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Going by the general definition of the term Forensic means application of scientific methods and techniques in the investigation process. Forensic Auditing is very different from Forensic accounting. Forensic accounting is like a Fraud investigation where the fraud is committed by employees, vendors, customers who are against the Business. Whereas Forensic Audit is required when there is fraud or crime for the Business. This may involve Shareholders, Owners, Management, Partners themselves indulging in Frauds. Forensic Audit Services are generally on Financial frauds. It requires the utmost expertise and knowledge in the field of accounting & auditing. Forensic Audits are ordered by external parties to gather the evidence. For e.g. Banks may order Forensic Audits on Non- Performing Assets, or for accounts where funds are not utilized by borrowers for the purpose for which they were borrowed, and so on.