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This paper aims to provide new theoretical discussion about the role of whistleblowing system and fraud awareness as an effective deterrent for financial statement fraud.

The authors conducted surveys to 13 reputable public accounting firms in East Java, Indonesia.

It is well acknowledged, as fraud attacks grow more sophisticated, whistleblowing system and fraud awareness can be possible deterrents. By increasing employees’ fraud awareness, they do not only recognise fraud symptoms and typologies but also support to raise concerns in good faith and on reasonable grounds. This study also suggests the role of fraud awareness as a human capital investment that increase sensitivity on identifying fraud symptoms and discouraging participation in crimes.

This study produces new theoretical discussion about fraud prevention. Then this study also offers several aspects that can help organisation to establish effective whistleblowing systems and reporting mechanisms. Those aspects identified can encourage an individual to report malpractice or wrongdoing. This study also offers how fraud awareness can support the implementation of whistleblowing system in preventing fraudulent financial statements and other irregularities.

Identity fraud is a growing issue for online retail organisations. The literature on this issue is scattered, and none of the studies presents a holistic view of identity fraud management practices in the online retail context. Therefore, the purpose of this paper is to investigate the identity fraud management practices and present a comprehensive set of practices for e-tail sector.

A systematic literature review approach was adopted, and the articles were selected through pre-set inclusion criteria. The authors synthesised existing literature to investigate identity fraud management in e-tail sector.

The research finds that literature on practices for identity fraud management is scattered. The findings also reveal that firms assume identity fraud issues as a technological challenge, which is one of the major reasons for a gap in effective management of identity frauds. This research suggests e-tailers to deal this issue as a management challenge and counter strategies should be developed in technological, human and organisational aspects.

This study is limited to the published sources of data. Studies, based on empirical data, will be helpful to support the argument of this study; additionally, future studies are recommended to include a wide number of databases.

This research will help e-tail organisations to understand the whole of identity fraud management and help them develop and implement a comprehensive set of practices at each stage, for effective management identity frauds.

This research makes unique contributions by synthesising existing literature at each stage of fraud management and encompasses social, organisational and technological aspects. It will also help academicians understanding a holistic view of available research and opens new lines for future research.

Experts contend that knowledge of the personal labor market penalties (loss of employment and future wealth) incurred by past chief executive officers (CEOs) forced to restate their firms' earnings may induce current CEOs to refrain from fraudulent disclosures. Because of the increased incidence of earnings restatements and the importance of augmenting investor trust, this paper aims to examine empirically nonprofessional investors' impressions of managerial earnings restatement penalties as fraud deterrents.

The restatement penalties were explored in an experimental setting with nonprofessional investors as subjects. Using an experimental case as a basis, the study compared subjects' predictions of the probability that a CEO would fraudulently report a particular transaction under two general conditions: the absence of a specific fraud deterrent; and the presence of two potential deterrents, earnings restatement penalties and CEO financial statement certifications.

Statistical analyses revealed that investors viewed the earnings restatement penalties as fraud deterrents, providing a level of protection comparable to that offered by financial statement certifications, a mandated practice originally intended to deter fraud. These results suggest that investors' awareness of past restatement penalties could help to enhance the credibility of currently reported earnings.

The investigation of this topic makes two contributions to existing research. First, it provides empirical evidence concerning a potential fraud deterrent (earnings restatement penalties) previously unexamined in prior studies. Second, it represents a new area of inquiry in earnings restatement research, both in topic (the perceived deterrence qualities of restatement penalties) and in method (empirical research vs traditional archival studies).

The purpose of this paper is to provide a warning sign for fraud studies in developing occupational fraud deterrent, and offer possible solution to deal with it.

This study was conducted in one of regencies in Indonesia. The authors interviewed nine top managers across local agencies and four senior local government internal auditors. The people involved have formal and informal networks with a regent who has been arrested by Indonesia’s Corruption Eradication Commission, because of white-collar crime syndicates, when running governmental systems.

While many approaches to fraud mitigation have been proposed, organisations in practice particularly in the public sector find it hard to implement successful methods to understand, detect and prevent fraud. In practice, this occurs due to simplified assumption on or multiplicity of overlapping fraud concepts. There is also a lack of appreciation of impact of organisational dynamics which facilitates fraud. Behavioural and political issues within an organisation need to be addressed when proposing fraud prevention. The study emphasises that it is too naïve to offer internal control as one-size-fits-all fraud prevention. For practitioners, corrupt behaviour tends to be the most challenging part, compared to other fraud schemes such as asset misappropriation and financial statement fraud. In this paper, the authors urge organisation to adapt a more systematic approach, involving across governmental anti-corruption agencies and civil society actors. This may be facilitated through communication among those parties, including a sound whistleblowing system. Then, organisation also should consider preventive measures that go beyond from administrative or technical internal controls.

The results may give new directions for designing fraud prevention.

The purpose of this study is to provide theoretical guidance that enables local governments to deal with occupational fraud.

The quantitative approach is used to examine the efficacy of the Committee of Sponsoring Organisations of the Treadway Commission (COSO) internal control framework in tackling occupational fraud in local government. To achieve the goals, the authors performed a survey of the Indonesian auditor institutions.

It is not appropriate to argue that all types of local government fraud can be deterred by a single internal control. The study suggests that COSO internal controls are not effective for dealing with corruption cases. However, the authors do find the efficacy of those controls are obvious for controlling asset misappropriation and financial statement fraud. This result indicates that if the COSO internal control framework is only designed for routine financial control and asset protection, it significantly and negatively influences its efficacy to deal with occupational fraud. This study has both theoretical and managerial implications, discussed separately.

In the field of prevention, the authors cannot make generalised theories and approaches for dealing with occupational fraud. Whilst previous authors have offered fraud deterrents in terms of internal controls, they have failed to realise the need to understand their effectiveness for particular forms of fraud. This paper sheds light on the effectiveness of internal controls in achieving their goals. This has both practical applications and stimulates theoretical insights.

The aim of this article is to examine those philosophical and structural factors which have been responsible for shaping sentencing policy for economic crime in the UK and to analyse some key decisions of the Court of Appeal (Criminal Division) in this area.

The purpose of this paper is to understand if forensic accounting techniques and tools could contribute to the deterrence of fraud in financial statements, considering the expertise of forensic accountant on ex post activities and that the traditional mechanisms to prevent this type of fraud have not been sufficient to stop the impact on companies, investors, auditors, employees and on society in general.

This research was carried out using a qualitative exploratory study with a phenomenological approach conducted through in-depth interviews with professional experts in the forensic field.

The findings confirm that the use of forensic accounting techniques and tools could contribute to the prevention of fraud in financial reporting not only when the risk of fraud has been materialized. Similar studies, about fraud prevention addressing the situation under a qualitative approach from the perspectives of its protagonists, have not been observed in the bibliographical review, so this research contributes to expanding the scientific research, the study and practice of forensic accounting.

From a business management perspective, this study contributes a paradigm shift from the traditional ex post forensic auditing activity toward an ex ante activity to improve management control systems within organizations anywhere in the world. Because this study is guided to prevent fraudulent financial statements, other fraud categories such as misappropriation or corruption could be addressed in other studies and various countries.

The purpose of this paper is to provide a critical examination of the current law and the possible changes that are under consideration by the Law Commissions, after public consultation in relation to the continuing duty of good faith and post‐contractual duties owed by the insured towards the insurer.

The research is addressed using case law, statutes, current academic and Law Commissions publications in the UK.

First, the paper finds that the current state of the law allows for the insurer to claim damages from an insured when a fraudulent claim is made to recover the cost of any investigations. Second the insurer can refuse to meet a claim that is tainted by fraud. Third the insurer can have the right to avoid the policy obligations upon the discovery of a fraud, but subject to some limitations. Fourth there is a need for the insured to be protected against an insurer's unjustified allegations of fraud.

This work does not address detailed issues in relation to pre‐contractual issues of good faith. These have been discussed in a previous edition of this journal see Swaby. G. (2010) “Insurance law: fit for purpose in the twenty‐first century?” IJLMA, 52 (1), pp. 21‐39. ISSN 1754‐243X.

The Law Commission will be undertaking further consultations before reforming this area of law.

This paper will be of interest to legal practitioners and academics and those in the insurance industry.

This paper examines the role of professional associations, governmental agencies, and international accounting and auditing bodies in promulgating standards to deter and detect fraud, domestically and abroad. Specifically, it focuses on the role played by the US Securities and Exchange Commission (SEC), the American Institute of Certified Public Accountants (AICPA), the Institute of Internal Auditors (IIA), the Institute of Management Accountants (IMA), the Association of Certified Fraud Examiners (ACFE), the US Government Accounting Office (GAO), and other national and foreign professional associations, in promulgating auditing standards and procedures to prevent fraud in financial statements and other white‐collar crimes. It also examines several fraud cases and the impact of management and employee fraud on the various business sectors such as insurance, banking, health care, and manufacturing, as well as the role of management, the boards of directors, the audit committees, auditors, and fraud examiners and their liability in the fraud prevention and investigation.

The Serious Fraud Office was set up on the recommendation of the Roskill Committee by the Criminal Justice Act 1987. It is responsible for the investigation and prosecution of serious and complex fraud. In recent years the Office has been criticised for the way in which it handles cases, largely as a result of the perception that there have been too many acquittals in the cases which it has chosen to prosecute. In this interview, Matthew Weait discusses the role and aims and problems of the Office with its present Director, George Staple. Mr Staple considers the problems which the Office faces, the extent to which he considers criticism justified and wider issues relating to the effective prosecution of fraud. George Staple, 52, took up the post of Director in April 1992. Formerly senior litigation Partner of Clifford Chance, he was appointed in 1986 as a Companies Act Inspector. Between 1987 and 1991 he sat as a Chairman of the Authorisation and Disciplinary Tribunal of the Securities Association and the Securities and Futures Authority. For many years Mr Staple was a member of the Commercial Court Committee and served as Treasurer of the Law Society from 1989 to 1992.