G. Thorn McDaniel, III,
CFE, EA

G. Thorn McDaniel, III,

Mr. McDaniel has been a forensic accountant since 1973 when he joined the Internal Revenue Service.  As a special agent with the Criminal Investigation Division, Mr. McDaniel specialized in financial investigations including corporate fraud, white-collar crime, tax and insurance fraud, bankruptcy, public corruption and financial institution fraud. He served as supervisor of Operation Greenback, a multi-agency Treasury Department Task Force in Florida that pioneered the use of sophisticated financial undercover operations to infiltrate domestic and foreign money laundering organizations.  Operation Greenback has been credited with serving as the prototype for today’s financial investigative task forces used in major metropolitan areas throughout the country. 

 Mr. McDaniel has also served as a member of the White House Drug Policy Coordinating Group, and was involved in the implementation and coordination of the national strategy on the enforcement of drug related financial crimes.  He has served as an instructor in financial crimes, asset forfeiture and money laundering at the FBI National Academy, the Treasury Law Enforcement Training Center and the International Law Enforcement Academy in Budapest, Hungary. 

 Mr. McDaniel concluded his law enforcement career as Chief of the IRS Criminal Investigation Division for the states of Virginia and West Virginia.  Notable investigations and convictions include perennial presidential candidate Lyndon La Rouche, CIA employee and Russian spy Aldrich Ames, former head of United Way of America, William Aramony, and numerous public and private officials implicated in the investigation of defense contracting fraud titled Operation Ill Wind. 

 Mr. McDaniel’s current work includes evaluating economic damages and lost profit claims in breach of contract, tortious interference and patent infringement cases as well as computing losses in personal injury, wrongful death and other civil actions.  He is involved in the evaluation of embezzlement and fraud claims, and serves as a consultant to law firms regarding financial analysis of prospective litigation and business disputes.   

Mr. McDaniel is a Certified Fraud Examiner, an Enrolled Agent authorized to practice before the Internal Revenue Service and holds a degree in Finance from the University of Virginia.  Since leaving the federal government, Mr. McDaniel has qualified as an expert witness before Federal District, Bankruptcy and Virginia State Courts.

PROFESSIONAL AND ACADEMIC:

• Business Valuations Discounts and Premiums CPE Course - 2002

• National Association of Certified Valuation Analysts (NACVA) – Business Valuations Course - 2000

• Certified Fraud Examiner

• Enrolled Agent

• Graduated First in Class at Special Agent Basic Training, Treasury Law Enforcement Center – 1973

• Expert Witness Training – 1977

• Certified Ethics Instructor, Josephson Institute of Ethics – 1991

• Organized Crime National Conference, New Orleans, LA – 1993

• IRS Chief Counsel Criminal Tax Symposium, San Diego, CA – 1994

• Chaired Task Force and Authored Study on Women and Minorities in Criminal Investigation

• Co-chaired Task Force and Developed National Guidelines for IRS Undercover Operations

• Member, Association of Former Special Agents

• Member, Virginia Society of Enrolled Agents

• Past Member, California Narcotics Officers Association

• Past Member, Federal Criminal Investigators Association

• United States Army, 1969-1971

• BS, Finance, University of Virginia, 1969

SEMINARS CONDUCTED AND SPEECHES GIVEN:

• 03/05 -  Institute of Management Accountants - “Consideration of Fraud in a Financial Statement         

•               Audit”

• 10/04 -  Williams Mullen Litigation Retreat – “Electronic Discovery”

• 10/02 -  Troutman Sanders LLP – “Lost Profits and the New Business Rule”

• 02/01 –  Richmond Turnaround Association – “Bankruptcy Fraud Schemes” 

• 10/00 – Virginia Community Service Boards Annual Conference – “Medicare/Medicaid Audit                        Procedures, Policies and Compliance Issues”          

• 04/99 – Fairfax County Bar Association – “Federal Criminal Tax Investigations and Prosecutions”

• 12/98 – Virginia Society of CPA’s, Richmond Chapter – “Financial Investigations”

• 10/98 – VPI/VSCPA Annual Conferences – Roanoke and Norfolk, Va. – “What You Should Know                                                                     About Fraud”

• 05/98 – Association of Government Accountants – “Financial Investigations – Methods of Proof”

• 06/97 – International Law Enforcement Academy, Budapest Hungary – “Indirect Methods of Proof    and Money Laundering Investigations”

•  

• 09/96 – IRS Financial Coordinators Seminar, “Bank Secrecy Act”

• 04/93 – Virginia Society of Certified Public Accountants – “IRS Criminal Investigation Division”

• 05/92 – Virginia Bank Administrators Institute, “Money Laundering and the Bank Secrecy Act”1991  – Ethics Instructor for Ten Classes for 300 IRS Supervisors in Mid-Atlantic Region

• 04/90 – FBI Advanced Public Corruption Conference for FBI Supervisors, FBI Academy Quantico,     Virginia - “Joint Operations for Financial Investigations”

• 08/86 – FBI Organized Crime Conference, Richmond, VA – “Money Laundering Investigations”

• 06/84 – U. S. Treasury National Training Academy Managers Seminars, Arlington, VA – “Conducting Title 31 (Money Laundering) Investigations, Coordinating Undercover Operations and Use of Electronic Surveillance”

• 03/84 – IRS Collection CPE, Tampa, FL – “Threats and Assaults on IRS Personnel”

REPRESENTATIVE ENGAGEMENTS:

• Engagement Involving Calculation of Damages Involving Intellectual Property

• Lost Profits Computation involving Steel Fabrication

• Lost Profits Computation involving Cable Telecommunication Services

• Lost Profits Computation involving Artwork

• Lost Profits Computation involving Poultry Feed

• Lost Profits Computation involving Commercial Rental Property

• Lost Profits Computation involving Computer Software

• Lost Profits Computation involving Gasoline Station/Convenience Store

• Lost Profits Computation involving Heating Oil Distribution

• Lost Profits Computation involving Medical Practice

• Representation in Securities and Exchange Commission Criminal Investigation

• Investigation of Breach of Financial Obligation Based on Gross Profits

• Investigation of Breach of Financial Obligations – Inventory Theft

• Investigation of Breach of Fiduciary Duty by Financial Institution

• Representation Involving Calculation of Damages Relating to Underreported Royalties

• Representation Involving Misappropriated Loan Proceeds

• Representation Involving Misappropriation of Public Funds

• Representation Involving Disputed Claims against Decedent’s Estate

• Evaluation of Insurance Claim for Lost Profits as a result of Fire - Restaurant

• Representation in Racketeering, Money Laundering and Health Care Fraud Investigation

• Representation Involving Calculation of Lost Revenue Due to Defective Products

• Representation in Government Investigation of Importation of Counterfeit Goods

• Representation in Medicare and Medicaid Provider Audits

• Representation in Personal Injury Suits for Lost Earnings

• Investigation of Embezzlement Losses from Union Dues

• Investigation of Embezzlement by Fiduciary

• Representation of Matters Involving Virginia State Sales Tax Violations

• Representation in IRS Dispute Involving Liability of Employee Retirement Income Security Act  (ERISA) Violations

• Investigation of Fraudulent Property and Casualty Insurance Claims

• Representation in Federal Criminal Tax Matters and Campaign Contribution Fraud

• Engagement Involving Dispute of Covenant Not to Compete

• Investigation of Thefts and Misappropriation of funds from Auto Dealership

• Representation Involving Computation of Lost Profits as a Result of Plant Explosion

• Representation Involving Computation of Lost Profits as a Result of Defective Materials

• Representation and Computation of Lost Wages for Worker’s Compensation Claim

• Compliance Review of Publicly Traded Insurance Company

• Compliance Review of National Trust Company

REPRESENTATIVE FRAUD INVESTIGATIONS:

•  Investigation of Unreported Income from Proprietorships and Corporations

• Investigation of Savings and Loan Institution Fraud

• Investigation of Fraudulent Foreign and Domestic Trusts

• Proof of Financial Position through Indirect Methods of Proof (Net Worth and Bank Deposits)

• Investigation of Bribery and Kickbacks to Private and Public Officials

• Investigation of Fraud in the Healthcare Industry

• Investigation of Bank Secrecy Act Violations and Foreign and Domestic Money Laundering

• Investigation of Payroll Tax Fraud

• Investigation of Fraud Schemes involving Automobile Dealerships

• Court Appointed Expert in Ponzi Scheme/Money Laundering/Fraud Conspiracy

• 1997 – National Chief of the Year Nominee (U.S. Treasury Dept.)

• 1993 – National Chief of the Year Nominee (U.S. Treasury Dept.)

• 1990 – National Chief of the Year Nominee (U.S. Treasury Dept.)

• 1983 through 1997 – Recipient of fifteen consecutive annual cash performance awards as a Distinguished Management Official

• 1983 through 1997 – Various commendations and recognitions from United States Attorneys, U.S. Customs Service, U.S. Secret Service, FBI, Virginia State Police, West Virginia State Police, Drug Enforcement Administration and other federal, state and local agencies