Literature Review : The Effect of Forensic Audit, Investigative Audit, Judgment Professionalism, Independence and Internal Control on Fraud Disclosure

Della Chastika; Rara Ivanka; M. Fadlan Irfan Damanik; Handriyani Dwilita

doi:10.61132/ijems.v2i1.448

Authors

Della Chastika Universitas Pembangunan Panca Budi
Rara Ivanka Universitas Pembangunan Panca Budi
M. Fadlan Irfan Damanik Universitas Pembangunan Panca Budi
Handriyani Dwilita Universitas Pembangunan Panca Budi

DOI:

https://doi.org/10.61132/ijems.v2i1.448

Keywords:

Forensic Audit, Investigative Audit, Judgment Professionalism, Auditor Independence, Internal Control

Abstract

This study aims to analyze factors that influence fraud disclosure . Fraud, or fraudulent acts, have become a significant problem in various sectors in Indonesia, especially with the dominance of corruption cases. This widespread corruption has a negative impact on the country's economy and public trust in institutions. Previous studies have shown that forensic audits, with an analytical approach to financial evidence, and investigative audits, which focus on thorough investigation procedures, significantly contribute to fraud disclosure. The professionalism of auditor judgment plays a role in ensuring that audit decisions are based on accurate analysis, while auditor independence is important to maintain integrity and objectivity in carrying out audits. In addition, internal control helps prevent and detect fraud early on. This study uses a qualitative method with a literature review approach sourced from trusted journals and scientific publications. The results of the study show that the integration of these factors can increase the effectiveness of fraud disclosure. These findings also emphasize the importance of implementing modern technology, such as big data analytics and artificial intelligence, to strengthen the audit system. The conclusion of this study suggests the importance of a combination of various audit elements to support better organizational oversight. The results of this study indicate that forensic audits, investigative audits, professional judgment, auditor independence, and internal control have a positive effect on fraud disclosure.

Downloads

Download data is not yet available.

References

ACFE Indonesia. (2016). Indonesia fraud survey 2016. ACFE Indonesia Chapter.

Andini, S., Amiruddin, A., & Pontoh, G. T. (2021). The effect of competence, independence, and time pressure of investigative auditors on fraud disclosure. Accrual: Journal of Contemporary Business and Accounting, 14(2), 151–162. https://doi.org/10.26487/akrual.v14i2.14812

Astuti, N. P. S. (2013). The role of forensic audit in eradicating corruption in Indonesia. AKUNESA Accounting Journal, 2(1), 1–20. https://ejournal.unesa.ac.id/index.php/jurnal-akuntansi/article/view/6673

Cendana, K., Aditama, R., & Sastro, G. (2024). The influence of internal audit and employee performance on internal control and its impact on fraud prevention at PT. Commit Trans Angkasa using the path analysis method. Lebesgue Journal: Scientific Journal of Mathematics Education, Mathematics and Statistics, 5(1), 120–141. https://doi.org/10.46306/lb.v5i1.529

Dianto, A. (2023). The influence of forensic accounting, investigative audit, professional judgment, and whistleblower on fraud disclosure. Journal of Accounting Balance Sheet, 1(2), 11–23.

Ewiantika, A. S. (2019). The effect of forensic audit, investigative audit, and professional judgment on fraud disclosure with spiritual intelligence as a moderating variable (Representative study of BPKP of South Sulawesi Province), 1–23.

Festus, F., EID, P. H., Njanike, K., Dube, T., Mashayanye, E., Freeman, R. B., et al. (2015). The effectiveness of forensic auditing in detecting, investigating, and preventing bank frauds. Journal of Accounting, 2(1), 1–19. https://doi.org/10.23887/jia.v1i1.9984

Kristanti, O., & Kuntadi, C. (2022). Literature review: The influence of forensic audit, investigative audit, and auditor competence on fraud disclosure. SENTRI: Scientific Research Journal, 1(3), 840–848. https://doi.org/10.55681/sentri.v1i3.295

Kuntadi, C., Isnaini, R. S. F., & Pramukty, R. (2022). The influence of forensic accounting, investigative audit, independence, and professional skepticism on fraud disclosure. SENTRI: Scientific Research Journal, 2(1), 250–259. https://doi.org/10.55681/sentri.v2i1.465

Lutfi, M., Mas'ud, M., & Rahim, S. (2023). The influence of forensic audit, investigative audit, and professional judgment on fraud disclosure at the South Sulawesi BPKP Representative Office. SEIKO: Journal of ..., 6(2), 459–478. https://journal.stieamkop.ac.id/index.php/seiko/article/view/5232

Mamahit, A. I., & Urumsah, D. (2018). Accounting department, Economic Faculty, Islamic University of Indonesia, Prof. Ace Partadireja Building – Condongcatur Campus North Ring Road, Depok, Sleman, Yogyakarta 55283, Indonesia DOI: https://doi.org/10.33005/jasf.v1i2.43 Journal of Accounting and Strategic Finance, 1(02), 153–162.

Nurannisa, D., Purnamasari, P., & Oktaroza, M. L. (2021). The influence of professional judgment on fraud disclosure with spiritual intelligence as a moderating variable. Accounting Proceedings, 6(2), 617–620.

Pamungkas, W., & Jaeni. (2022). The influence of forensic accounting, investigative audit, independence, and professional skepticism on disclosure. Scientific Journal of Accounting Computerization, 15, 99–109.

Panggabean, A. K., & Pesudo, D. (2023). The role of forensic audit in efforts to disclose corruption in Indonesia (Case study at the Riau representative office of the Financial and Development Supervisory Agency). Journal of Accounting and Taxation, 23(2), 1–14. http://jurnal.stie-aas.ac.id/index.php/jap

Pattinaja, M., Leatemia, E., Laitupa, M. F., Putuhena, H., & Emarsye, P. (2022). The effect of professional judgment and professional skepticism on the ability of government internal auditors to detect fraud. Management Studies and Entrepreneurship Journal, 3(5), 3306–3316.

Pramesti, S. W., Dani, & Kuntadi, C. (2022). Literature review: The influence of forensic accounting, investigative audit, and independence on fraud disclosure. Jurnal Economina, 1(3), 670–678. https://doi.org/10.55681/economina.v1i3.158

Pujilestari, K., & Machdar, N. M. (2024). The effect of forensic accounting, investigative audit, and auditor independence on fraud disclosure. MUQADDIMAH: Journal of Economics, Management, Accounting and Business, 2(3), 18–27. https://doi.org/10.59246/muqaddimah.v2i3.849

Putri, C. M., & Wahyundaru, S. D. (2020). Implementation of internal control, investigative audit, experience, professionalism, and forensic accounting that influence fraud disclosure. Proceedings of the 3rd Unissua Student Scientific Conference (KIMU), 3, 609–627.

Putri, T. E., Kuntadi, C., & Pramukty, R. (2023). Factors influencing fraud prevention: The role of internal audit, internal control system, and organizational commitment. Jurnal Economina, 2(7), 1789–1802. https://doi.org/10.55681/economina.v2i7.674

Putro, H. C. (2023). Research and development of accounting science with qualitative approach methodology. AL-MIKRAJ Journal of Islamic Studies and Humanities, 4(1), 806–813. https://doi.org/10.37680/almikraj.v4i1.4087

Ratih, C. N., Ayu, I. D., & Sisdyani, E. A. (2023). Forensic audit, investigative audit, and professionalism towards fraud disclosure at BPKP. E-Journal of Accounting, 33(1), 145. https://doi.org/10.24843/eja.2023.v33.i01.p11

Sandoria, F. W., & Pangaribuan, L. (2020). The effect of experience, auditor fees, professionalism and auditor independence of Jakarta public accounting firms on the ability to disclose fraud. Journal of Accounting, 9(2), 93–111. https://doi.org/10.46806/ja.v9i2.763

Sapitri, S., Natasya, 1, & Putri, A. (2024). The effect of audit investigation, independence on fraud disclosure. Scientific Journal of Economic Management and Accounting, 1(3), 159–164.

Septiana, N., Saifudin, S., & Trilestari, R. D. I. (2024). Fraud disclosure: A systematic literature review approach. Solutions, 22(3), 227. https://doi.org/10.26623/slsi.v22i3.7810

Tambunan, A. S., Afrianti, A., & Muna, K. (2024). The effect of investigative audit on fraud prevention and disclosure. Applied Economics and Accounting Studies, 1(2), 82–90. https://doi.org/10.61132/keat.v1i2.130

Wiratmaja, I. D. N. (2017). Forensic accounting in efforts to eradicate corruption. Al Daulah: Journal of Criminal and Constitutional Law, 6(2), 199–205. https://doi.org/10.24252/ad.v6i2.4876

Wulandari, D. N., & Nuryanto, M. (2020). The influence of forensic accounting and investigative audit on disclosure of financial reporting fraud (Study at the Audit Board of the Republic of Indonesia). Mercu Buana Accounting Research Journal.

Ziah, S. U., & Kuntadi, C. (2023). The effect of forensic accounting ability and internal control of investigation audit on fraud disclosure (Study at BPKP Makassar Office). Jurnal Economina, 2(2), 622–629. https://doi.org/10.55681/economina.v2i2.341