• Journal of the Korea Society of Computer and Information
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• v.21 no.12
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• pp.189-196
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• 2016

In this paper, I propose monetary penalties imposed on firms sanctioned by the Financial Supervisory Service for fraudulent financial reporting in accounting and auditing enforcement release(FSS-sanctioned fraud firms) should be disclosed to the notes of financial statement of the firms. Disclosing to the notes of financial statement for FSS-sanctioned fraud firms is an effective way to inform all the related parties of the information which affects the value of the corporation. Even though monetary penalties can affect the value of the firms, however, this study suggests that monetary penalties imposed on the fraud firms have a question on the effectiveness of the sanctions. In addition, this study finds that the magnitude of the market reactions between the fraud firms imposed by monetary penalties and the fraud firms imposed by non-monetary penalties has no difference. Based on these results, the information of FSS-sanctioned fraud firms should be disclosed to the notes of financial statements to have the market react effectively.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.7
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• pp.457-468
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• 2021

This study seeks to examine the effects of fraud management accounting on organizational value creation of listed firms in Thailand through internal audit function and internal audit effectiveness as the mediators of the study. In addition, governance culture and digital capability are hypothesized to affect fraud management accounting, internal audit function, and internal audit effectiveness. The 297 listed firms in Thailand are the samples of the study. The structural equation model is applied to test the research relationships. The results of the study indicate that, firstly, fraud management accounting has an effect on internal audit function, internal audit effectiveness, and organizational value creation. Secondly, internal audit function affects both internal audit effectiveness and organizational value creation. It also mediates the fraud management accounting-organizational value creation relationships. Thirdly, internal audit effectiveness affects organizational value creation and it mediates the fraud management accounting-organizational value creation relationships. Finally, governance culture affects fraud management accounting, internal audit function and internal audit effectiveness. Accordingly, executives can support, promote and enhance the applications of fraud management accounting in an organization, and utilize its concepts as the valuable tools in order to create best organizational practices and achieve their business goals in the current and future operations.

• Asia-Pacific Journal of Business
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• v.12 no.3
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• pp.213-233
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• 2021

Purpose - Our study examines the determinant factors of corporate financial fraud and whether the characteristics of outside directors tend to decrease the fraud in China. Design/methodology/approach - The data come from the enforcement actions of the Chinese Securities Regulatory Commission (CSRC). The multiple regression analysis were hired in order to analyze the data. Findings - Firms that have smaller size, higher debt ratio, or lower return of assets are associated with the incidence of fraud. However, the firms that have a high proportion of outside directors on the board or whose outside directors have a high compensation are less likely to engage in fraud. Our results show that outside directors monitor the actions of managers and thus help deter fraudulent acts. On the other hand, fraud is more associated with the local outside directors rather than outside directors who are from other locations. Since local outside directors tend to be more related with managers of firms, they can lose their independence. Research implications or Originality - Our findings have implications for the design of appropriate outside directors systems for China-listed firms. Moreover, our results imply that recruiting outside directors from other regions can improve the expertise and independence of outside directors in China. Our study contributes to provide more useful information about investors' investment decisions or management oversight and regulators' decisions on audit activities by disclosing information relating to the characteristics of outside directors.

• 한국경영정보학회:학술대회논문집
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• 2007.06a
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• pp.699-704
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• 2007

In this study, we examine why there exist different legal systems in electronic commerce or online financial trading. When a fraud online transaction occurs and the online customer disputes the transaction, the online customer takes responsibility for the proof of her/his argument in many European countries while in the U.S., the burden of proof lays on the firm. This paper analyzes how these two different legal systems exist and how these can be applied to electronic commerce law. In particular, this paper intends to find the optimal level of e-commerce firms' investment on security and analyzes how security investments can be related to firm's profits and consumer's welfare depending on IT infrastructure and social trust environment. More on, this paper can be contributed to provide guidelines for regulatory framework on ecommerce online transactions and discuss social welfare implications.

• Korean Journal of Construction Engineering and Management
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• v.24 no.6
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• pp.36-44
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• 2023

The aim of this study is to predict the potential for bid-rigging among public construction bidders and develop preventive and responsive measures. By employing the Fraud Triangle Theory (FTT), which considers the factors of opportunity, pressure, and rationalization, we analyze and explore the bid-rigging potential among construction industry professionals. A survey is conducted among General and specialized construction firms to validate the FTT research model and predict individual bid-rigging tendencies. The results indicate that higher levels of pressure, greater opportunities, and stronger rationalization increase the likelihood of individual bid-rigging. Moreover, more opportunities and stronger rationalization also raise the potential for bid-rigging by others. Understanding these dynamics enhances our knowledge and contributes to the development of policies aimed at preventing bid-rigging.

• Journal of Digital Convergence
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• v.11 no.12
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• pp.257-264
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• 2013

The purpose of this study is to propose plans of accounting transparency enhancement for Korean firms' sustainable growth and moral management. Moral management is not optional but essential strategy under global competitive circumstances. It has been proved that sustainable growth was possible through moral management. The plans of accounting transparency enhancement obtained from this study are as below. The implementation of early childhood education on the role and function of accounting, including contents related accounting ethics in university business curriculum or accounting curriculum, including contents related accounting(management) ethics in various accounting qualification examination, building and utilization of systematic knowledge base on accounting fraud, strengthen supervision for implementation of stable and reliable K-IFRS, improving public ethics through strengthening ethical awareness, devotion of community leaders for the nation and society etc.

• The Journal of Information Technology
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• v.1 no.1
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• pp.173-188
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• 1998

In this paper we discussed various types of electronic payment schemes that are emerging. Threats vary from malicious hackers attempting to crash a system, to threats to data or transaction integrity. An understanding of the various types of threats can assist a security manager in selecting appropriate cost-effective controls to protect valuable information resources. An overview of many of today's common threats presented in this paper will be useful to mangers studying their own threat environments with a view toward developing solutions specific to their organization. To ensure security on the Internet, several methods have been developed and deployed. They include authentication of users and servers, encryption, and data integrity. Transaction security is critical : without it, information transmitted over the Internet is susceptible to fraud and other misuse. So computer systems represents an Intermediary with the potential to access the flow of information between a user. Security is needed to ensure that intermediaries cannot eavesdrop on transactions, or copy/modify data. Online firms must take additional precautions to prevent security breaches. To protect consumer information, they must maintain physical security of their servers and control access to software passwords and private keys. Techniques such as secret and public-key encryption and digital signatures play a crucial role in developing consumer confidence in electronic commerce.