The Effect of Conflict of Interest on The Independence of Forensic Auditors in Fraud Investigation: A Case Study of KPPN City of Langsa
Keywords:
Conflict of Interest, Independence of Forensic Auditors, Investigation Fraud, KPPN Langsa City, Public Sector.Abstract
This study aims to analyze the influence of conflict of interest in the independence of forensic auditors and its impact on the effectiveness of fraud investigations . The case study was conducted at the State Treasury Service Office (KPPN) of Langsa City, which is an important entity in state financial management. The independence of forensic auditors is a key pillar in ensuring the objectivity and credibility of fraud investigation results . However, the potential for conflict of interest can threaten this independence, which in turn can hinder efforts to detect and handle fraud. Methods used in study This is approach quantitative with design causal explanatory. Initial data taken past questionnaire distributed to the auditor or the party in charge in supervision and investigation fraud KPPN Kota Langsa, and the techniques that will be applied is census (total sampling) or purposive sampling, depending on the number of population. Variable conflict interests, independence of forensic auditors, and tracing fraud will rated use Likert scale. The data that has been collected later will analyzed with technique statistics descriptive and inferential, including testing assumption classic as well as analysis regression simple or multiple, with help device soft statistics. Research result This expected can give proof empirical about to what extent does conflict of interest affect independence of forensic auditors in the environment sector public, especially the KPPN of Langsa City. More further research this will also identify How independence of forensic auditors contribute to effectiveness fraud investigation. Findings This expected can give implications practical for management of KPPN Langsa City and maker policy in formulate a strategy for mitigate conflict of interest, strengthen auditor independence, and improve capacity fraud investigation for accountability more state finances good.
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