliers for materials/works/services
Signs of affiliation of certain suppliers with the management of the Target company
Violations during the procurement procedures, conclusion of contracts on unfavorable terms for the Customer
Inefficiencies in planning and cost control processes
In the report, the Consultant reflected the amount of potential damage as a result of overstating prices and volumes for materials/works/services, broken down by positions of materials/works/services under contracts from the sample. Financial losses amounted to more than 30% of all declared construction costs as a result of collusion between suppliers and company management. The Consultant also provided recommendations for improving the current procedures and processes of the Target Company to improve the efficiency of internal controls and mitigate risks in the future.


Deputy Director for Finance on the Customer's side: “From the very beginning, the Grant Thornton Kazakhstan team demonstrated a deep understanding of the needs and challenges of our shareholder. The consultant conducted a cost analysis for the implementation of the construction complex, compliance with internal procurement procedures, and we also received recommendations for improving internal controls. Moreover, it is worth noting the communication and project management skills of the Grant Thornton Kazakhstan team. They kept us informed every step of the way, making sure we understood progress, hypotheses, and worked seamlessly with our separate due diligence team. We appreciated the responsiveness and readiness of their team to quickly resolve our requests, which helped to strengthen the feeling of partnership.”



Contact details:


Igor Ugay,

Advisory Partner



ΠΆ  +7 727 311 13 40