Ineffective Monitoring Research Articles

Pengungkapan Fraudulent Financial Statement Pada Bank Umum Syariah

Abstract
 This research purpose to examine the effect on fraud diamond toward the fraudulent financial statement. This research uses sampel in islamic comersial banks that listed in financial service authority from 2015-2019. The number of population in this research are 14 islamic comersial bank with five years observation. Based on purpossive method, total of research samples are 55 financial statement. The hypothesis in this research is tested by multiplied regression analyze. The result of this research indicates that the financial stability and rationalization effect toward the fraudulent financial statement. However, financial target, external pressure, ineffective monitoring, and capability don’t effect toward the fraudulent financial statement.

MEASURING THE LEVEL OF FRAUD ON FINANCIAL STATEMENTS: MODEL OF FRAUD TRIANGLE (Case Studies on Companies Listed on the Indonesia Stock Exchange in 2014-2018)

This study aims to measure the level of fraudulent financial statements with the fraud triangle model. The independent variables are pressure, opportunity, rationalization, and the dependent variable is fraudulent financial statements. The population in this study is companies listed on the Indonesia Stock Exchange (IDX) in 2014-2018 with a sample of 100 companies. Data analysis techniques using multiple linear regression. The results show that the pressure with proxies the financial stability and financial target and the opportunity with proxy the nature of industry has significant effect on the financial statement fraud. Meanwhile, the opportunity with proxies the ineffective monitoring and rationalization have not significant effect on the financial statement fraudulent.

Peran Fraud Triangle dalam Mendeteksi Financial Statement Fraud di Perusahaan Perbankan ASEAN

This research aims to determine the effect of fraud triangle theory toward Financial statement fraud. Financial statement fraud is proxied by earnings management. Population in this study is non-Islamic commercial banking companies listed on SGX, MYX, SET, PSE and IDX. The sampling technique used purposive sampling. The total sample in the study was 66 non-Islamic commercial banking companies. The data analysis method used is multiple linear regression. The research results proved that Financial targets and change of auditors had a positive effect on Financial statement fraud while external pressure had a negative effect on Financial statement fraud. Financial stability and ineffective monitoring had no effect on Financial statement fraud. This research can be used as a reference by investors, the public, government and users of other financial statement information in order to detect Financial statement fraud through the fraud triangle theory.
 Keywords: Financial statement fraud; Earnings Management; Fraud Triangle.

Fraudulent Financial Statements Detection in Indonesian Shariah Bank

This study aims to detect fraudulent financial statements using the S.C.O.R.E. model in Indonesian Sharia Commercial Banks. This research uses quantitative research methods—hypothesis testing using a logistic regression analysis model. The research sample is 11 Shariah commercial banks registered with the Indonesian Financial Services Authority. These research results are financial targets, financial stability, external pressures, changes in directors, ineffective monitoring, and external auditors' changes who cannot detect fraudulent financial statements. However, the number of CEO pictures engraved in the annual report can detect fraudulent financial statements. The results of this study again show inconsistencies with the results of various previous studies. The research results confirm that the most common driving factors in cheating are feelings of rights and a desire for power/ego.

Contextualization of Forest Governance for Implementation of REDD+ in Bangladesh

Poor governance accelerates the deforestation and forest degradation through corruption in Bangladesh due to the enhancement of prevalent activities such as excessive collection of forests products, trafficking of logs out of reserve forests, land grabs by powerful actors, illegal encroachment of forests, etc. The study was conducted with a view to assessing the present scenario of the forest governance system based on five UN principles in Bangladesh which will be the driving force to the successful implementation of the REDD+. The study was conducted in Rangamati, Madhupur, and Sreemangal, through focus group discussion, key informants interview, and an online survey. The study shows that lack of transparency, accountability, and integrity is one of the main underlying drivers of deforestation and forest degradation. Restriction to accessing reports on fiscal activities, lack of laws and regulation concerning to public funds, lack of independent institution, ineffective monitoring and testing systems, and inadequate detection, investigation, and prosecution practices, etc. enhance the corruption in the forestry sector and the hindrances of effective REDD+ implementation in Bangladesh. The study suggested taking legal protection, engaging civil society and improving the organizational structures of the forest department to check the corruption in the forestry sector of Bangladesh.
 The Chittagong Univ. J. Sci. 40(1) : 148-177, 2019

ANALISIS FRAUD PENTAGON DALAM MENDETEKSI KECURANGAN LAPORAN KEUANGAN

This study aims to see the effect of Pentagon fraud on reporting fraudulent financialstatements.The variables of this research are Pentagon Fraud which consists offinancial stability, external pressure, financial targets, nature of the industry,ineffective monitoring, auditor turnover cycle, audit opinion, total accruals, changesin directors, number of CEO photos installed, number of CEO photos installed. ,dualism of positions, good corporate governance and fraudulent financialstatements. The sampling technique was purposive sampling. Secondary datasources. The data collection method uses the documentary method. The analysistechnique used is logistic regression analysis with a significance level of 5%. Theresults showed that financial targets, external certainty, political relations, have apositive and significant effect on fraudulent financial statements. Good CorporateGovernance has a negative and significant effect on fraudulent financial statements.Financial stability, external guarantees, ineffective monitoring, CEO image, dualismof positions, audit opinion have no significant positive effect on fraudulent financialstatements. The nature of the industry, the change of auditors, the change ofdirectors and TATA have a negative and insignificant effect on fraudulent financialreports. Pentagon fraud affected the fraudulent financial statements by 89.4%.10.6% The remaining 10.6% other supporting factors are not included in thisresearch model.

Factors Affecting Disclosure of Fraud in Islamic Commercial Banks in Indonesia 2014-2018

Acts of fraud that occurred in several Islamic banks for sometimes are a proof that there is no guarantee of any institution that can be free from fraud cases. As an effort to reduce the level of fraud that occurs in Islamic banks, it is necessary to implement good corporate governance, good supervision, and implementation of an anti-fraud system that can be realized through the application of a whistleblowing system. This study aims to analyze the factors that influence fraud disclosure at Islamic Commercial Banks in Indonesia in 2014-2018. The objects of this research are seven Islamic Commercial Banks (BUS) registered with the Financial Services Authority (OJK) from the 2014-2018 period. The independent variables used in this study are Good Corporate Governance, whistleblowing system, and effective monitoring as measured by the ratio between the number of Independent Commissioners and the total number of Commissioners. The analysis method used in this research is panel data regression. The results of this study indicate that the independent variable application of the whistleblowing system and the value of Good Corporate Governance self-assessment has a positive effect on the disclosure of fraud in Islamic Commercial Banks, while the independent variable ineffective monitoring does not affect on the disclosure of fraud. This study has various limitations, one of which is limited data since it only focuses on Islamic commercial banks. The suggestions from this study are Islamic banks in Indonesia need to implement a whistleblowing system as an effort to prevent fraud, this is evidenced by the whistleblowing system variable influencing the disclosure of fraud in Islamic banks and it must improve the implementation of corporate governance to make it better. It can be seen from the composite value of the self-assessment results of the GCG BUS implementation. There are still many composite scores of 3 (quite good), even though the GCG variable has a positive and significant effect on fraud disclosure.

PENGUJIAN FRAUD PENTAGON TERHADAP RESIKO FINANCIAL FRAUDULENT REPORTING

The research to examine how much financial stability, financial target, external pressure, nature of industry, ineffective monitoring, rationalization, capability and oship have effect partially and simultaneously to fraud pentagon. The research subjects used were manufacturing companies and were listed on the BEI in the 2014-2018 period. The results of this study are financial stability has a significant influence on fraudulent financial reporting. Rationalization has a significant effect on fraudulent financial reporting. Arrogance partially has a significant influence on fraudulent financial statements, financial target, external pressure, nature of industry, ineffective monitoring, rationalization, capability and oship simultaneously have a significant effect on fraudulent financial statements.
 Key Words: Financial performance, Efficiency Operation, Firm Growth, Leverage, Fraud

Pengaruh fraud pentagon dalam mendeteksi fraudulent financial reporting

Purpose: This study aims to provide empirical evidence of the influence of financial targets, financial stability, external pressure, institutional ownership, ineffective monitoring, quality of external audits, change in auditors, change of director and frequent number of CEO's picture in detecting fraudulent financial reporting. Research methodology: This study proves that financial targets, external pressure, change in auditors, and frequent numbers of CEO's picture have an effect on detecting fraudulent financial reporting while financial stability, institutional ownership, ineffective monitoring, quality of external audit, and change of director are not influential in detecting fraudulent financial reporting. Results: This study proves that financial targets, external pressure, change in auditors, and frequent numbers of CEO's picture have an effect on detecting fraudulent financial reporting while financial stability, institutional ownership, ineffective monitoring, quality of external audit, and change of director are not influential in detecting fraudulent financial reporting. Limitations: This study used logistic regression analysis using a combined model of Beneish M-Score and Altman Z-Score that still contained an inaccurate classification of fraud and non-fraud. In the research, the R-Square value was low which meant that the ability of independent variables to influence the dependent variable was still low. Contribution: This research is expected to enrich the literature and references that can be used as a reference in other studies as well as in the company. The results of this study are expected to provide a deeper understanding of how to predict fraudulent financial reporting using the Beneish M-Score and Altman Z-Score. Keywords: Fraudulent financial reporting, Fraud pentagon, Beneish M-Score, Altman Z-Score

Appraisal of the problems affecting microfinance banks in emerging economies and the mitigating factors: Nigeria’s experience

This study appraised the problems of microfinance banks in Nigeria and evaluated the mitigating factors. Survey research design through the administration of structured questionnaire was adopted for data collection. The targeted population was 250 microfinance banks operators and micro, small and medium entrepreneurs. The respondents validly returned 223 copies of the questionnaire. Descriptive statistics like table, mean, standard deviation and percentages were used for data analyses. The findings revealed that high operating and financial expenses (99.6%); low revenue base (99.6%); lack of effective corporate governance (99.6%); lack of standard and uniformity in financial transactions (99.6%); insiders’ abuse (99.6%); and ineffective monitoring of the allocated funds to ensure the utilisation as intended (99.6%) are highly critical among the twenty identified problem confronting microfinance banks in Nigeria. The results also showed that majority of the respondents believed that among the twenty identified mitigating factors to the problems of MFBs in Nigeria, timely preparation of financial statements (99.6%); adoption of cost efficiency mechanism (99.6%); investing more on information technology for enhancement of operations (99.6%); standardisation of the quality, experience and qualifications of management of microfinance (99.6%); and effective background check of staff and customers are the most important. The study, therefore, recommends the need for government to evaluate these findings and timely deploy the mitigating factors for the enhancement of the growth of microfinance banks in Nigeria.

ANALISIS FRAUD TRIANGLE UNTUK MENDETEKSI FINANCIAL STATEMENT FRAUD

This study is aimed to analyze the effect of fraud triangle to financial statement fraud on the manufacture companies listed on the Indonesian Stock Exchange in the period 2014-2018. Fraud Triangle on this study are pressure that proxied by financial target, financial stability, external pressure and personal financial need. Opportunity that proxied by ineffective monitoring and nature of industry. Rationalization that proxied by change of auditor. The sampling method in this study is purposive sampling. Total number of sample in this study are 112 samples. 
 Financial statement fraud is obtained by Fscore. The analytical techniques conducted by descriptif statistic dan classical assumption test and also hypothesis was tested using multiple linier regresional method, Adjusted R2 test, F test and t test. The result showed that financial target, external pressure, personal financial and nature of industry significantly affect the financial statement fraud. Meanwhile, financial stability, ineffective monitoring and rationalization have not affected financial statement fraud

THE EFFECT OF FRAUD TRIANGLE IN DETECTING FINANCIAL STATEMENT FRAUD

Financial statements are a form of a report presented by a company that shows the financial performance of the company. In many cases of financial report fraud committed by Public Accounting Firm, they beautify the financial statements so that many investors are interested in the company. Therefore, this study aims to examine the influence of the Fraud Triangle factor in detecting fraudulent financial statements. The object of this study uses the financial statements of the Cigarettes and Cosmetics subsectors that are listed on the Indonesia Stock Exchange in the period 2016-2018. This study uses thirty sample data using purposive methods based on criteria. Data analysis using logistic linear regression analysis. The results showed that Rationalization had a significant effect on financial statement fraud. Meanwhile, Financial Stability, External Pressure, Personal Financial Need, Financial Targets, Ineffective Monitoring, Nature of Industry have no significant effect on financial statement fraud.Keywords: Fraud, Pressure, Opportunity, Rationalization, Financial Statement Fraud

PENGARUH FAKTOR – FAKTOR FRAUD PENTAGON TERHADAP FRAUDULENT FINACIAL REPORTING PADA PERUSAHAAN PERTAMBANGAN YANG TERDAFTAR DI BURSA EFEK INDONESIA TAHUN 2016 - 2018

Fraud is a presentation of financial statements that is intentionally made incorrect (contains misstatements). This is being done so that the company looks to have a good financial performance in front of the users of financial statements. There are various factors that cause the occurrence of fraudulent financial reporting, therefore in this study, researchers tried to detect fraudulent financial reporting by using fraud pentagon. This research was conducted at mining companies listed on the Indonesia Stock Exchange in 2016 - 2018. The sample selection technique in this study used purposive sampling to obtain 165 samples. The data analysis technique used is multiple linear regression analysis. The results of this study reveal the variables that have a significant effect on fraudulent financial reporting are Financial Targets, External Pressure, Auditor's Opinion, and Dualism. While Ineffective Monitoring, Quality of External Audit, and Change of Directors do not affect fraudulent financial reporting.

ANALISIS FRAUD DIAMOND DALAM DETERMINASI PENDETEKSIAN KECURANGAN LAPORAN KEUANGAN DENGAN FAMILY OWNERSHIP SEBAGAI VARIABEL MODERASI

Abstract - The purpose of this research is to determine the influence of financial targets, ineffective monitoring, rationalization, and capability of fraud detection of financial statements. This research also uses family ownership as a moderation variable. The fraudulent financial reporting in this study were measured using earnings management. The population in this research is a banking company listed on the Indonesia Stock Exchange (IDX) for the period 2016-2018. The amount of samples is 123 samples for Model 1 and Model 2. The analytical methods used are multiple linear regression analyses, coesfisien determinations, simultan test (test F) and partial test (Test T) with application SPSS (Statistical Product and Service Solution) version 25th . The research result indicates that financial target, ineffective monitoring, rationalization, and capability have a significant influence on the detection of fraud financial statements and family ownership can moderate variable relationships Capability change of Directors on fraud detection of financial statements. Keywords: fraudulent financial reporting , fraud diamond, family ownership

Investigating causes of informal market for fresh meat: the case of Tirana prefecture, Albania

This study is about the level and factors of informality concerning the fresh meat market in the prefecture of Tirana-Albania. Sample data for 200 households have been used to carry out the study. Descriptive statistics, linear and logistic multinomial econometric modeling techniques are used to analyze the data. The level of informality is 34%, while its major factors are the level of price, as well as safety and quality of meat. Other determinants are household’s income and consumption quantity and ineffective public monitoring system, while the education of the household’s header seems of dubious effect. Important policy implications would be improving the legislation, regulations and the tax system performance. Other recommendations would be improving the rule of law to prevent informal selling and stimulate legal trade. Design and maintain a pro-poor business policy for a positive investment climate encouraging employment and income generation is a priority. Rigorous control of production standards and stimulation of good farming practices as well as improving detection and the use of repressive measures would be some necessities but also tough challenges for the future.

AnalisisPengaruh FraudPentagonUntukMendeteksi Manipulasi Laporan Keuangan

This research is to find out the influence of fraud pentagon for detection fraudulent financial reporting. Fraud Pentagon as independent variable which has five elements, namely: (1) Pressure, which proxied by financial stability, external pressure, and good corporate governance; (2) Opportunity, proxied with ineffective monitoring; ( 3) Rationalization, which proxied by change in auditors; ( 4) Competence, proxied with change of directors; ( 5) Arrogance, which proxied by political connection. Whereas for dependent variable is fraudulent financial reporting as measured by fraud score model(F-Score). The sample of this research are 21 State-Owned Enterprises (BUMN) who reported annual report on the company’s website period 2013-2017. This research use multiple linear regression method with 23 SPSS Software. This research shows that financial stability, external pressure, and change in auditor are significant in detecting fraudulent financial reporting. These variabel represent two elements in fraud pentagon, namely pressure and rationalization. And than good corporate governance, ineffective monitoring, change of directors, and political connection are not significant in detecting fraudulent financial reporting. DOI: 10.26905/ap.v6i1.4007

Probing the Existence, Credibility and Implementation of Occupational Health and Safety Practices in Paramilitary Organisations in Nigeria

Occupational Health and Safety Management is an area that is concerned with ensuring the safety, health and welfare of people engaged in work. Workers in paramilitary organisations in Nigeria are much more likely than their counterparts in other agencies to be exposed to poor working environments, health and environmental hazards. To this end, the need to assess the level of implementation and problems of health and safety practices in paramilitary organisations in Nigeria becomes very paramount. The major objective of this study was to the assess occupational health and safety policies and programmes in paramilitary organisations in Nigeria. The study observed that the strategic problems of occupational health and safety in these organisations are ineffective monitoring and enforcement of occupational health and safety policies and inadequate budgetary allocation. The study recommended that adequate budgetary provision should be encouraged and officers should be adequately trained to enable them take proactive measures.

Financial Stability, Leverage, Ineffective Monitoring, Independent Audit Committee, and the Fraudulent Financial Statement

This study aims to develop prior empirical model research of factors influence toward fraudulent financial statement and determine some element of fraud triangle that are financial stability, Leverage , ineffective monitoring and one element of Good Corporate Governance that is independent audit committee influence to fraudulent financial statement. This research topic is important because investors need earnings information as a basic for making investment decision and fraudulent financial statement may affect quality of earnings information received by investors. Data obtained from financial statement of mining company period 2011-2015, data were analyzed with multiple linier regressions with 150 samples collected by purposive sampling technique. Then the authors used Micro soft Excel and SPSS version 24 for processing and analyzing samples. The results showed only financial stability that has a significant influence on fraudulent financial statement, while Leverage, ineffective monitoring and independent audit committee partially has not significant influence toward fraudulent financial statement.

Challenges in health service delivery under public-private partnership in Tanzania: stakeholders\u2019 views from Dar es Salaam region

BackgroundPublic-private partnership in the health sector was introduced to improve the delivery of health services in Tanzania. Contrary, the expected outcomes have not been fully realised. This study aimed at investigating challenges encountered in implementing public-private partnership institutional arrangements in health service delivery in Kinondoni Municipality, Dar es Salaam, Tanzania.MethodsA qualitative case study design was employed, where in-depth interviews with stakeholders were held and document reviews conducted. Fourteen (n = 14) participants engaged in this study. Eight (n = 8) and six (n = 6) of the fourteen participants were from the public and private sector respectively. The thematic approach was used to analyse data, and ethical principles in the research process were upheld.ResultsFindings revealed that although public-private partnerships are hailed for supplementing the government’s efforts in the provision of health services, institutional arrangements for the smooth provision of these services are lacking. Several challenges encumber smooth provision of health services and these include inadequate resources, ineffective monitoring and evaluation, and insufficient consultations between partners.ConclusionInadequate legal and policy framework, or ineffective implementation practices may influence challenges facing institutional arrangements for public-private partnerships. Therefore, strengthening of public-private partnerships is recommended to improve implementation mechanisms and practices such as adherence to partnership agreements and compliance to the policies, laws and regulations.

Pengaruh Faktor Tekanan, Peluang, Rasionalisasi, Kompetensi, dan Arogansi Terhadap Kecurangan Laporan Keuangan

This study was to examine the influences of the fraud pentagon theory’s factors towards the financial statement fraud on banking listed in BEI for the period of 2014-2018. This study consisted of nine independent variables. Four variables of pressure (financial stability, external pressure, financial targets, personal financial needs). Two variables of the opportunity (nature of industry, ineffectiveness of monitoring). And a variable of rationalization, competence, and arrogance. Based on the results of Beneish M-Model analysis, out of 43 banks, 28 of them were indicated to have manipulated their financial statements during the study period. Meanwhile, the results of logistic regression analysis showed a positive influence of financial stability (ACHANGE), personal financial needs (OSHIP), nature of the industry (RECEIVABLE), ineffective monitoring (IND), competence (DIRCHANGE), and arrogance (CEOPIC) on financial statement fraud, while external pressures (LEV), financial targets (ROA), and rationalization (AUDCHANGE) have a negative effect on financial statement fraud