Investigative Due Diligence - Individual & Entity Research

Individual Research

The following are suggested focus areas which would comprise the research performed on individuals:

  • Business Affiliations – Corporate entities with which an individual is currently or has been affiliated.

  • Professional Licenses – Professional licenses maintained by the individual and any potential disciplinary or sanction history associated with a license.
  • Charitable Giving/Foundations – IRS filings which will identify whether an individual has established a foundation through which it has provided charitable donations.
  • SEC Filings – SEC filings which will identify material ownership in a publicly traded company.
  • Regulatory Sanctions – Whether an individual has ever been the subject of an inquiry or an investigation and sanctioned by a regulatory authority, to include the SEC and FINRA.
  • United States Tax Court – Whether an individual has ever been identified as having a tax deficiency that was subsequently litigated in this court of record.
  • Global Security – A database containing the names of heightened-risk individuals, politically exposed persons and corporate entities compiled from sanctions lists, alerts, and watch lists issued by financial regulators and law enforcement agencies of many nations.
  • System for Award Management – A database containing a list of individuals and companies who have been excluded from obtaining federal contracts, federal assistance, and certain financial and nonfinancial assistance and benefits.
  • Bankruptcies, Liens and Judgments – Whether an individual has ever filed for Chapter 7 or 13 bankruptcy protection.  In addition, this search will identify whether an individual has ever been named as a debtor in a lien or judgment.
  • Criminal History – Whether an individual has ever been named as a defendant in a criminal action.  This will be performed on both a federal and state level where the individual has resided and/or been employed.
  • Sexual Offender - The National Sex Offender Registry maintained by the United States Department of Justice, as well as all of the state sexual offender databases, where an individual has maintained residence or employment histories will be searched.
  • Civil Litigation – Whether an individual has been named in a civil filing.  This will be performed on both a federal and state level where the individual has resided and/or been employed.
  • Media – A search of news publications and the Internet, including international, national, and local newspapers, magazines, trade and industry journals, websites, broadcast transcripts, and wire reports.
  • Publications – A search of all publications and/or editorials works.
  • Education – Verification of educational credentials and receipt of degrees.
  • Uniform Commercial Code – Those filings in compliance with the Uniform Commercial Code, which will identify both debtor and creditor information for an individual.

In addition to the aforementioned areas, research can also include, but not be limited to, employment history, credit check, driver’s license, property/motor vehicle ownership and others.

It should be noted that research on individuals who are the subject of a background search, can best be performed when a full name, including maiden name where appropriate, current home address, and date of birth are available.

Should a credit check be requested for an individual, a signed release is required.  It is further noted that in some instances, signed releases are also required to confirm educational credentials.

Entity Research

The following are suggested focus areas which would comprise the research performed on entities:

  • Dun and Bradstreet - Dun & Bradstreet (“D&B”) maintains a database of over 200 million companies using a variety of sources including public records, trade references, newspapers and publications, telephone interviews and others.
  • Business Affiliations – Corporate entities with which a business is currently or has been affiliated.
  • Industry Regulation – Any sanctions or disciplinary actions taken against any entity by industry regulators including, but not limited to, the Food and Drug Administration and the U.S. Department of Agriculture.
  • Professional Licenses – Professional licenses maintained by the entity and any potential disciplinary or sanction history associated with a license.
  • Charitable Giving/Foundations – Internal Revenue Service (“IRS”) filings which will identify whether the entity has established a foundation through which it has provided charitable donations.
  • SEC Filings – Securities and Exchange Commission (“SEC”) filings which will identify material ownership in a publicly traded company.
  • Regulatory Sanctions – Whether an entity has ever been the subject of an inquiry or an investigation and sanctioned by a regulatory authority, to include the SEC and FINRA.
  • United States Tax Court – Whether the entity has ever been identified as having a tax deficiency that was subsequently litigated in this court of record.
  • Global Security – A database containing the names of heightened-risk individuals, politically exposed persons and corporate entities compiled from sanctions lists, alerts, and watch lists issued by financial regulators and law enforcement agencies of many nations.
  • System for Award Management – A database containing a list of individuals and companies who have been excluded from obtaining federal contracts, federal assistance, and certain financial and nonfinancial assistance and benefits.
  • Better Business Bureau – Information compiled on business reliability, alerts the public to frauds against consumers and businesses, and information on ethical business practices.
  • Bankruptcies, Liens and Judgments – Whether an entity has ever filed for Chapter 7 or 11 bankruptcy protection.  In addition, this search will identify whether an entity has ever been named as a debtor in a lien or judgment.
  • Criminal History – Whether an entity has ever been named as a defendant in a criminal action.  This will be performed on both a federal and state level, where the company is incorporated and/or currently headquartered.
  • Civil Litigation – Whether an entity has been named in a civil filing.  This will be performed on both a federal and state level, where the company is incorporated or currently headquartered.
  • Media – A search of news publications and the Internet, including international, national, and local newspapers, magazines, trade and industry journals, websites, broadcast transcripts, and wire reports.
  • Uniform Commercial Code – Those filings in compliance with the Uniform Commercial Code, which will identify both debtor and creditor information for an entity.