Detection of Village Fund Financial Fraud Through the Fraud Model Theory, Corporate Governance and Organizational Culture
Corresponding Author(s) : Wahyu Manuhara Putra
Prosiding International Conference on Sustainable Innovation (ICoSI),
Vol. 3 No. 2 (2023)
Abstract
Introduction - This research discusses fraudulent management of village funds which shows an increase from year to year. The analysis uses the pentagon Fraud model, corporate governance approach and organizational culture. Purpose - The purpose of this research is to determine the influence of the pentagon theory of fraud, corporate governance and organizational culture on village fund fraud. Methodology/Approach – The unit of analysis is village government officials in various districts in Indonesia. Using cluster and convenience method, this research was conducted in 9 districts, 18 sub-districts, 64 villages and involved 343 respondents. The type of data used is primary data taken using a questionnaire and analysed using multiple regression. Findings - Research findings have succeeded in confirming that the variables of competence and rationalization have an effect on fraudulent use of village funds, while the variables of financial pressure, ineffective supervision, arrogance, corporate governance and organizational culture have no effect on financial fraud in the management of village funds. Originality/Implications - The novelty of this research is that it uses a combination of various approaches that encourage or prevent fraud in the management of village funds. The implication is that every village government must improve organizational competence and update village officials' position regulations to reduce the level of financial fraud in managing village funds.
Keywords
Download Citation
Endnote/Zotero/Mendeley (RIS)BibTeX