Presentation Title Presentation Subtitle. The Unique Alternative to the Big Four
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1 Presentation Title Presentation Subtitle The Unique Alternative to the Big Four
2 Speaker Biography Tim L. Bryan, CPA/CFF/CITP, CISA, EnCE Senior Manager, Crowe Horwath LLP Forensic Technology Services Leader Over 13 years of professional experience and leads Crowe s Forensic Technology Services Group. Tim is an adjunct professor at UOP, and also provides consulting and expert witness services. Responsible for performing and overseeing all aspects of fraud investigations including digital forensics, reviewing internal controls and processes, data analytics and other IT-related litigation support Crowe Horwath LLP 2
3 Agenda Digital Computer Forensics Defined Evolving Forensics Standards & Tools Forensics Procedures & Protocols Computer Forensics Cases Using Forensic Technology to Find Evidence Questions 2014 Crowe Horwath LLP 3
4 Where is the evidence Servers Desktop Computers Laptop Computers Cell Phones Smart Phones ipads / Tablets itunes Backup Files Cloud Based Storage (Drop Box, icloud) Social Media Websites (Facebook, Twitter) Documents (i.e. Word, Excel) Accounting Databases Data Backups (tape, disk, online) Third Parties (i.e. ebay, Paypal, Financial Institution) USB Flash Drives 2014 Crowe Horwath LLP 4
5 Investigation Techniques - Digital Forensics What is Digital Forensics The use of specialized techniques to acquire, restore, investigate and present Preservation Collection Integrity Validated Process Reporting Does a Computer Contain Evidence? Stop use immediately Unplug vs. Shutdown Create a backup or image IT Staff vs. Forensics Expert 2014 Crowe Horwath LLP 5
6 Forensic Standards No Formal Standards Only Guidelines Primary Source U.S. Department of Justice Publications: Searching and Seizing Computers and Obtaining Electronic Evidence in Criminal Investigations Electronic Crime Scene Investigation Forensic Examination of Digital Evidence Crowe Horwath LLP 6
7 Forensic Case Initiation Case Background What Evidence Understand Computer Systems Involved Operating Systems Hardware Database Encryption 2014 Crowe Horwath LLP 7
8 Acquire Four Primary Seizure Options: Best Seize and review off-site Duplicate entire storage device on-site and review off-site Electronic copy at that time Worst Print out a hard copy 2014 Crowe Horwath LLP 8
9 Chain of Custody 2014 Crowe Horwath LLP 9
10 Restore Ensure NO CHANGES to Evidence Use Write Blocking Device Authentication of Evidence Make multiple bit for bit copies of evidence Confirm copies are exact duplicates of original evidence Use Hash Algorithm for authentication (MD5) 2014 Crowe Horwath LLP 10
11 Hash Verification Mathematical Calculation Digital Fingerprint Struck by Lightning in your Lifetime (NWS) 5,000 Winning California Super Lotto Plus (CL) 41,416,353 MD5 Most commonly used 340,200,000,000,000,000,000,000,000,000,000,000, Crowe Horwath LLP 11
12 Understanding Metadata Metadata Data about Data Document Properties 2014 Crowe Horwath LLP 12
13 Using Forensic Technology to Find Evidence 2014 Crowe Horwath LLP 13
14 Commonly Misspelled Words 1. accommodate 2. a lot 3. arctic 4. calendar 5. cemetery 6. conscience 7. conscious 8. definitely 9. embarrass 10. existence 11. foreign 12. gauge 13. grammar 14. guarantee 15. harass 16. height 17. independent 18. inoculate 19. its/it's 20. liaison 21. license 22. maintenance 23. millennium 24. minuscule 25. mischievous 26. misspell 27. noticeable 28. occurrence 29. perseverance 30. playwright 31. possession 32. preceding 33. prejudice 34. principle/principal 35. privilege 36. pronunciation 37. questionnaire 38. receipt 39. recommend 40. rhythm 2014 Crowe Horwath LLP 14
15 Forensic Tools Demonstration Hardware Tools Write Blocking Devices Software Tools EnCase, FTK Mobile Devices Cellebrite Search Tools Intella, DT 2014 Crowe Horwath LLP 15
16 Forensic Tools EnCase Imager FTK Imager iphone Backup Extractor / ibackup Bot Browsing History View Outlook Stat View Outlook Attach View Last Activity View Exif Data View 2014 Crowe Horwath LLP 16
17 EnCase Forensic 2014 Crowe Horwath LLP 17
18 Mobile Devices - Cellebrite 2014 Crowe Horwath LLP 18
19 Forensic Demonstration & Case Studies Embezzlement Investigation Employment Matter Searching USB Device Tracking & Deleted File Analysis User Activity Analysis Cell Phone Investigation 2014 Crowe Horwath LLP 19
20 Computer Forensics Cases 2014 Crowe Horwath LLP 20
21 Community College Embezzlement Initial Allegations: Receipt Forging Excessive Spending Involved Parties: Our Client College Administration (Vice Chancellor) Alleged Perpetrator Director of Technical Support Services Setting: Client wanted a discrete investigation Alleged Perpetrator was a trusted and well respected employee Client did not believe issues were very large or widespread Alleged Perpetrator had resigned from the College 2014 Crowe Horwath LLP 21
22 Community College Embezzlement Client Provided Documents and Files: Perpetrator s Purchasing Card Spending Detail College Purchasing Policy documents Perpetrator s College s -.pst file Persons Assigned to Assist with Investigation: College CFO IT Support Tech Items Requested and Not Provided: Perpetrator s desktop and laptop computers 2014 Crowe Horwath LLP 22
23 Community College Embezzlement Initial Findings: Irregular purchasing activity Large volume of purchases from unusual websites Buy.com Numerous Paypal vendors No odd or unusual activity (District Acct) No conclusive evidence of wrongdoing or misappropriation Issues Encountered: Could not remote access into the Perpetrator s computers Client was very hesitant to allow the collection of the computers Assigned IT Support Tech was not helpful in the investigation 2014 Crowe Horwath LLP 23
24 Community College Embezzlement Key Turning Point: We were allowed to collect the Perpetrator s computers Upon receipt of the computer we could determine that an attempt was made to reformat or erase the computer The IT Tech explained the reformatting was a standard procedure The computers were searched using EnCase software The EnCase software located mulitple hidden files Including an (.pst) file for a personal account 2014 Crowe Horwath LLP 24
25 Community College Embezzlement The Case Materializes: A cursory scanned of the s revealed multiple sales transactions The Perpetrator was selling computer and technology related equipment (laptop computers, memory, etc.) The Intella software package was used to perform an in-depth analysis of the s We developed a macro to pull the purchase activity from Buy.com into an excel spreadsheet format The items sold by the Perpetrator were then compared to the purchases he made using College funds Transaction matches and patterns emerged 2014 Crowe Horwath LLP 25
26 Community College Embezzlement 2014 Crowe Horwath LLP 26
27 Community College Embezzlement Each Side Receives a Helping Hand: The Inside Man We learned that the IT Support Tech assigned to help in the investigation was a good friend of the Perpetrator The IT Tech later admits to providing the Vice Chancellor s login credentials to the Perpetrator and attempting to reformat the computers to destroy evidence The District Attorney is Alerted Based on the information recovered from the computers, enough evidence is available to bring a criminal case The DA uses subpoena power to collect additional documents 2014 Crowe Horwath LLP 27
28 Community College Embezzlement The Case Builds and Twists: We learned the Perpetrator s Paypal names from the recovered s The DA subpoenaed the necessary sales listing and transaction information from Paypal and ebay. The purchases made by the Perpetrator with College funds were matched with sales made via ebay, Craigslist and private s. Total amount identified exceeded $150,000 During this time the Perpetrator, an Australian native, flees to Australia 2014 Crowe Horwath LLP 28
29 Community College Embezzlement The Case is Closed: The Perpetrator returns from Australia and is arrested He pleaded no contest to four felony charges including forgery and embezzlement He was sentenced to three years in prison and will be deported upon release from jail. The IT Tech is also arrested He pleaded no contest to one felony count of identity theft He was sentenced to 90 days in jail 2014 Crowe Horwath LLP 29
30 Employment IP Theft Initial Allegations: Withholding Company Property Taking Proprietary Information Involved Parties: Our Client Former Employer Alleged Perpetrator SVP/Chief Business Development Officer 2014 Crowe Horwath LLP 30
31 Employment IP Theft Fact Pattern: Employee slow to return his company owned laptop The laptop is finally returned and upon inspection the hard drive has been encrypted (not standard practice) Employee claims to forget the encryption password, but eventually we break it After the laptop hard drive has been decrypted, it is determined that the drive has been wiped Where do we start looking for evidence? 2014 Crowe Horwath LLP 31
32 Employment IP Theft HP Laptop ipads (2) IBM Laptop HP Desktop iphones (2) Macbook 2014 Crowe Horwath LLP 32
33 Employment IP Theft Cloud Based 2014 Crowe Horwath LLP 33
34 Employment IP Theft Key Turning Point: Within iphone Backup file we find: 2014 Crowe Horwath LLP 34
35 Employment IP Theft The Case Materializes: We identify thousands of Employer documents that have been transferred to new employers computers Hundreds of documents have been used as templates for new employer 2014 Crowe Horwath LLP 35
36 Employment IP Theft 2014 Crowe Horwath LLP 36
37 Employment IP Theft The Case is Closed: Case settles..no additional testimony needed 2014 Crowe Horwath LLP 37
38 For more information, contact: Tim L. Bryan, CPA/CFF/CITP, CISA, EnCE Direct Mobile Crowe Horwath LLP is an independent member of Crowe Horwath International, a Swiss verein. Each member firm of Crowe Horwath International is a separate and independent legal entity. Crowe Horwath LLP and its affiliates are not responsible or liable for any acts or omissions of Crowe Horwath International or any other member of Crowe Horwath International and specifically disclaim any and all responsibility or liability for acts or omissions of Crowe Horwath International or any other Crowe Horwath International member. Accountancy services in Kansas and North Carolina are rendered by Crowe Chizek LLP, which is not a member of Crowe Horwath International Crowe Horwath LLP 2014 Crowe Horwath LLP 38
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