Psychological factors: self- and circumstances-caused fraud triggers

Abstract

Purpose

This paper aims to provide new understanding of fraudulent behaviour by offering different theoretical discussion on the fraud causation.

Design/methodology/approach

The authors interviewed 15 executive managers in one of Indonesia local governments, by using semi-structured questions.

Findings

The authors explored the dynamics of both self- and other-directed factors in the spread of fraudulent behaviours, by focusing on the public-sector fraud landscape in local government. As a basis of analysis, the authors applied the theory of planned behaviours. In this study, “a concept of fraud triangle” substantially provides little help in elucidating the causation of fraudulent behaviours in local government. The theoretical and managerial implications are discussed.

Originality/value

This study offers new direction on broadening and deepening fraud literature and theories about the root causes of fraudulent behaviours.

Citation

Nuswantara, D.A. and Maulidi, A. (2020), "Psychological factors: self- and circumstances-caused fraud triggers", Journal of Financial Crime, Vol. 28 No. 1, pp. 228-243. https://doi.org/10.1108/JFC-05-2020-0086