Forensic Accounting and Compliance Audit to Reduce the Number of Financial Fraud in Local Government

DOI

10.2991/aebmr.k.220104.003How to use a DOI?

Keywords

White collar crime cases; Forensic Accounting; Audit Investigative; white collar crime cases

Abstract

One of the corruption cases that has been revealed by the BPK is the Century Bank case. Report The results of a follow-up investigation (forensic audit) conducted by the Supreme Audit Agency of the Republic of Indonesia on PT Bank Century Tbk, strengthen the results of the previous examination (stage I investigative audit) which revealed allegations of state financial losses. The case of the loss of Bank Century money handled by the BPK is one of the frauds that is categorized as a white collar crime. These cases were carried out by people who have positions and authority to make vital decisions so that it is not easy for BPK to uncover the case. In breaking up the Century Bank case, BPK used an advanced investigative method (forensic accounting) because this method was considered to be able to examine in detail, be more in-depth and reliable in uncovering white collar crime cases. The use of the combination of investigative auditing and forensic accounting as a follow-up to the weaknesses found in the design and implementation of the fraud control plan as well as the complaints received is the use of careful accounting audit techniques and methods, sharp logic and problem analysis, as well as creativity and innovation in thinking. The samples taken were all 33 districts in North Sumatra Province. Data is taken secondary data. The results of the qualitative discussion of the secondary data collected show that the use of fraud detection with audit investigations and forensic accounting is very useful so that fraud can be found correctly. Relevant parties such as Bawasda or regional Inspectorates, BPKP, BPK, ICW and the KPK collect data and sufficient evidence so that the data obtained can be strong enough to support in conveying that the Regency Government or Regent committed fraud. Submitting quarterly, semi-annual, and annual Budget and Expenditure data collection provided by the Regency Government so that the data is neatly organized and interconnected and easy to control.

Copyright

© 2022 The Authors. Published by Atlantis Press International B.V.

Open Access

This is an open access article under the CC BY-NC license.

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TY  - CONF
AU  - Anggriyani
AU  - Muhammad Yusuf
AU  - Kornelius Harefa
PY  - 2022
DA  - 2022/01/17
TI  - Forensic Accounting and Compliance Audit to Reduce the Number of Financial Fraud in Local Government
BT  - Proceedings of the 2nd International Conference of Strategic Issues on Economics, Business and, Education (ICoSIEBE 2021)
PB  - Atlantis Press
SP  - 18
EP  - 29
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.220104.003
DO  - 10.2991/aebmr.k.220104.003
ID  - 2022
ER  -