8 items
Evidence for Business Partner Fraud
- Partnership deed (registered or unregistered)CriticalOriginal or certified copy of the partnership agreement showing terms, profit sharing, and duties
- Bank statements of firm/partnership accountCriticalCertified bank statements showing unauthorized withdrawals, transfers, or diversions by the partner
- Proof of your capital contributionCriticalBank transfer receipts, cheque copies, or investment records showing your money invested in the business
- Financial records and ledgersCriticalProfit & loss accounts, balance sheets, invoices, and receipts that show discrepancies
- Communications showing fraud or admissionsWhatsApp messages, emails, or recorded calls where partner admits to fraud or refuses accounting
- Tax returns (ITR) filed for the firmJoint ITR filings that prove the existence and turnover of the partnership
- Witness statementsStatements from employees, accountants, clients, or others who can confirm the fraud
- GST registration and returnsGST filings that show business transactions and help establish the partnership's financial activity
Be careful
- Secure all financial records BEFORE confronting the partner — they may destroy evidence.
- Do not sign any dissolution papers without getting a proper accounting first.
- File FIR promptly — delay weakens criminal cases.
- Get a forensic audit done through a chartered accountant if large sums are involved.