Financial fraud is becoming increasingly complex

Financial crime, corruption, money laundering and terrorist financing are becoming increasingly complex and require a stronger institutional response at the national and regional levels, this is one of the main conclusions of the International Conference "Forensic Audit and Fraud Detection in Modern Business 2026".

The conference was organized by the International Association of Forensic Accountants and Auditors (IAFAA), which brought together leading financial forensics experts from the region on Zlatibor from May 28 to 30.

Certified Auditor and Forensic Auditor from Podgorica Igor Pavićević, who is a member of the IAFAA Board of Directors, told "Vijesti" that financial fraud, corruption, money laundering and abuse are increasingly sophisticated, which is why the importance of experts who know how to recognize, prove and prevent such activities has never been greater.

Forensic auditing, by definition, is a highly specialized investigative activity used to examine financial statements and business books. The main goal is to detect fraud, corruption, or embezzlement and to collect material evidence that is legally valid for use in court or in internal disciplinary proceedings.

"The Conference placed special emphasis on the use of AI technologies, data analytics tools and digital forensics in financial investigations, as well as the need to strengthen regional cooperation between institutions, experts and organizations. Participants emphasized that new technologies simultaneously represent an opportunity for more efficient fraud detection, but also a new source of risk due to increasingly sophisticated forms of crime," said Pavićević.

He stated that their students who successfully pass the exams for the title of forensic auditor, in addition to the IAFAA license, also receive the American ACTD license, which represents a significant professional advantage and international recognition of professional competencies.

The conclusions of the Conference are that financial crime, corruption, money laundering and terrorist financing are becoming increasingly complex and require a stronger institutional response at the national and regional levels, and that artificial intelligence, digital forensics and advanced data analytics are becoming key tools in detecting fraud and financial investigations.

"Legal regulations in most countries do not keep pace with the development of artificial intelligence and new forms of digital fraud quickly enough, which is why it is necessary to accelerate the adoption of more efficient norms and regulatory measures. It is necessary to harmonize the legislation and practice of the countries of the region with European standards, recommendations of Moneyval, Europol, Eurojust and other relevant international institutions. It is necessary to develop joint training, expert meetings and knowledge transfer programs between the countries of the region in order to strengthen professional capacities," the conclusions stated, among other things.

They also requested that forensic auditing be legally recognized and regulated as a separate activity in the countries of the region, and that certified forensic auditors be more involved in the work of institutions, regulators, financial organizations, and investigative bodies.