CFA Interviewing Strategies & Reporting Methods 3 — Questions and Answers
Question 1: During an interview of a potential fraud victim, which approach is most appropriate to elicit accurate recall?
- Ask leading questions to help reconstruct the event
- Use the cognitive interview technique to enhance memory retrieval (Correct answer)
- Interview the victim only after all documentary evidence is reviewed
- Avoid open-ended questions to keep the interview brief
Correct answer: Use the cognitive interview technique to enhance memory retrieval
The cognitive interview technique uses mental reinstatement and open recall to maximize accurate memory retrieval without contaminating accounts with leading questions.
Question 2: A fraud examiner must interview a subject who is represented by legal counsel. What is the correct protocol?
- Proceed with the interview without notifying counsel if the subject consents
- Interview the subject only in counsel's presence or with counsel's explicit permission (Correct answer)
- Subpoena the subject so counsel cannot block the interview
- Ask HR to conduct the interview to avoid legal complications
Correct answer: Interview the subject only in counsel's presence or with counsel's explicit permission
When a subject has retained counsel, the examiner must coordinate with that attorney before proceeding to avoid ethical violations and protect the integrity of the investigation.
Question 3: Which of the following is an example of a 'soft' accusation used to transition an interview into its accusatory phase?
- 'We know you stole the money — just admit it.'
- 'The evidence shows that money was taken, and the investigation has focused on you.' (Correct answer)
- 'You are under arrest for embezzlement.'
- 'Do you know who might have taken the money?'
Correct answer: 'The evidence shows that money was taken, and the investigation has focused on you.'
A soft accusation presents the conclusion of the investigation matter-of-factly without aggressive language, reducing defensiveness while signaling the subject is implicated.
Question 4: When preparing an investigation report that may be used in litigation, which writing standard is most important?
- Using persuasive language that strongly advocates the examiner's conclusions
- Maintaining objectivity, factual accuracy, and avoiding conclusions unsupported by evidence (Correct answer)
- Keeping the report confidential from all parties until trial
- Summarizing only the evidence that supports the finding of fraud
Correct answer: Maintaining objectivity, factual accuracy, and avoiding conclusions unsupported by evidence
Litigation-ready reports must be objective and fully supported by evidence because they will be scrutinized by opposing counsel and the court.
Question 5: What is the 'funnel approach' in investigative interviewing?
- Starting with broad, open-ended questions and progressively narrowing to specific details (Correct answer)
- Beginning with the most incriminating evidence and working backward
- Conducting multiple short interviews rather than one long session
- Focusing only on documentary evidence before any witness interviews
Correct answer: Starting with broad, open-ended questions and progressively narrowing to specific details
The funnel approach starts with open general questions to obtain the subject's narrative, then narrows with specific follow-up questions to probe inconsistencies.
Question 6: Which of the following statements about written confessions in fraud investigations is correct?
- A written confession eliminates the need for corroborating evidence
- Written confessions should be drafted by the examiner for the subject to sign
- The confession should be in the subject's own words and voluntarily signed (Correct answer)
- Oral confessions are legally superior to written ones in all US jurisdictions
Correct answer: The confession should be in the subject's own words and voluntarily signed
A written confession in the subject's own words, signed voluntarily, is more credible and harder to repudiate than one drafted by the examiner.
Question 7: An interviewer notices a subject's story becomes more elaborate and detailed when discussing an alibi. What does this behavioral pattern potentially indicate?
- Strong credibility and honest recollection
- Coaching or fabrication of a rehearsed story (Correct answer)
- High intelligence and cooperative behavior
- Anxiety caused by an unfamiliar interview setting
Correct answer: Coaching or fabrication of a rehearsed story
Overly elaborate or scripted-sounding alibi details can indicate coaching or fabrication, as honest accounts tend to include natural gaps and spontaneous corrections.
CFA Interviewing Strategies & Reporting Methods 3
During an interview of a potential fraud victim, which approach is most appropriate to elicit accurate recall?