Cachet International

602-912-5730

 
 

“I have had the opportunity to work with Cachet International for a number of years. There is little doubt as to their unique expertise in conducting due diligence throughout the world. Of all the firms I have had the opportunity to contract with, Cachet International is the crème de la crème of international investigative firms.”

Frederick T. Martens
Former Director of Corporate Investigations
Claridge Casino Hotel, Atlantic City

Success Stories in Business Intelligence and Financial Investigations

From the files of Cachet International, examples of success in business intelligence, due diligence, M&A support, executive screening, asset tracing and more.

In search of $400 million moved offshore, we pierced 110 offshore firms and traced over $328 million. As a result, the parties negotiated a settlement more favorable to our client.

A client was concerned about possible violations of the Foreign Corrupt Practices Act, as its contract with a foreign energy company called for an annual $300,000 payment to a Panamanian bank account. In tracing the funds to a Swiss company, we found that the payment went to our client’s contracting officer.

We traced $2.7 million from Russia to Cyprus to the Caribbean to determine that an officer of our client’s company was diverting funds to his competing company.

For a Fortune 500 Internet company, we conducted inquiries in Brazil to determine if recently resigned company executives were violating their “non-competition” clauses. They were not, and our client was able to continue their cooperation with peace of mind.

A major U.S. firm requested a study to determine if they could successfully compete in a wholesale and retail product market in Korea. They eventually determined that they could better enter this market as part of a joint venture. We then successfully screened several potential candidate firms, one of which was later successfully selected as a partner.

 

Asked to confirm that a vendor in Russia could actually produce the materials that a new contract required, we made discreet inquiries at the local plant and found that the plant could produce only 50% of its claimed capacity and that it hoped to coerce our client into funding new production equipment once the contract was signed. We then helped our client find a more reliable vendor in Russia.

On behalf of a major U.S. bank, we conducted due diligence inquiries on 33 correspondent banks throughout Latin America that were being upgraded to “representative status.” We did so successfully within four weeks. Four of the banks were found to be unsuitable, and local regulatory officials later closed three of these banks.

Cachet International conducts more than 250 due diligence cases a year for the largest U.S. banks and stock brokerages to satisfy Patriot Act requirements and anti-money laundering laws.

 

Our client considered several Latin American companies for possible acquisition. We made inquiries regarding the companies, their managers and owners, as well as their strengths, weaknesses and financial positions. Once the client selected its target, we obtained information on the negotiating styles of the owners and their lawyer. The acquisition was successful, and our clients achieved a 15% savings.

Another client wished to ensure that all members of a newly acquired firm in Southeast Asia were competent and honest. We found three key managers to be dishonest (they insisted on using only vendors that their family controlled), and our client was able to remove them without any negative repercussions for the newly acquired firm.

Cachet International has developed the “Intelligence Advantage,” which provides basic, key intelligence on merger and acquisition targets early in the process. This information confirms essential data, provides valuable negotiating information, and almost invariably leads to improved prices for the acquiring company.

 

Investigated over 200 potential employees in India for major U.S. banks, with work completed within four weeks.

Investigated the background of a Brazilian businessman who had a very prominent family name and was being considered as the representative for a Fortune 500 firm in Latin America. Our inquiries found that the Brazilian businessman was estranged from his family, had a history of financial fraud allegations and convictions, and was under police surveillance for possible money laundering.

Investigated a European businessman who was nominated to the board of directors of a major U.S. company. Our inquiries showed that the businessman was under investigation by tax officials in three countries.

We have successfully supported several large law firms in class-action litigation.

We have successfully located and conducted preliminary interviews of potential witnesses in the U.S. as well as Latin America, Russia, Europe, the Middle East, and the Caribbean.

We have successfully conducted discreet background investigations on opposing witnesses and expert witnesses in the U.S. as well as Europe, Russia and Latin America.

 

“If Only They Had Known ...”

A few of our clients have learned – the hard way – that what they didn’t know could and did hurt them.

A Taiwanese LCD screen producer suddenly quit delivering its products after major U.S. retail firms had paid over $20 million in advance. The producer also stopped paying rebates and answering its telephone. Our visit to this “firm in Taiwan” found a rented supply closet with two telephones and a fax machine. The company had never been registered, and the names of the company officers were found to be fictitious.

After spending over $700,000 in legal, consulting and administrative fees, a U.S. chemical company asked us to investigate its new joint venture partner, which reportedly had a large office, factory and warehouse. We found that the office, factory and warehouse did not exist, and all three telephones were answered in a trailer in Illinois. A preventive investigation into the background of this company prior to doing business with them would have saved our client $700,000.

An anonymous source accused the CEO of a newly acquired Asian manufacturing plant of being involved in fraudulent activity. Our inquiries showed that the executive was honest, well respected and locally connected, and that the complaint actually came from an employee that had been fired for theft.