Able Investigations

One of the most significant decisions an attorney can make during their career is how to choose a private investigator (or private detective). A good investigator can sometimes be the difference between a prosperous and a dismal outcome. Ask any successful trial attorney and more often than not, they will unofficially praise the work of their investigator. As an experienced private detective, I will attempt to provide not only advice on how to select a qualified investigator, but also how to ensure that they are reliable. First and foremost, I strongly suggest that you not delegate this process to any subordinate or any individual who has little or no experience conducting research or dealing in government bureaucracy.

The most common misconception is that private detectives can usually be found hiding in bushes or hanging out in nightclubs and all-night diners. Modern-day investigators do not reflect Hollywood characters such as Sam Spade or Tom Magnum. Chances are that next time you are sitting in a restaurant enjoying a nice meal and good conversation, there is some type of investigator within “ears-reach” of you or observing someone close by. In order to remain inconspicuous, private detectives always dress accordingly and use props that enable them to blend in with their surroundings. A good detective will have the ability to quickly adapt to a specific environment, or engage an associate who may be better suited for the task.
What We Do…

An experienced private detective can provide a vast array of services. Especially in today’s “high-tech” society, many detective agencies specialize in providing computer-based research such as locating debtors (or “skip-tracing”); conducting pre-employment and pre-marital checks; identifying hidden and moved assets; and criminal background checks. Private investigators are routinely engaged in domestic cases; service of process and subpoenas; working undercover (such as in a corporate environment); and providing assistance in criminal defense cases including juror profiling and trial preparation. Although a resourceful investigator can provide services unknown and unlearned to the commoner, new technologies such as GPS allow not only a professional to conduct surveillance, but anyone with the means (and a little practice) can determine the whereabouts of any individual at any given time. Gone are the days of simply paying an informant for information and following subjects only by car or on foot.

The perfection of process and the service of subpoenas are an ever-increasing market for investigative agencies. Our company designates certain individuals to become appointed “permanent process servers” in several jurisdictions within the metropolitan Atlanta area. Permanent, or standing orders, enable an agent to quickly and efficiently serve a defendant. Standing orders allow the detective to immediately begin locating the subject, which increases the chances a defendant can be served before they become aware of any potential litigation. Since most notices are not filed ex-parte, the defendant may choose to flee the jurisdiction once he or she becomes aware of the filing. This may hinder the courts’ ability to successfully serve a defendant through the local sheriff or marshal. The likelihood of a uniformed officer perfecting service on such a defendant is improbable. Because law enforcement is so overwhelmed with this task, they are unable to take the time or expend the additional funding necessary to develop a strategy designed to predict and then surprise these defendants with service. The vast majority of process service requests our company receives are from clients who have been unable to serve the defendant or respondent by conventional means. It is not uncommon for a defendant who has experience in due process to avoid the local authorities. Perfecting process on troublesome defendants is a skill, and hiring a detective in a timely manner may ensure that process is made before a statute of limitation could bar your action.

Most private investigators are also seasoned in the art of surveillance. With today’s technology it is not only easy but expected that investigators secure video footage of numerous civil indiscretions. Parents wanting their minor children observed during prom night and other social occasions; suspected acts of infidelity; and allegations of an “unfit parent” during a custody battle are but a few instances where surveillance can be practical. Private investigators routinely conduct surveillance on insurance claimants to determine the validity of an injury, or to ensure that the applicant is not supplementing their income while drawing benefits. It is also customary for our members to video or photograph defendants who are alleged to be unstable during any attempt to serve process. Quality video or photographic evidence can make months or even years of legal work worthwhile to both you and your client. Depending on the type of practice, most trial attorneys will eventually need an investigator to conduct some sort of surveillance on an opposing party.

Depending on your jurisdiction, private detectives are trained, schooled, licensed, and regulated in many different ways. Here in California, private investigators are licensed through the state with the Department of Consumer Affairs Bureau of Investigative Services. Surprisingly, states still exist that do not require an investigator to obtain a license, or work under regulations. If your state has a licensing agency, contact that department in order to ensure that the individual (or company) is certified and is in “good standing” with that department. By making this simple inquiry, you may be able to eliminate a number of prospects simply because of their failure to comply with governmental regulations or because of possible legal or ethical indiscretions.

Once you have narrowed your list of possibilities, contact all necessary state, county, and city agencies to inquire (or confirm) that an individual or company possesses an up-to-date business license. Do not forget to check under both the company and the individual’s names as a business license can be applied for and modified rather easily. A business license will tell you when the company was formed, if it is a corporation or a partnership, and who its officers are. Crosscheck those names listed with the state’s listing of licensed investigators to create a list of all individuals who are licensed by that company. Moreover, if the company is incorporated, contact your secretary of state’s office to inquire as to its status there.

Qualifications
Formal Education

If your candidate is properly licensed and holds a valid business permit, the next step is to check their credentials. Do not be apprehensive when asking about an individuals work experience, educational background, or additional training received. The more formal education a PI has, the more likely they can assist you with a variety of fundamental tasks. For example, a PI who is familiar with search and seizure, stalking, and hearsay will be more methodical during the course of their investigation, during trial preparation and better prepared for both direct and cross-examination. An educated PI will also be more likely to refrain from committing certain tortious acts (discussed later) if they have the foresight to apply the elements and repercussions of those acts.

Practical Experience

Scholastic credentials alone do not make an exceptional detective. One thing that can separate investigators from one another is the ability to quickly and efficiently acquire information through the use of informants and even a few uncommon means. Private detectives are extremely adept at the artful task of gathering information that is either unknown or unavailable to the nonprofessional (including paralegals). Although it is wise to have an investigator with an educational background, there can be no substitute for resourcefulness. Your job, if you choose to accept it, is to find an effective balance between the two qualifications so that you get the best of both worlds.

Interview the Candidate

Conduct a formal interview with the prospective applicant. Depending on your area of practice, comprise a list of questions that relate directly to your area of law. If an investigator tells you they have 10 years experience in criminal defense, and your main area of practice is divorce and family law, you may want to look elsewhere. Private detectives, like attorneys, usually specialize in specific areas of law, and will devote much of their time and subsequent education in that chosen area. You should also ask point blank if they or anyone employed by them has ever been arrested for a crime and if their company or any of those same individuals have ever been a defendant in a civil suit or complaint. Make sure that before you continue with the interview, the candidate answers your questions to your complete satisfaction. You can safely assume that an applicant who shows signs of uncertainty is not being candid and that you look elsewhere.

Affiliations and Certification

Private detectives are sometimes affiliated with one of several organizations that pledge to the public that their members are following certain standards and guidelines. The two most popular groups are the National Association of Legal Investigators and the American Society of Industrial Security. Be wary of placing too much emphasis on such affiliations. Most organizations have very little, if any authority to strictly monitor or compel members to conform to certain standards or even expel the agency if it should become formally charged or impoverished due to complaints or legal troubles. Your best bet is to contact the obligatory governmental agencies mentioned above to exclude prospects.

Referrals

Lastly, contact other attorneys and other professionals who have used private investigators and get recommendations. Although the majority of companies advertise in the local telephone directory and other publications, there is no substitute for a referral. Nearly all of our new cases come from either an attorney referral or recommendation by a past customer. Contrary to popular belief, ethical standards and reputation are extremely important in this field and no circumstance can exist that could motivate an honest detective to jeopardize their license and standing in the legal community.

Relationship / Employment
On Staff (In-house) or Subcontract?

Once you have narrowed the field to one or two possibilities, you should begin to address how this individual will be associated with your firm. Whether you directly employ or subcontract the company, liability should be a major concern. Unfortunately, in the course of any investigation, even a good detective can be falsely accused of committing various torts such as trespass, invasion of privacy, and stalking. Depending on how your relationship with the investigator is structured, there is a consensus that a detective’s actions can give rise to tort liability not only on the part of the detective, but also on the employer. Before commencing with any assignment, always insist on proof of adequate liability or E&O coverage. Any arrangement should be memorialized along with any subsequent issues such as the duties, responsibilities, and financial obligations of each party.

Costs and Fees

The costs for a, investigator will vary greatly depending on the types of services desired. Rates for surveillance and special investigative work will generally be greater than that for servicing process or conducting research. Costs for conducting research will fluctuate depending on the type and number of databases that are accessed, the cost of informants, and the speed at which the information is needed. As we all know, most clients want the information “yesterday” which causes the agency to prioritize its list of jobs in order to accommodate their most demanding clients.

The main reason surveillance and investigative work may be more expensive lies with one word – manpower. When an individual investigator is “in the field,” he is considered immobile; that is, he is unable to engage in any other activity other than the task at hand. On the other hand, an investigator who is conducting research may be able to complete several jobs at one location or even while in limbo, such as waiting to testify. Moreover, a detective who possesses a specialized service or has completed expert training may command a higher rate. This is sometimes necessary to cover infrequent and costly expenses such as special insurance, use of rare and sophisticated equipment and even providing expert testimony. Just as your client has come to you seeking professional advice, do not be disgruntled if an investigator informs you that a certain service will be at a premium, especially if his credentials justify it.

Compensation

This can be the most confusing and yet the most important area in any business arrangement. First, you must decide who will be responsible for compensating the investigator. With regard to civil matters, there are two ways to accomplish this, both of which will affect the privilege of attorney-client work product. For instance, if the attorney hires an investigator subsequent to the filing of a divorce action by the opposing party, and absent a showing of necessity and justification by the position, the information compiled by the investigator may be protected. In general, once the attorney-client relationship obtains as to a particular matter, the attorney may hire an investigator or obtain statements taken under his direct instruction, which may be deemed a part of what the attorney has done, and thus a part of his work product.

If your client elects to hire, or has already hired an investigator, it may be too late to consider invoking the privilege. Many times our company is hired before an attorney is contacted. It is not uncommon for clients to employ the services of a private detective in order to determine if an attorney will be necessary. Much of the time, a client is contacting us because they have no idea how to proceed with an issue, and will not require legal services should we report their suspicions are erroneous. If a potential client informs you they have previously used the services of a detective agency, consult the rules of civil procedure in your jurisdiction to determine if privilege exists.

Finding the right private detective can be an exhaustive and frustrating task, which sometimes leaves attorneys and other clients discontented. Due to the fact that quality investigators are rare, you may find yourself searching far and wide for a reliable company. However, I believe that if you follow a few simple guidelines, incorporate some common sense, and trust your instincts, your search, when concluded, will have been worthwhile.

Today is the day suspicious spouses look for extra signs their loved one is cheating, but you may want to wait until after Valentine’s Day before you try and trail a wandering lover.
A lot of private investigators schedule the bulk of their surveillance work before or after Valentine’s Day, because many cheaters realize they could get caught with their lover on the day cupid calls.

Howard Eisemann, owner of Able Investigations says Valentine’s Day is the most obvious time of infidelity.

“It’s a slippery slope in which to attempt some sort of rendezvous.”

Eisemann scheduled seven investigators to do undercover work today. Yesterday twelve investigators conducted surveillance. He says his employees had an 80% success rate catching cheating spouses yesterday. Today they’re running about 15 to 20%.

There are about 60-thousand private investigators in the United States.

More than half of their business comes from suspicious spouses who question their partner’s fidelity.

Fox 6 News reporter Eric Collins has more on the techniques they use to catch philanderers.

FOX 6 News Interview with Howard Eisemann of Able Forensic Investigations

MySpace Risking Your Rights

I’s the social networking website loaded with a plethora of information. People use it for networking, blogging, personal profiles and self expression but now, it seems, employers may be logging onto MySpace to find out information about you.

Howard Eisemann is a private investigator with Able Investigations out of Del Mar. He says a large part of his business is conducting background checks.

“We use MySpace. We Google. There’s a number of things we use,” said Eisemann. “What we’ll do is we’ll use that as a place to embark upon more in-depth investigation.”

Rebecca Rauber with the San Diego chapter of the American Civil Liberties Union says when it comes to the internet, the groundwork is still being laid.

“There’s still a lot of question about what is legal, what might not be legal and who may be violating whom’s rights,” said Rauber.

She says it comes down to two factors: private or public entity. With a public entity such as a government agency, an employee will have more rights.

“Our founders created some protections for us to make sure the government wasn’t abusing our personal and privacy rights and personal activities,” said Rauber.

Private Investigators say “public” or “private,” employers should not be relying on information obtained from the internet. By its very nature, anybody can say anything they want.

“It’s hearsay,” said Eisemann. “Should the employee decide to sue the company, hearsay or any information found on the internet would most likely not hold up in court.”

A private investigator serves an important role in a criminal defense investigation. In this case, that role is to find witnesses and evidence that will establish reasonable doubt – that will show the jury that there is reason to believe that the defendant is not actually responsible for committing the crime.

When an attorney uses a private investigator in a criminal defense investigation, that investigator will take the time to understand the charges and the laws that relate to the crime. Once there’s an understanding of the case in question, the private investigator will go over all of the materials that the defense team has received from the prosecutor.

During the course of the criminal defense investigation, the private investigator will go through routine reports from the police, everyday paperwork as well as copies of evidence, photographs, phone messages and witness statements related to the case. The goal of this is to determine whether or not there are any inconsistencies from one witness to the next or between the conclusions drawn and the evidence.

In addition, during a criminal defense investigation, a private investigator may re-visit the crime scene to see if there was anything that had been overlooked. He or she may also interview witnesses to see if their stories have changed or to verify that they do not have anything else that motivated their statements against the defendant.

Inconsistencies and ulterior motives that a private investigator discovers during the course of a criminal defense investigation may be able to be used as a part of the client’s defense. Similarly, if during the course of the criminal defense investigation a private investigator discovers that there are other witnesses who had not come forward or evidence that was not considered previously, he or she can then look into these developments further.

In some cases, that may mean that a search is conducted to find these other witnesses. In other cases, it may mean conducting interviews or doing background searches. In others, there may be other parts of the criminal defense investigation that are assigned to a private investigator – tasks that he or she is uniquely qualified for and that will keep the defense team free to focus on the legal proceedings and other cases that they have.

During the course of a criminal defense investigation, a private investigator can help to ensure that an innocent client will not be found guilty – all without taking away from a defense attorney’s busy schedule. In other words, bringing a private investigator into a criminal defense investigation, defense attorneys are able to focus on the court system while a private investigator conducts the investigation.

Due Diligence Examinations
Three Crucial Factors Required:

1. Preparation Is The Key.

In order to conduct a thorough investigation you must have everything in order before the due diligence process begins . In fact, you must start your due diligence preparation and information gathering the moment you decide that you are interested in a particular business.

You must arm yourself with:
• a detailed listing of the exact due diligence steps to follow
• a checklist of everything to complete in each due diligence area
• specific due diligence tasks that need to be completed
• all of the materials you need from the seller before you start

2. Allow Yourself The Time You Need To Do It Right.

Most sellers will try to have you agree to short financial review period; some as little as ten days. This simply does not make sense. There isn’t a business in the world where you can learn what you need to know in 10 days.

Unexpected problems are the last thing that sellers want to deal with at this stage.

Are they hiding something? Are there secrets if they want to limit your due diligence time? If the business is as good as they say it is, wouldn’t it make sense to let you take your time so that you are certain to buy?

We recommend that you need a minimum of 20 working days, a full calendar month, for a complete due diligence investigation. If the seller won’t agree to this, it’s a clear warning sign. And, if at the end of this period you still need time then get it. You cannot move ahead with a deal simply because you ran out of time for due diligence. Do not give in on this.

3. There’s A Lot More To Every Business Than Its Financials and go far beyond a Dun and Bradstreet Report

Although the financial history of a company is very important and you want to be certain the seller hasn’t “cooked the books”, a proper due diligence goes far beyond the financial analysis. Many people get trapped looking solely at financials and completely forget about the other key areas to be reviewed. It’s a recipe for disaster! If the numbers check out then great but there’s a whole lot more that can cause problems later on that must be investigated.

Common ways in which a spouse may undervalue or disguise marital assets include:
Antiques, artwork, hobby equipment, gun collections, and tools that are overlooked or undervalued. Look for antique furnishings, original paintings, or collector-level carpets at your spouse’s office.
Income that is unreported on tax returns and financial statements.
Cash kept in the form of travelers’ checks. You may be able to find these by tracing bank account deposits and withdrawals.
A custodial account set up in the name of a child, using the child’s Social Security number.
Investment in certificate “bearer” municipal bonds or Series EE Savings Bonds. These do not appear on account statements because they are not registered with the IRS. (The government is phasing out these bonds, realizing that it is losing a lot of money.)
Collusion with an employer to delay bonuses, stock options, or raises until a time when the asset or income would be considered separate property.
Debt repayment to a friend for a phony debt.
Expenses paid for a girlfriend or boyfriend, such as gifts, travel, rent, or tuition for college or classes.
Retirement accounts that your spouse never tells you about.

What is a Private Investigator

Private detectives and investigators use many methods to determine the facts in a variety of matters. To carry out investigations, they may use various types of surveillance or searches. To verify facts, such as an individual’s place of employment or income, they may make phone calls or visit a subject’s workplace. In other cases, especially those involving missing persons and background checks, investigators often interview people to gather as much information as possible about an individual. In all cases, private detectives and investigators assist attorneys, businesses, and the public with legal, financial, and personal problems.

Private detectives and investigators offer many services, including executive, corporate, and celebrity protection; pre-employment verification; and individual background profiles. They investigate computer crimes, such as identity theft, harassing e-mails, and illegal downloading of copyrighted material. They also provide assistance in civil liability and personal injury cases, insurance claims and fraud, child custody and protection cases, missing persons cases, and premarital screening. They are sometimes hired to investigate individuals to prove or disprove infidelity.

Most detectives and investigators are trained to perform physical surveillance. They may observe a site, such as the home of a subject, from an inconspicuous location or a vehicle. They continue the surveillance, which is often carried out using still and video cameras, binoculars, and a cell phone, until the desired evidence is obtained. This watching and waiting often continues for a long time.

Detectives also may perform computer database searches or work with someone who does. Computers allow investigators to quickly obtain massive amounts of information on individuals’ prior arrests, convictions, and civil legal judgments; telephone numbers; motor vehicle registrations; association and club memberships; and other matters.

The duties of private detectives and investigators depend on the needs of their clients. In cases for employers that involve fraudulent workers’ compensation claims, for example, investigators may carry out long-term covert observation of subjects. If an investigator observes a subject performing an activity that contradicts injuries stated in a worker’s compensation claim, the investigator would take video or still photographs to document the activity and report it to the client.

Private detectives and investigators often specialize. Those who focus on intellectual property theft, for example, investigate and document acts of piracy, help clients stop illegal activity, and provide intelligence for prosecution and civil action. Other investigators specialize in developing financial profiles and asset searches. Their reports reflect information gathered through interviews, investigation and surveillance, and research, including review of public documents.

Legal investigators specialize in cases involving the courts and are normally employed by law firms or lawyers. They frequently assist in preparing criminal defenses, locating witnesses, serving legal documents, interviewing police and prospective witnesses, and gathering and reviewing evidence. Legal investigators also may collect information on the parties to the litigation, take photographs, testify in court, and assemble evidence and reports for trials.

Corporate investigators conduct internal and external investigations for corporations. In internal investigations, they may investigate drug use in the workplace, ensure that expense accounts are not abused, or determine whether employees are stealing merchandise or information. External investigations are typically done to uncover criminal schemes originating outside the corporation, such as theft of company assets through fraudulent billing of products by suppliers.

Financial investigators may be hired to develop confidential financial profiles of individuals or companies that are prospective parties to large financial transactions. These investigators often are certified public accountants (CPAs) who work closely with investment bankers and other accountants. They search for assets in order to recover damages awarded by a court in fraud or theft cases.

Detectives who work for retail stores or hotels

The lengths to which some debtors will go to hide their assets from creditors is astounding. But not far behind is the equally wily investigators, unearthing them.

Here’s how it works. Before a case is heard in bankruptcy court, debtors are responsible for turning over a host of paperwork toees, including a comprehensive financial statement and a detailed list of assets. Assets can include anything from high-dollar real estate to hefty tax refunds to expensive aircraft.

It is then the Chapter 7ee’s duty to administer bankruptcy cases in court, liquidate any non-exempt property and distribute the proceeds to creditors rightfully as indicated in the Bankruptcy Code. Theee may also bring a motion to deny the debtor a discharge of debts if he or she finds evidence of fraud, perjury or ineligibility.

“That list [of assets] is the first thing we look at,” said Chicago-area Chapter 7ee Joseph Cohen. “But we never believe it. Everybody lies to some degree.”

Depending on the complexity of the case in question, someees pass off the investigative work to staffers. Others hire investigative services to do the digging for them. The search for hidden assets can take them around the world.

Attorney Elizabeth O’Brien is based in Ireland. She has served as in-house counsel to Interclaim Recovery Limited, an asset location and recovery company. Her experience includes working with legal and investigative professionals on high-profile fraud cases spanning the globe. She also worked in tandem with Martin Kenney & Co., a solicitor’s firm that specializes in asset-tracing and fraud.

“Just as the opportunities for hiding assets are endless, the opportunities for finding them are endless,” she said, noting that finding assets is much more difficult these days because there are so many places to hide them.

O’Brien deals primarily with white-collar criminals who have committed crimes that could be played out in a Hollywood movie. “Some of them have defrauded banks and actually stolen huge amounts of money,” she said. “They’re not going to hide it where they think it’ll be found.”

One of O’Brien’s biggest concerns, she said, lies with the information-gathering process and whether or not it’s being done ethically. That is why, she added, companies who offer investigative services should be vigilant when doing background checks on their own people.

“You spend a lot of time researching the people you’re employing,” she said. “Ingenuity is the mother of invention. As more people come up with new schemes to hide their money, there are more companies specializing in forensic accounting and asset tracing. It’s opening up a whole new industry.”

Websites like www.knowx.com, www.4collectionsolutions.com and www.assetsearches.com provide searching services to anyone looking for assets — for a price. Though advertised on websites for as little as $99.95 per search, a quick phone call to the companies reveals many searches will cost upward of about $300. Some services will go as far as running birth certificate, license plate, criminal records and bank account searches.

And for those exploring uncharted territory — no need to worry. There are now companies that offer Forensic Accounting classes online. Forensic accounting professionals assist with investigating financial and business-related fraud. Many of the courses are self-taught and require you to purchase a DVD and manual. The companies claim to teach everything you need to know about detecting fraudulent financial reporting and conducting hidden asset investigations. A certificate of completion can cost as little as $100.

More established companies in the field of tracing assets are offering package services which include a private investigator, a forensic accountant and an attorney wrapped into one.

“Rather than going to each separately, you hire one person to lead the whole process,” said O’Brien.

The list goes on and on. It proves that the business of poking and prodding is in higher demand now more than ever.

Even paralegals are being trained to do some of the investigative work forees. Many of them, like Cristina Reyes, find the art of forensic accounting nothing short of riveting. Reyes is a college student and full-time paralegal for Marc DeGiacomo, a Chapter 7 Trustee in Massachusetts.

DeGiacomo will argue a concealed assets case before the Supreme Court next term.

The case involves Robert Marrama, the owner of a flooring company that went bankrupt in 2002. Trustees accused Marrama of failing to disclose two assets when he filed for Chapter 7 bankruptcy, including a summer home in Maine, valued at $85,000 and an $11,000 tax refund. The Bankruptcy Appellate Panel and First Circuit court both denied Marrama the right to convert his Chapter 7 case to a Chapter 13 case, citing bad faith.

The conversion would allow Marrama to salvage his assets rather than liquidate and repay creditors over a three-to-five year period of time.

Marrama’s attorney, David Baker, has assumed responsibility for his client’s failure to disclose the assets, calling the two instances “oversites that didn’t get listed” in the paperwork.

“And the judge misinterpreted that as we were trying to conceal assets,” Baker said.

According to bankruptcy experts, most debtors are honest people who cross paths with misfortune. And most Chapter 7 cases are no-asset cases, meaning that the debtor has nothing of value to his or her name that would interest a creditor.

“Out of the 48 cases I heard [yesterday],” said Cohen, “I’m following up on seven or eight of them.” Additionally, he postponed hearing 18 cases because of attorneys’ failure to follow guidelines under the new bankruptcy law which took effect in October 2005. “When I continue [cases], I start looking, too,” he said. “It gives me more motivation to look.”

Cohen said most of the hidden assets he finds are insignificant and invaluable belongings. He cited a 1995 Toyota Camry as an example.

And for Cohen, digging up concealed assets is often as simple as running searches on Google or Yahoo!

“I plug in the debtor’s name and see what I find out,” he said. More mundane forms of P.I. work byees or investigators include searching public databases to find copies of mortgages and car titles or taking a quick trip to the county treasurer’s or recorder’s office for details to unanswered questions.

Once an investigator oree finds an asset, the case goes to the U.S. Office of Trustees for review and creditors will be given notice of the assets and additional time to file proofs of claim. In the typical no-asset Chapter 7 case, there is no need for creditors to file proofs of claim.

So how does one know which cases to look at under a microscope? Of fourees interviewed, each said he or she follows a sixth sense.

But acting on every gut instinct can lead to sifting through a large volume of documents and can be a time-consuming hassle. A search on one case, Cohen said, may take between two to three months if done without assistance.

“Many times in business situations, we’re looking specifically to see if [the owner] has flipped the business,” he said, meaning unlawfully transferring the ownership.

Creditors are often another good source of information, said Cohen.

But make no mistake: all the digging pays off. For Cohen and otherees, uncovering concealed assets is like striking gold.

“I get $60 per case to hear a no-asset case,” he said. “If we find assets, we get paid significantly more.” According to the National Association of Bankruptcy Trustees, the commission rate is 25 percent on the first $5,000 distributed; 10 percent on the next $45,000 distributed, five percent on the next $955,000 and three percent for every dollar distributed in excess of $1 million.

“So, it’s a win win,” he said, referring to the benefits for both theees and the creditors.

Before you begin, consider why the person you are seeking is “missing.” Someone who is actively trying to avoid some type of trouble will obviously be more challenging to locate than a friend or relative with whom you have simply lost contact. The “intentionally missing” will usually attempt to cover their tracks, however it is almost impossible not to leave at least some indication of one’s whereabouts.

The suggestions below are designed to apply to a variety of situations and should not be considered the only steps that can be taken. Think creatively and put yourself in your subject’s shoes. Eventually you will uncover a vital piece of information that leads you to them.

Keep an organized file of all of the information you collect. Write an “activity log” which includes dates and notes on each person interviewed and piece of information collected. Three critical pieces of identifying information about your subject you should try to start with are:
1 Full legal name
2 Date of birth (DOB) or approximate age
3 Social Security Number (SSN)

Begin with the last place the person was known to be. Proceed backward in time from that point and map out where that person was known to have gone and with whom they may have been in contact. Trace all the way back to their childhood, if possible.

Is the person you are looking for still alive? Run their name through the Social Security Death Index If the individual is deceased, this will detail when they died, their date of birth, Social Security number and last known residence.

Next try a search of the good old Telephone Directory. It is surprising how often a search will end right here. Over 60% of phone numbers in the U.S. are still publicly listed and are very easy to search over the Internet.

Check the U.S. Postal Service for a forwarding address. This information used to be available for a small fee from any post office branch. Changes in their privacy policy mean you need to take a different approach. Address an envelope to the old address along with the words “ADDRESS CORRECTION REQUESTED” printed under the address. The envelope will be returned to you along with a label containing the new address. It will cost you exactly one first-class postage stamp.

If your subject has a criminal history, the Federal Bureau of Prisons Inmate Locator is the next place to check.

If your subject served in the U.S. military, or is on active duty, an excellent resource is GI Search.com

Request a Social Security Number Check to see if your subject has reported a new home addresses or employer on a credit application. This will provide you with the “header” information from their credit report, but it does not require the signed consent that a full credit report does.

Check previous employers’ personnel offices if possible to see if they were contacted as an employment reference. They might know where your subject is now working.

Think of all nicknames used, then try searching various Telephone Directoryunder those names.

Talk to former neighbors of your subject. They will often have some idea where your subject went.

Talk to relatives of your subject. You can often find them using the trusty telephone directory too.

Check voter registration affidavits with the local County Registrar of Voters. These records usually include name, address, prior addresses, date of birth, date of registration, occupation, phone number and signature. The information is public record. Only the records of certain law enforcement personnel are kept confidential.

If your subject is a licensed or certified professional, you can check the licensing and certification boards in the states where you suspect they may live to see if their whereabouts are listed there.

Check with the last high school, college or technical school attended by your subject. Many will have information on whereabouts for reunions or career plans.

Check with the County Recorder for birth, marriage and death certificates.
1 Birth certificates will include the full legal name, date, time and place of birth, gender, parents names, ages, occupations and places of birth. A copy of the certificate can usually be ordered for about $15.00
2 Marriage certificates include birth names of both parties, ages, places of birth, occupations, addresses, highest education levels, signatures, number of previous marriages, how and when previous marriages ended, parents’ names and places of birth, date and location of marriage, name and signature of officiant, addresses and signatures of witnesses. Some marriage certificates are not public record, however most are.
3 Death certificates include the name of the deceased, date and time of death, gender, race, date of birth, age, birthplace, name and birthplace of parents, citizenship, dates of military service, social security number, marital status, name of surviving spouse, occupation, number of years in the occupation, employer, kind of industry or business, residence, name and address and relationship of the informant, place of death, causes of death, indications of autopsy, name and address and license number of physician, dates of treatment, disposition of body, date of interment, name and address of cemetery or crematory, embalmer’s license number and signature, name and license of funeral director and recording date. Use the Social Security Death Index first.

A few additional suggestions in case you get stuck:

Keep an organized file.
Write down everything you uncover as well as where and when you obtained the information.

Get any address you can find.
The most common technique is to trace a subject from his or her past address to their new one. Don’t stop with the most recent address, though - get all or the old addresses you can find. Older addresses may belong to family members or close friends that your subject may move back in with. This can also lead you to new sources whom your subject keeps in contact with.

Flag special dates.
Everyone has to pay their rent, register their car, renew their driver’s license, etc. New information can materialize in places you may have already checked. In addition, check country records every month for updates.

Re-interview prime witnesses.
Always provide potential sources of information with an easy way to contact you. This is, of course, no guarantee that they will, but at least they’ll know where to reach you. Check back with those you believe may have some contact with your subject.

Review your case file with someone else.
Sometimes explaining the situation to another person will help you make connections you didn’t see before.

Suspend the investigation for a few weeks.
Not only does this allow time for new leads to develop, but it also gives you an opportunity to relax and collect your thoughts.

In short, remember:
• Always be evaluating your approach: Is there a better way to approach the investigation?
• Check all former addresses - this will probably be your most important source of leads.
• Keep checking with old friends and relatives - your subject may contact them at any time.
• Finally, let your unconscious mind do some of the work: try sleeping on it!

Gramm-Leach-Bliley

TITLE V — PRIVACY

Requires clear disclosure by all financial institutions of their privacy policy regarding the sharing of non-public personal information with both affiliates and third parties.
Requires a notice to consumers and an opportunity to “opt-out” of sharing of non-public personal information with nonaffiliated third parties subject to certain limited exceptions.
Addresses a potential imbalance between the treatment of large financial services conglomerates and small banks by including an exception, subject to strict controls, for joint marketing arrangements between financial institutions.
Clarifies that the disclosure of a financial institution’s privacy policy is required to take place at the time of establishing a customer relationship with a consumer and not less than annually during the continuation of such relationship.
Provides for a separate rather than joint rulemaking to carry out the purposes of the subtitle; the relevant agencies are directed, however, to consult and coordinate with one another for purposes of assuring to the maximum extent possible that the regulations that each prescribes are consistent and comparable with those prescribed by the other agencies.
Allows the functional regulators sufficient flexibility to prescribe necessary exceptions and clarifications to the prohibitions and requirements of section 502.
Clarifies that the remedies described in section 505 are the exclusive remedies for violations of the subtitle.
Clarifies that nothing in this title is intended to modify, limit, or supersede the operation of the Fair Credit Reporting Act.
Extends the time period for completion of a study on financial institutions’ information-sharing practices from 6 to 18 months from date of enactment.
Requires that rules for the disclosure of institutions’ privacy policies must be issued by regulators within 6 months of the date of enactment. The rules will become effective 6 months after they are required to be prescribed unless the regulators specify a later date.
Assigns authority for enforcing the subtitle’s provisions to the Federal Trade Commission and the Federal banking agencies, the National Credit Union Administration, the Securities and Exchange Commission, according to their respective jurisdictions, and provides for enforcement of the subtitle by the States.
TITLE VI — FEDERAL HOME LOAN BANK SYSTEM MODERNIZATION

Banks with less than $500 million in assets may use long-term advances for loans to small businesses, small farms and small agri-businesses.
A new, permanent capital structure for the Federal Home Loan Banks is established. Two classes of stock are authorized, redeemable on 6-months and 5-years notice. Federal Home Loan Banks must meet a 5% leverage minimum tied to total capital and a risk-based requirement tied to permanent capital
Equalizes the stock purchase requirements for banks and thrifts.
Voluntary membership for Federal savings associations takes effect six months after enactment.
The current annual $300 million funding formula for the REFCORP obligations of the Federal Home Loan Banks is changed to 20% of annual net earnings.
Governance of the Federal Home Loan Banks is decentralized from the Federal Housing Finance Board to the individual Federal Home Loan Banks. Changes include the election of chairperson and vice chairperson of each Federal Home Loan Bank by its directors rather than the Finance Board, and a statutory limit on Federal Home Loan Bank directors’ compensation.
TITLE VII — OTHER PROVISIONS

Requires ATM operators who impose a fee for use of an ATM by a non-customer to post a notice on the machine that a fee will be charged and on the screen that a fee will be charged and the amount of the fee. This notice must be posted before the consumer is irrevocably committed to completing the transaction. A paper notice issued from the machine may be used in lieu of a posting on the screen. No surcharge may be imposed unless the notices are made and the consumer elects to proceed with the transaction. Provision is made for those older machines that are unable to provide the notices required. Requires a notice when ATM cards are issued that surcharges may be imposed by other parties when transactions are initiated from ATMs not operated by the card issuer. Exempts ATM operators from liability if properly placed notices on the machines are subsequently removed, damaged, or altered by anyone other than the ATM operator.
Clarifies that nothing in the act repeals any provision of the CRA.
Requires full public disclosure of all CRA agreements.
Requires each bank and each non-bank party to a CRA agreement to make a public report each year on how the money and other resources involved in the agreement were used.
Grants regulatory relief regarding the frequency of CRA exams to small banks and savings and loans (those with no more than $250 million in assets). Small institutions having received an outstanding rating at their most recent CRA exam shall not receive a routine CRA exam more often than once each 5 years. Small institutions having received a satisfactory rating at their most recent CRA exam shall not receive a routine CRA exam more often than once each 4 years.
Directs the Federal Reserve Board to conduct a study of the default rates, delinquency rates, and profitability of CRA loans.
Directs the Treasury, in consultation with the bank regulators, to study the extent to which adequate services are being provided as intended by the CRA.
Requires a GAO study of possible revisions to S corporation rules that may be helpful to small banks.
Requires Federal banking regulators to use plain language in their rules published after January 1, 2000.
Allows Federal savings associations converting to national or State bank charters to retain the term “Federal” in their names.
Allows one or more thrifts to own a banker’s bank.
Provides for technical assistance to miccroenterprises (meaning businesses with fewer than 5 employees that lack access to conventional loans, equity, or other banking services). This program will be administered by the Small Business Administration.
Requires annual independent audits of the financial statements of each Federal Reserve bank and the Board of Governors of the Federal Reserve System.
Authorizes information sharing among the Federal Reserve Board and Federal or State authorities.
Requires a GAO study analyzing the conflict of interest faced by the Board of Governors of the Federal Reserve System between its role as a primary regulator of the banking industry and its role as a vendor of services to the banking and financial services industry.
Requires the Federal banking agencies to conduct a study of banking regulations regarding the delivery of financial services, and recommendations on adapting those rules to online banking and lending activities.
Protects FDIC resources by restricting claims for the return of assets transferred from a holding company to an insolvent subsidiary bank.
Provides relief to out-of-State banks generally by allowing them to charge interest rates in certain host states that are no higher than rates in their home states.
Allows foreign banks generally to establish and operate Federal branches or agencies with the approval of the Federal Reserve Board and the appropriate banking regulator if the branch has been in operation since September 29, 1994 or the applicable period under appropriate State law.
Expresses the sense of the Congress that individuals offering financial advice and products should offer such services and products in a nondiscriminatory, nongender-specific manner.
Permits the Chairman of the Federal Reserve Board and the Chairman of the Securities and Exchange Commission to substitute designees to serve on the Emergency Oil and Gas Guarantee Loan Guarantee Board and the Emergency Steel Loan Guarantee Board.
Repeals section 11(m) of the Federal Reserve Act, removing the stock collateral restriction on the amount of a loan made by a State bank member of the Federal Reserve System.
Allows the FDIC to reverse an accounting entry designating about $1 billion of SAIF dollars to a SAIF special reserve, which would not otherwise be available to the FDIC unless the SAIF designated reserve ratio declines by about 50% and would be expected to remain at that level for more than one year.
Allow directors serving on the boards of public utility companies to also serve on the boards of banks.