Empirical Research on How Structure of Corporate Governance Will Affect Financial Fraud
Yu-Jiao Chen · Economic Research Guide · 2013
Many reasons may cause financial fraud.Both internal motivation and external incentives likely lead to financial fraud.From internal side,governance structure of a company apparently plays an important role in driving financial fraud.So research on how the corporate governance structure affects the financial fraud is an important task.This paper selects the quoted company as samples.Due to financial fraud these companies were criticized and denounced by the CSRC,the SSE and the exchange of administrative punishment during 2009 to 2010.The paper make an empirical analysis on how the index of corporate governance influence on financial fraud.The analysis conclusion is in order to strengthen supervision on financial fraud behaviors and management in corporate governance work we should focus on improving the structure of the board of directors and supervision efficiency of the board of supervisors,etc.