CFE Exam Quiz 51

It should be noted that the importance of an investigation of fraud lies in the integrity of the evidence obtained. Evidence of fraud typically takes the form of records or witness statements; thus, fraud examiners need to know how to get documentary evidence and witness statements correctly and lawfully.

It should be noted that most fraud investigations can be called forensic accounting, but not all forensic accounting is fraud screening. For instance, a person hired to appraise property in a minority shareholder derivative suit will engage in forensic accounting even if there is no fraud involved in the commitment.

It should be noted that all of the options given below are correctly stated.

It should be noted that fraud investigations will progress from the general to the particular in sequential order, slowly concentrating on the suspect through the analysis of the evidence.

Fraud inspectors should only conduct fraud investigations when there are conditions that indicate fraud has occurred, is occurring or will occur and they should not investigate beyond the forecasts available. When fraud inspectors are unable to express a factual basis or a good reason for an investigative move, they should not.

Nevertheless, the predictive criterion does not preclude fraud examiners from accepting certain types of commitments in situations where prediction is lacking. For instance, if workers seem to be living beyond their means (i.e. living a more extravagant lifestyle than their salary would seem to allow), there could be many reasons to explain the difference other than fraud, such as an inheritance.

i. Fraud examiners can approach inquiries from two perspectives: (1) proving that fraud has occurred, and (2) proving that fraud has not happened. In establishing that a fraud has occurred, the investigator of the crime must try to prove that there has not been a fraud.
ii.

It should be noted that the fraud theory method includes the study of available data, hypothesis formation and hypothesis testing and refinement and modification of the hypothesis

It should be noted that an organization without a fraud response plan may not be able to respond adequately to problems, and are likely to spend more time and experience greater harm than those with such a plan in place. In comparison, having a response strategy puts a company in the best position to respond quickly and effectively.

It should be noted that a fraud response plan may advise workers to report evidence of fraud to their boss (if possible), the appointed human resources (HR) or compliance officer, or the audit and enforcement officer.

To establish litigation hold procedures management should: define the scope of litigation holding procedures, analyze how information passes through the company and decide how relevant documents can be found to create litigation holding procedures, however, the management should also develop a process to ensure such information is preserved.

It should be noted that all of the statements given below are correct regarding the fraud incident report log.

It should be noted that all of the options given below are correctly stated.

It should be noted that personnel of human resources (HR) discuss problems related to unfair treatment, discrimination, misconduct, substance abuse or corporate policy questions. The HR department should, therefore, be aware of any wrongdoing that affects any of those regions.

The initial assessment will seek to: determine whether fraud has occurred and define the extent of the fraud (e.g., when did it begin? Was it internal or external? Is it still occurring? If it does not occur anymore, when did it stop?) but also identify potential allegations and offenses.

It should be noted that this question is for an interviewer with a source seeking for an awnser.

It should be noted that Letters of commitment should be written with a view to certain requirements, and should cover a variety of items. Such elements include, but are not limited to, the identity of the customer, the nature of the services, the duration of the job, deliverables, payment terms and fee structure, contact with the client, non-guarantee, governing law, jurisdiction, termination, and restriction of liability by means of compensation provision.

i. The long-form specifies what research procedures the fraud investigator plans to adopt, whereas the short form does not.
ii. The long-form letter of engagement is not recommended for commitments involving an investigation of allegations of fraud and judgment on the nature of fraud
iii. The short letter of engagement may identify the programs as including an investigation of an accusation of fraud received over the hotline, an anonymous tip, or an audit anomaly.

It should be remembered that the terms clause of a letter of agreement should include the terms of payment; fee structure; method of payment; a retainer, if necessary; and how many hours of review time the client initially agreed. In addition, the billing procedures and a statement regarding payment methods should be listed in this section.

It should be noted that the clause should not be boilerplate; it should be tailored to fit the specific terms of the undertaking.

It should be noted that all of the options given below are stated correctly.

It is to be noted that the general policy of banning workers from addressing internal inquiries is generally not prudent for management, because doing so could violate certain employee rights.

Paper significance can’t easily be decided early in a case. For this reason, it is important to obtain all possibly relevant documents. If they are not required they can be returned at all times. Here are a few general rules relating to paper collection:
I: Where possible, get original documents. Make working copies for analysis, and keep separate originals.
II: Do not touch originals more than necessary; they might be subjected to forensic analysis later.
III: Maintain a secure paper filing system. This is particularly critical when you get large numbers of documents. Losing the main document is very difficult, and it can ruin the case. Documents may be sequentially stamped for easy reference.

There are two main forms of admissible evidence:
I: Direct
II: Circumstantial
The facts at question are shown prima facie (based on the first impression) by direct evidence; it confirms the truth.

When fraud examiners assume that important documents are falsified, they will consider consulting a forensic expert. Forensic examinations performed as part of an investigation into fraud can contribute in several ways to its success:
I: The findings of the expert analysis will help develop and support the theory of fraud: who did what, and when.
II: The findings of an expert exam can both corroborate or contradict claims by witnesses or suspects of fraud.
III: Getting the findings of expert assessments before interviews can provide the fraud investigator with substantial control during interviews with suspects of fraud, often contributing to admissions of guilt from suspects who are faced with the factual evidence.
IV: Forensic handwriting tests and comparisons can contribute to the identification of the author or signatory of a document.

A paper may be a piece of physical evidence and not simply an information source. It should be handled carefully like a piece of evidence and stored properly in a sealed, initialed, and dated paper folder or envelope to prevent damage or contamination. A paper may be a piece of physical evidence rather than a mere source of information. It should be carefully handled like a piece of evidence, and properly stored in a sealed, initialed, and dated paper folder or envelope to avoid damage or contamination.
Any provided information should be classified so that it may be found later. The most common way of identifying proof is by the person who obtains it with the date and initials.
Do not fold, staple, use paper clips, crumple or otherwise do anything that would change the original condition of an item. Store photocopies and laser-printed documents in paper folders or envelopes, not transparent plastic envelopes; such envelopes can cause the copies to stick to the plastic and destroy some of the document properties.

To help maintain confidentiality, members of the investigation team will guard case details. Below are a few recommended protocols for protecting details on cases:
I: Place all confidential documents in closed file cabinets or rooms which are only open to those who need to know.
II: Secure all information electronically via firewalls, encryption, and passwords.
III: Clear desks before stepping away with any case details.
IV: Switch machines when the workstations are off.
V: Mark as confidential any case information, be it tangible or electronic.
VI: Avoid speaking in public or anywhere other workers could hear the communications about the investigation.
VII: Avoid using email or other electronic means (e.g. text messages or instant messages) to communicate confidential information about events.

The facts at question are shown prima facie (based on first impression) by direct evidence; it explicitly confirms the truth. Which direct evidence is, focuses on the factors involved. For instance, direct evidence in a case involving potential kickbacks could be a check from the seller to the defendant.

During the investigation stage, it is not advised to order the records chronologically, because it makes it more difficult to search for relevant information

It should be noted that all of the statements given are correctly stated

It should be noted that the results of the expert examination can help develop and prove the theory of fraud: who did what, and when.

It should be noted that forensic examinations are possible while identifying impressions of rubber stamps not wax stamps

It should be noted that many forensic examinations require the original document, not a copy, as most photocopies do not replicate original writings, styles or other features with sufficient clarity or detail to warrant adequate analysis.

Establishing the custody chain for a document establishes authenticity (i.e., the document is actually what the party offering the document says it is), but it also ensures that the evidence has not been altered or changed since it was gathered through court production.

In general, for the chain of custody to be established, fraud examiners have to record when they receive an item or leave their care, custody or control. This is best handled when the evidence is received through a memorandum with the records custodian. The Memorandum is to state:What items were received, When they were received, Where they were received and where they are maintained

Be careful when using tweezers, as they may leave indentations that may obscure faint indented writings or identifiable indentations sometimes left by copiers and fax machines

The accuracy of a signature may depend on the circumstances in which it was issued (e.g., the signing of a mortgage agreement by a person may be more legible than the signing of a credit card receipt by the same person). Genuine reference samples should be collected, and an expert decision should be made by consulting a forensic evidence examiner.

It should be noted that human writing skills vary considerably because of their various physical and mental capacities, and these variations increase with age; physical development; and ability acquisition, differing aesthetic beliefs, educational disparities, and differences in personal and professional use of writing.

Non-dictated writing samples include material that the individual writes during the daily course of business. That type of writing tends to reveal the normal writing habits of the individual.

Non-dictated writing samples should: be as contemporary as possible to the date of the evidence documents; if the writings questioned were prepared in the 1970’s, recent writings prepared by a suspect may not be sufficient for comparison. Except for infirmity or extreme age, however, most adult writings usually do not alter much except over long periods of time.

Because expert handwriting identifications will genuinely prove the case, it is vital that the fraud examiner prepare properly for a pre-interview. The fraud examiner should have all the appropriate writing materials at the time of the interview session, and should have the original or copies of the evidence documents as a guide for dictating the sample text.
Here are a few tips for this sort of interview:
I: Do not hurry through the interview.
II: Take brief breaks of comfort if suspect tires.
III: Do not authorize the suspect to see the evidence before or during the sampling process.
IV: Take as much time as you need.

It is to be noted that according to the Directions for Obtaining Dictated Handwriting Samples,
Samples of dictated writing should be obtained using the same types of materials as the evidence document: writing instruments (ballpoint pen, fountain pen, pencil, etc.), paper (lined, unlined, sheet size), and forms (check forms, business forms, etc.). A fraud examiner may use an actual form of the same or similar for the purposes of the samples.
The remaining options are the requirements of Non-dictated writing samples.

Photocopies are increasingly being kept as “original” records of documents (especially in outgoing correspondence files), and photocopies could be the only proof of a document if the original can not be found or, in some cases, not published.

It should be noted that all of the statements mentioned above are correctly stated. Furthermore, Photocopies are admissible as original evidence for copies hidden or inserted or manipulated

i. Transient trash marks are usually caused on or in machine surfaces by dirt, smudges or small bits of foreign matter that will appear until the machine is cleaned or serviced.
ii. Permanent trash marks are unique markings on copies and are usually caused by accidental deep scratches and imperfections on the glass surface or document cover of the copier, on the surface of the printing element, or in other parts of the machine that are not readily replaced or changed during machine servicing.
iii. Photocopies are permitted as original proof for hidden or inserted or manipulated copies

The fraud examiner should obtain six sample copies because different models of photocopiers have different surface sizes of the printable elements, usually ranging from one to three sheet impressions before repeating on the same surface area).

These are always helpful to the defendant, and these contradict information or evidence previously developed that is unfavorable to the suspect.

In the absence of adequate contemporary genuine writings by the alleged author, accurate handwriting comparisons are rarely possible. In such cases, the experts would investigate the materials used to create the documents, such as paper, ink, printing, adhesives and seals, bindings and covers

It should be noted that experts analyze the paper, especially watermarked paper, and perform searches of reference materials to determine who created the paper and when it was first produced.

It should be noted that the fraud examiner should not apply any liquid to the original document containing indented writings, as this may damage the ability of the document to be analyzed.

Latent (invisible) prints are unique personal markers, and the body oils, salts, and amino acids sticking to or exuded by friction ridges in the skin on the fingertips, palms of the hands and sole of the feet leave these prints on surfaces. Latent prints may also be accumulated on surfaces through the movement of oils and greases by palms, fingers, and bare feet.

Many types of paper and plastic containers can leach acids over long storage periods which damage the originals. While some plastic containers, such as those made from polyethylene or polypropylene, do not leach acid, the document may result in harmful condensation

Legal authority is not required in most cases to interview individuals or inquire into matters. Most jurisdictions provide the authority for citizens to inquire into virtually any subject area, as long as the rights of individuals are not violated in the process.

It should be noted that persuasion and expression concepts differ in that persuasion is essentially intended to induce a belief or action. There are times when people can use persuasion effectively in the interview

The word exchange reminds us that, in an interview, the flow of information goes both ways. Too often interviewees become so concerned with the information they want to obtain that they do not exchange information with the respondent properly. While details of what the interviewer says should be carefully measured, fraud examiners should not be cagey, as it is a rarely working tactic.

Repression is a defense mechanism that protects an individual from objects that would cause anxiety by preventing consciousness of the items. Not only might respondents refuse to admit information to the interviewer, but they might also refuse to inwardly admit the information. When that happens, the respondents are honest in replying that they don’t know or have forgotten.

Chronological confusion can occur in two ways: Two or more events are remembered correctly, but the respondent is uncertain about the sequence and when· Only one occurrence is recalled, and at an earlier point it is wrongly assumed that it was valid.

Extrinsic rewards are rewards earned by the interviewee who are not directly related to the outcome of the interview, and they allow the respondent to see the interview as a means to an end. Extrinsic rewards for interviewees could include money, work advancement and privilege retention

It should be noted that Nonverbal action or body language, which includes movement of the body, lack of movement and measurable physiological changes is one of the category link and Foster identify distinct categories into which meaningful behavior can be divided

It should be noted that all of the traits mentioned above are included. Moreover, many interviewees will try to cover themselves up or defend themselves by crossing their arms or legs. Such moves are generally defensive postures.

The interviewer will need to determine what is normal or baseline behavior for each subject and then look for baseline changes. And it should be noted that these observed changes in the baseline behavior of the subject are diagnosed in clusters and not individually

It should be noted that “Do you work here?” is an example of a closed question. Open questions are those worded in a way that makes answering “yes” or “no” difficult for the respondent. Often, the answer to an open question is not contingent upon the query. The typical open question requires a response from the monologue, and can be answered in several different ways.

Closed questions are those requiring a precise answer: usually “yes” or “no.” Closed questions also address specifics, such as amounts, dates and times. Closed questions in the informational part of the interview should be avoided as far as possible. They are widely used for closing questions

Leading questions are questions that are framed in a way that evokes the respondent’s specific answer; these are questions that contain a suggested answer. Leading questions are most commonly used to confirm facts already known. This type of question gives the subject much less room to maneuver than an open or closed question, since these questions direct the subject to be answered in a specific way

Double-negative questions are questions within a single clause which have two forms of negation. Double-negative questions, or double-negative statements, are confusing and often suggest an opposite answer to the correct one. So they should not be used.

It should be noted that to improve the quality of the interview during the information-gathering phase start by asking questions that aren’t likely to make the respondent defensive or hostile.

It should be noted that genuine smiles usually involve the entire mouth; the upper half is confined to the false ones. People with disappointments tend to smirk rather than smile.

It should be noted that searches for bankruptcy filings, tax liens, and judgments respond to adverse financial information and credit capacity / worthiness issues.

It should be noted that Records from criminal courts may be used to expose past criminal concerns.Furthermore Employers should conduct background checks on the final candidates for open positions in advance of employment. Each job carries with it the risk of fraud or some other crime committed by the employee while in the employment

It should be noted that by use of data analytics in a large data environment, big data helps the investigator to analyze the entire data population instead of selecting a sample and to draw conclusions in case of a sampling error.

It should be noted that vendor invoices, email and user documents, human resources files, social media activity, corporate document repositories, and news feeds are an example of unstructured data and examples of structured data include sales records, payment or expense details, and financial reports.

Data mining is one of the most complex applications known as computer matching, also called data matching. This method includes two discrete data sets being compared to recognize ambiguous overlaps.

It should be noted that The target field of review should only be included, if limited and the other two factors that are included are:
i. Whether there is an expectation that a specific fraud occurs
ii. Some current criteria or expectations for fraud should be treated as a material

It should be noted that the included options are What specific data (e.g. fields, records) are available, Who produces and retains data, Where data is stored, Timing of data extraction (e.g. date range, cut-off dates/time), How data will be retrieved and processed by the fraud examiner, Data type, Storage/transfer process, Complete validation needed for authentication, How to verify data sources.

It should be noted that all the verification steps are correctly stated. Furthermore, Confirm data format in format-specific fields such as date fields and numeric fields, search for blank fields where information is to be entered, check for duplicate fields or documents, and confirm complete checks.

It should be noted that Direct data analysis software findings can not be used as court evidence that a crime has been committed or that a particular individual has been involved; they can help to recognize red flags associated with a wide range of frauds.

The program for data analysis helps the fraud investigator to centralize an investigation, relying less on others to collect data. The fraud investigator no longer has to rely on multiple sources for information because of the amount of information data software is able to sort through.

It should be noted that A positive r means the variables vary together in the same direction (positive slope). A negative r means the variables have an inverse relationship and the graph slopes down. Furthermore, the relation intensity between the two variables is indicated by the absolute value of r. For example, an absolute value of r 0, means no relation between the two variables

The higher the correlation coefficient will predict y for any given x, the more accurately the best-fit line. In addition, outliers are considered to be values that fall far outside the expected range (graphically, points that are far away from the best-fit axis. In some situations, the reasons for outliers are rational. But sometimes, an outlier is a sign of fraud.

Regression analysis is a sophisticated statistical technique that establishes a model relationship between a dependent variable and one or more independent variables using a set of documents. Regression analysis, for example, could be used to model and estimate the number of widgets produced based on the number A duration of significantly lower production output than expected on the basis of this model would be worth further review of materials and function used.

Benford’s Law distinguishes between natural and non-natural numbers, and it is important to understand the difference between the two forms as Benford’s Law can not be applied to non-natural numerical data sets

It should be noted that the data set should not consist of allocated numbers (e.g., account numbers, transaction numbers, buy order numbers or check numbers).

It should be noted that this is not an example of General Ledger Analysis but its an example of data analysis queries that can be performed to detect fraud by examining accounts receivable records.

It should be noted that the following option is not an example of accounts payable but an example of data analysis queries that can be performed to detect frauds through account receivable examinations.

It should be noted that the following is an example of data analysis queries that can be conducted by analyzing cash disbursement records to detect fraud.

It should be noted that text analytics software can categorize data to reveal fraud-indicating trends, feelings, and relationships. For example, an analysis of email communications may help fraud examiners gage the pressures/incentives, opportunities, and rationalizations that occur within an organization to commit fraud.

Fraud examiners use the linking analysis software to create visual representations (e.g. line charts showing connections) of data from multiple data sources to track money movement; illustrate complex networks; and discover interactions, patterns, trends, and relationships. It should be noted that demonstrate complex networks including social networks will be the correct example.

Digital investigations and digital forensics have to be kept separate. The combination of the two, particularly in cases where the perpetrator is already identified, would raise concerns about the objectivity of the forensic examination. In addition, combining the two could subject investigators to unwelcome scrutiny as to whether they suppressed exculpatory evidence which could have been found during a more objective investigator’s examination

It should be noted that deleted files and other unwritten data (e.g., deleted documents, images, connection or shortcut files, and email messages) can only be retrieved

It should be noted that all of the options given below regarding digital evidence are correctly stated.

It should be noted that system logs record operating system events including miscellaneous events and those caused during system initialization, such as hardware failures and controller failures. Many common types of system events include startup and shutdown, changes of configuration and device crashes

Most printers have a memory buffer — temporary job storage area waiting for printing — that could also contain important information. Nevertheless, the information contained in the memory buffer is usually restricted to data recently created and processed.

The volatile data collection of a computer system disappears and is irretrievable when the device is off, fraud examiners seizing a system will consider gathering live evidence when volatile data may be of interest to the investigation. Therefore, for example, if the information that a formally trained computer investigator needs to gather only resides in the form of volatile data stored in volatile computer memory such as RAM, and the data is supposed to vanish when the machine is shut down, the data should be collected live from the suspect computer

It should be noted that cloud computing complicates data collection as cloud storage systems are not local, thereby losing access to forensic data stored in the cloud.

The virtualization of servers impacts cloud users ‘ privacy. Because each cloud server contains multiple-customer information, researchers can not capture servers from the data center of a provider without violating the privacy of many other cloud clients. For example, if data from a cloud user is stored on a physical system that also contains data from another user that is required in a fraud investigation, the data from the first user may be collected accidentally during the fraud investigation. And in some jurisdictions the inadvertent access to data that is not important to an investigation that infringes privacy law.

Fraud examiners will not have access to the subject when monitoring illegal transactions but may have access to individuals close to the subject (e.g., friends, relatives, associates or coworkers).

It should be noted that to order to determine whether the subject has hidden properties, the tracing review will look for suspicious changes in the subject’s wages, spending, lifestyle, travel patterns, and conduct.

It should be noted that when a corrupt official is caught in the act of soliciting a bribe payment, the reports of witnesses and the recording of the official’s act are direct evidence of him. Such proof things are definitive to show the official tried to get an illegitimate reward.

It should be noted that if the fraud investigator has access to the financial records of the subject, they should be reviewed to Identify money deposited in the accounts, Discover money transferred through cash withdrawal, check, debit memo, or wire transfer from an account. Identify changes in account balances and declines. Build deposit and withdrawal summaries. Create a list of account-written reviews. Set a list of wire transfers to and from the account

It should be noted that a Check number should include the number of the financial instrument written on the account or credited to it. Nevertheless, there will be no check number on the following items: wire transaction, automated teller machine transaction, a point-of-sale transaction, and debit note. A deposited sum would include a check number unless the deposit was in cash, an incoming wire or a credit note

Negotiated (canceled) checks are checks that a bank or other financial institution has cleared and can be used as proof of payment. Once it is completed, a request is terminated and all correct accounts are credited. A search shall no longer be negotiable once it has been canceled.

The checks written on the subject’s account should be reviewed by fraud examiners while reviewing financial records. Checks written on the subject’s account that disclose various things, such as Other bank accounts held by the subject, The subject’s credit cards, the subject’s assets purchased, The locations of the subject’s assets (e.g. by paying real estate taxes, broker fees or utility payments), Loans obtained by the subject (which can provide useful leads through the applicant’s loan)

When a check is submitted via a bank, the check will be added to this area. The test dollar value should always be equal to the encoded MICR number. Such two figures should be compared to ensure the returned test was not altered by the subject.

It should be noted that deposits made with checks will classify the subject controls of individuals who conduct business with the subject and other bank accounts. Conversely, cash deposits can identify trends of the activities of the subject.

It should be noted that CDs are meant to be retained until maturity, at which point, together with the accrued interest, the money may be withdrawn. Most banks impose sanctions on money that has been withdrawn from a CD before maturity

It should be noted that fraud examiners should recognize even numbers of deposits, deposits made on regular dates, or deposits that can not be connected to valid sources of revenue. Valid deposits can be calculated by matching the company payroll details with the dates and amounts.

It should be noted that among the following options all of the options given below are correctly stated.

It should be noted that banks don’t make records and rarely know what the boxes contain, but banks generally  keep rental contract records and  Access records and entry logs

It should be noted that cash receipts. are issued when the customer gives money to the broker

It should be noted that the method of payment used can be found in Purchase and Sale Documents, not tax-related documents as tax-related documents can reveal the following info.
Where the subject works x The subject’s interest income x The subject’s dividend income x Information of the subject’s companies and partnerships x Revenue-producing property owned by the subject x Profits that the subject earns x Sources of income x Government identification number of the subject

It should be remembered that when the books and documents of the subject are not made available to the fraud investigator, he must therefore use an indirect approach to assess the income of the subject.

It should be noted that the net-worth method is based on the balance sheet model which is readily recognizable in the business world and will provide a complete financial image of a topic using the net-worth method.

It should be noted that in order to use the net-worth process, fraud examiners need to obtain information on the properties, liabilities and living expenses of the subject. These information can be found from a variety of sources, such as Real Estate records

It should be noted that all properties should be priced at cost, not at fair market value. Subsequent valuation or depreciation of properties shall be overlooked

It should be remembered that the calculation of expenses is closely connected with the measurement of net-worth; they account for variations of the same definition.

It should be noted that the expenditure method will be beneficial only when the subject operates through a cash basis instead of banking channels

Using Bank Deposit Analysis Method the income of the subject is calculated by evaluating the deposits of the subject to financial institutions, canceled checks and the currency transactions of the subject.

If a person transfers his or her assets to escape attempts by a creditor to collect against the asset, the transfer is fraudulent and voidable. A fraudulent transfer is a transfer made by a debtor to try to thwart the attempts of a borrower to collect against the asset.

A trust includes a trustee, a settlor, beneficiaries and a trust agreement. The settlor is the person who created the trust. The trustee or trustees are responsible for managing and upholding the terms and conditions of the trust. The beneficiaries are those who have the right to trust revenue or principal at the present time or in the future

An asset hider might choose to use a business to hide cash and other assets.

Many closely-held companies have assets that can be easily manipulated by their owners, making it easy to channel illegal funds.

Fraudsters also position them in different types of business structures to protect their assets from investors and conceal the source of the funds, including limited partnerships and international variants, entities, limited liability companies (LLCs) and international equivalents.

General partners have the duty of running the partnership, can assume liabilities on behalf of the partnership and have unlimited liability for the activities of the partnership. However, the responsibility of a limited partner is limited to the sum of his investment.

A limited partner’s liability, however, is restricted to the amount of his investment.

They must seek a payment order, which grants the creditor the right to receive any payments made to the partner in question. The borrower can not compel the partner to make distributions.