Investigations for investors
In the context of pre-investment due diligence
CAPITAL INVESTIGATIONS is able to deal with a range of varied and complex issues in order to base any decision on an accurate and factual understanding of reality.
Our approach can complement the traditional due diligence process (financial and accounting) or satisfy an ad hoc request concerning any individual or company.
Our multidisciplinary team works with our clients by carefully analysing strategic, legal and human issues.
Our specialities include the study of the capital structure of the target entity, the identification of ultimate beneficiaries, the in-depth audit of the managers (background check), the detection of the acquisition of holdings in other companies, etc.
CAPITAL INVESTIGATIONS also has the capacity to identify and analyse any mechanism designed to conceal assets or dubious actions (potential fraud, tax evasion, etc.).
Its network enables it to coordinate this type of investigation both in France and internationally.
CASE STUDY
We are approached by an institutional investor involved in negotiations to finance a large-scale real estate project. The latter has doubts about the probity of one of the potential co-investors, a businessman specialising in luxury hotels.
Among other things, our investigations enabled us to reconstruct the capital links of the dozens of companies owned by this person. The subsequent study of all the company deeds and accounts obtained demonstrated the discrepancy between this person’s assertions and the reality of the financial health of his group.
In addition, our research found that this group of companies has been regularly convicted for non-payment and abusive and dilatory proceedings.
The results of our investigations have thus informed our client’s decision-making, enabling him to confirm several intuitions and to act accordingly.
In the context of disputes between partners
Focused on the success of their company, partners (founders or investors) sometimes do not take the precaution of anticipating the occurrence of disputes which can nevertheless have a negative impact on the company.
CAPITAL INVESTIGATIONS assists its clients in the judicial or extra-judicial management of possible conflicts linked to the life of the company. Our intervention allows us to remove any doubt in order to restore the climate of trust, or to envisage legal action.
CAPITAL INVESTIGATIONS uses its skills to demonstrate prejudicial situations such as abuse of corporate assets, disloyalty of a partner, cases of unfair competition, violation of business secrecy or non-compliance with contractual obligations binding the partners.
The information gathered may also, if necessary, make it possible to classify these acts under criminal law (breach of trust, fraud, etc.) in order to bring them effectively to the attention of the competent authorities.
CASE STUDY
We are approached by Mr. Weil in the context of the existing conflict with his partner Mr. Mercier.
Mr. Weil, the managing partner of a construction company set up by Mr. Mercier, eventually resigned from his position as manager after noticing various irregularities, in particular accounting anomalies, showing a turnover lower than the reality for the financial year ending on 31 December.
Despite Mr. Weil’s requests for explanations, his partner refused to provide him with the accounting documents that would have enabled him to verify the reality of the figures.
Mr. Weil was therefore forced to claim these documents by judicial means by referring the matter to the Court for the purposes of carrying out a judicial assessment and appointing a provisional administrator.
As this procedure was not followed up by the Court, we were mandated to shed light on this situation by carrying out an asset and financial investigation as well as setting up surveillance which made it possible to establish the existence of misappropriation of building sites for the benefit of another construction company in which Mr Mercier had a significant stake.
OUR METHODOLOGY
1. Reviewing the case
After receiving and reviewing the documents provided by our client and carrying out preliminary research, we determine the lines of investigation to be followed in collaboration with the client. We respond to any request in an individualised manner and within the timeframe required by the urgency of the demand.
2. Engagement contract
CAPITAL INVESTIGATIONS systematically proposes a mission contract or a written mandate defining the legal framework and the investigations to be carried out. We take care to define precisely the conditions and means of execution of the service as well as the terms for calculating the quote.
3. Research and investigation
Once CAPITAL INVESTIGATIONS has been duly mandated, we carry out the necessary work in accordance with the strategy previously established. If necessary, we are able to process the mission in relation with other professionals (lawyers, bailiffs, etc.) or experts. We undertake to keep the client informed of the progress of the investigations, especially in the event of any changes or complications
4. Investigations Report
At the end of the investigations, an objective, detailed and comprehensive investigation report is sent to the client. Investigation reports are admissible in court in the name of the principle of freedom of evidence, but subject to compliance with specific substantive and formal conditions which we scrupulously observe.
CONTACT US
For any information, do not hesitate to contact us by e-mail via the form below or directly by phone on +33 1 48 92 92 49, our switchboard is open from Monday to Friday from 10am to 7pm.