Financial crimes such as tax evasion and money laundering have significantly impacted governments, causing trillions of dollars in losses. The IRS reports that tax evasion alone costs the U.S. nearly $1 trillion annually.
AI Startup IVIX Revolutionizes Financial Crime Detection
Tel Aviv-based AI startup IVIX believes that utilizing advanced technologies like AI and machine learning and public business activity databases can help government bodies uncover tax noncompliance and other financial misdeeds.
New algorithms take and analyze data from numerous sources.
By employing innovative algorithms to analyze data from various sources, IVIX identifies patterns and inconsistencies that may indicate possible tax evasion or fraudulent activities.
Adopting this technology by government agencies could result in efficient detection and tackling of financial crimes, leading to recovered lost revenue and a more compliant financial environment.
Founded in 2020 by Matan Fattal and Doron Passov, IVIX was established after Fattal realized the vast extent of financial crimes and the lack of technology to combat them while working at his cybersecurity startup, Silverfort.
Minimizing financial fraud risks and improve security measures
During a TechCrunch+ interview, Fattal expressed his shock at the problem’s size and the existing technical gap.
This realization inspired Fattal and Passov, who shared similar experiences with financial crimes, to create IVIX and focus on developing innovative solutions that could aid businesses and financial institutions in minimizing financial fraud risks and improve security measures against offenders.
Fattal also noticed that this technological inadequacy existed at both the state and federal levels, underscoring the need for significant enhancements and investments in digital infrastructures throughout all government sectors. Addressing these vulnerabilities would allow government agencies to serve the public better and perform their essential functions efficiently.
Federal Agencies, Plus the IRS Criminal Bureau, have secured contracts from IVIX
IVIX has secured contracts from several federal agencies, including the IRS’s criminal investigation bureau, in three years thanks to its state-of-the-art technology and digital forensics expertise. This success has led IVIX to become a trusted collaborator for federal agencies in detecting and probing financial crimes.
Don Fort, former chief of criminal investigations at the IRS has been hired
IVIX has also hired experienced professionals, such as Don Fort, former chief of criminal investigations at the IRS. Under Fort’s guidance, the company plans to reinforce its security measures and fraud prevention initiatives, ensuring the highest level of safety for users’ information and assets.
Furthermore, Fort’s extensive criminal investigation background will give the startup valuable insight to fine-tune its internal processes and regulatory compliance.
IVIX has secured a partnership with Insight Partners
Recently, IVIX completed a $12.5 million Series A funding round led by Insight Partners, which will support its continued growth and fight against financial crime. These funds will help IVIX improve its technological capabilities, grow its team, and scale internationally, ultimately increasing its effectiveness in detecting and preventing financial fraud.
Additionally, the partnership with Insight Partners will provide valuable resources and expertise, helping IVIX navigate the constantly changing landscape of financial risk management and compliance.
FAQ
What is IVIX, and what does it do?
IVIX is a Tel Aviv-based AI startup that utilizes advanced technologies such as AI and machine learning to identify potential tax evasion and financial fraud. They analyze data from public business activity databases and other sources, searching for patterns and inconsistencies that may indicate financial misdeeds.
By doing so, they aim to help government bodies recover lost revenue and foster a compliant financial environment.
Why was IVIX founded?
IVIX was founded in 2020 by Matan Fattal and Doron Passov after they realized the extent of financial crimes and the lack of technology to combat them. They were inspired to create IVIX to develop innovative solutions that could aid businesses, financial institutions, and government agencies minimize financial fraud risks and improve security measures against offenders.
What successes has IVIX experienced so far?
IVIX has secured contracts from several federal agencies, including the IRS’s criminal investigation bureau, in just three years due to its advanced technology and digital forensics expertise. This success has made IVIX a trusted collaborator for detecting and investigating financial crimes.
Who is Don Fort and what role does he play at IVIX?
Don Fort is the former chief of criminal investigations at the IRS and has joined IVIX to guide the company in strengthening its security measures and fraud prevention initiatives. His extensive background in criminal investigations also provides valuable insight to improve the startup’s internal processes and regulatory compliance.
What does the recent $12.5 million Series A funding round mean for IVIX?
The successful completion of the Series A funding round, led by Insight Partners, will support IVIX’s continued growth and fight against financial crime. The funds will help improve the startup’s technological capabilities, expand its team, and scale internationally.
Additionally, the partnership with Insight Partners offers valuable resources and expertise in navigating the constantly changing landscape of financial risk management and compliance.
First Reported on: techcrunch.com
Featured Image Credit: Photo by Tara Winstead; Pexels; Thank you!
