Mark McGrath is a Senior Managing Director at Ankura based in Chicago. Mark has over 20 years of combined experience as a management consultant, forensic accountant, fraud investigator, Big Four public accountant and Fortune 300 company internal auditor. Mark has led complex fact-finding investigations involving whistleblower allegations, SEC enforcement inquiries, and the Foreign Corrupt Practices Act (FCPA) pertaining to financial reporting, disclosure and internal controls issues, directed teams addressing anti-money laundering, risk management and other regulatory and compliance concerns, provided litigation support, legal and litigation spend management advisory services, and managed multidisciplinary teams to help clients address a broad range of mission-critical initiatives. He routinely works with legal counsel representing board of directors, in-house legal counsel, and corporate executives to help address their most important and sensitive matters.
Mark has led or participated in high-profile and complex projects domestically and in countries spanning five continents. Mark’s engagements include investigations into matters involving fraudulent financial reporting and the misapplication of GAAP, technical accounting and auditing issues, the FCPA, internal control assessment and remediation, anti-money laundering, compliance, risk management, legal and litigation spend management practices, and litigation support.
Mark’s professional experience includes:
- SIPA Liquidation of Bernard L. Madoff Investment Securities: Core member of global team that provided investigative and litigation support to the Trustee and his counsel. Worked closely with counsel and led teams of consultants performing forensic investigation, data analysis, and litigation consulting regarding the massive Ponzi scheme.
- Audit Committee & Whistleblower Investigations: Assisted outside counsel for the audit or special committees of public company boards on numerous engagements investigating allegations of employee misconduct and fraud surrounding a variety of issues including the re-aging of customer loan accounts, calculation of allowance for loan and lease losses, improper recording of revenue via channel-stuffing, sham transactions, consignment sales, bill-and-hold sales, sales returns and other means, acquisition accounting, and earnings management. Conducted interviews; examined key processes, models and methodologies surrounding allegations; evaluated root causes, internal control deficiencies and remediation, Item 9A disclosure, and (if applicable) treatment of accounting changes, SOX Section 302 and 404 considerations, SAB 99 materiality assessments, and conclusions affecting financial reporting and disclosures; interfaced with, and presented findings to the company’s auditors, shadow forensics teams, boards of directors and SEC Enforcement staff.
- Legal and Litigation Spend Management Matters: Retained by nation’s leading mortgage lender on a multi-year engagement to advise the General Counsel and in-house legal team regarding legal and litigation spend management opportunities and processes, and serve as project manager designee to oversee the implementation of a leading e-billing and enterprise legal platform, resolve data migration issues, direct external vendors on behalf of client, draft recommended improvements to outside counsel billing guidelines, optimize legal operations processes, and create customized advanced analytics and dashboarding solutions to enhance in-house counsel’s ability to quickly identify the most meaningful invoice data and make matter management and legal spend decisions to optimize value and legal cost savings. Oversaw the onboarding of more than two-dozen separate “family” companies onto the platform. Member of team retained by leading global insurance organization to assess and resolve integration issues between the client’s claims administration software and the chosen legal spend platform’s accounts payable function. Vetted and recommended improvements to existing legal spend management rollout plans with third party administrators, workflow documentation, quality control procedures, and oversaw and assisted with user accepted testing.
- FCPA and Anti-Corruption Matters: Assisted outside counsel for international public medical device and diversified technology companies and a large multinational private equity firm on multiple engagements investigating allegations of inappropriate business practices and suspected violations of the FCPA, conducting independent reviews of FCPA compliance, and investigating alleged self-dealings and bribes paid by a third-party property management service provider to government officials. Traveled in Europe and Asia to gain an understanding of accounting, reporting and recordkeeping practices, perform transactional testing and interview employees to identify possible control or conduct issues and assess the level of compliance with the FCPA’s Books and Records and Internal Controls Provisions.
- Litigation Matters: Assisted outside counsel in defense of a large bank against claims brought by a special deputy receiver and state guaranty associations to recover damages approximating $600 million related to the bank’s role as trustee over prearranged funeral assets misappropriated by funeral company personnel in the largest Ponzi scheme in Missouri history; resulted in very favorable settlement. Retained to assist outside counsel in defense of the largest IP jury verdict of 2018, totaling $706 million in compensatory and punitive damages, relating to alleged misappropriated trade secrets, and breach of contract; co-led multidisciplinary team of computer forensics professionals, data scientists and investigators to examine ESI, source code and other available information to evaluate automated valuation model.
- Regulatory Compliance Matters: Retained by a leading retail mortgage lender to assist with preparations for initial examination by the Consumer Finance Protection Bureau. Supervised a team that helped establish an enterprise-wide risk management framework, implement risk control self-assessments throughout the business, evaluate and test the design and operating effectiveness of key internal controls, prepare written procedure and findings reports, and help the company transition towards an in-house internal audit function. Retained by one of the world’s largest institutional investment managers to perform an operational, risk management and internal control review of select third party asset management and mortgage servicing partners to allay concerns of management.
- BSA/AML Look Back, Compliance Testing & Risk Management Matters: Retained by management of a large regional full-service community bank as the co-leader of a team of consultants and investigators to conduct a two-year lookback review of deposit account and transaction activity, assist client to update policies and procedures with industry best practices, and conduct independent BSA compliance testing and training in accordance with a FDIC Consent Order. Member of teams retained by a financial services holding company and a Taiwanese bank to help respond to MRIAs issued by the Federal Reserve Bank re: governance and risk management concerns, the BSA/AML risk assessment methodology, and an OFAC compliance program, respectively.