Fraud Detection, Fraud Prevention and Forensic Accounting: An Empirical Study from EFCC Report

Abstract

The proactive measures stakeholders have taken to curb fraud's excesses are vital, but fraudsters and other criminals are pushed by fraud in many economic sectors. Audit failures worldwide suggest statutory auditors lack the skills to detect and stop modern frauds, including cybercrimes and white-collar crimes, extortion, money laundering, corporate fraud, embezzlement, insolvency, and securities fraud. As the Nigerian Financial and Economic Crimes Commission (EFCC) intended, forensic accounting applies accounting skills in court cases and criminal prosecutions to stop fraud. This study examined the EFCC paper Fraud Detection, Prevention, and Forensic Accounting: An Empirical Study. The study investigates whether forensic accounting and financial crimes are linked and how they affect fraud detection and prevention. To accomplish objectives, primary questionnaire data were collected. The data was analyzed using SPSS V24. The study found a highly favourable association among Nigerian concerns between fraud detection, prevention, and forensic accounting. At fewer than 5%, the p-values of 0.006 and 0.008 show a significant connection between variables. The report proposes that more forensic accountants detect and prevent fraud to reduce financial crimes, particularly among Nigerian businesses.