EFFECTIVE STRATEGIES IN PREVENTING FRAUDULENT FINANCIAL REPORTING IN THE CORPORATE SECTOR

Asmaul Husna, Muhammad Arifin Lubis, Muhammad Ruslan

Abstract


Financial reporting fraud is one of the biggest challenges facing the corporate sector, with significant impacts on investor confidence, market stability, and economic growth. The background of this research focuses on the increasing cases of financial reporting fraud in recent years, as reported by regulatory bodies and independent auditors. This research aims to identify effective strategies to prevent such fraud by examining corporate governance practices, internal oversight mechanisms, and the role of external auditors in ensuring transparency and accountability. This research also explores the main challenges faced by companies in implementing effective control systems, such as a lack of management integrity and a weak ethical culture. By providing practical and academic insights, this research is expected to help corporations design better policies to prevent financial reporting fraud while strengthening public trust in the corporate sector.

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DOI: https://doi.org/10.3059/insis.v0i0.24241

DOI (PDF): https://doi.org/10.3059/insis.v0i0.24241.g13331

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