Journal of Financial Crime最新文献

{"title":"Private investigations and ethical orientations: a cause for concern?","authors":"Richard Kapend, Mark Button, Peter Stiernstedt","doi":"10.1108/jfc-02-2024-0066","DOIUrl":"https://doi.org/10.1108/jfc-02-2024-0066","url":null,"abstract":"Purpose\u0000A significant number of criminal and deviant acts are investigated by nonpolice actors. These include private investigators who charge fees for their services, professional services firms such as firms of accountants who also charge fees, in-house investigators employed by private organisations and in-house investigators of public sector organisations who are not sworn police officers. Some of these investigators, such as private investigators, have been exposed in unethical activities such as illegal surveillance and blagging to name some. In this respect, this study aims to uncover the ethical orientations of investigators using cluster analysis.\u0000\u0000Design/methodology/approach\u0000This study is based upon an online survey of private investigators predominantly in the UK, i.e. investigators beyond the public police. An innovate statistical inferential analysis was used to investigate the sample which resulted in the development of three ethical orientations of such investigators.\u0000\u0000Findings\u0000Based upon a survey response from 331 of these types of investigators this study illustrates the extent they engage in unethical activities, showing a very small minority of largely private investigators who engage in such activities.\u0000\u0000Originality/value\u0000A unique feature of this study is the use of an innovative statistical approach using an unsupervised machine learning model, namely, TwoStep cluster analysis, to successfully group and classify respondents based on their ethical orientation. The model derived three types of ethical orientation: ethical, inbetweeners and risk takers.\u0000","PeriodicalId":38940,"journal":{"name":"Journal of Financial Crime","volume":"26 4","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-05-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141005080","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Inelegant enforcement of anti-corruption laws and good governance: a persistent catalyst for coups d’état and poverty in Africa","authors":"O. Olujobi, Oshobugie Suleiman Irumekhai","doi":"10.1108/jfc-10-2023-0267","DOIUrl":"https://doi.org/10.1108/jfc-10-2023-0267","url":null,"abstract":"\u0000Purpose\u0000The purpose of this paper is to scrutinise the intricate relationship between the inadequate enforcement of anti-corruption laws and the application of good governance and the persisting prevalence of coups d'état and poverty in Africa.\u0000\u0000\u0000Design/methodology/approach\u0000This paper uses a doctrinal legal research approach, synthesising existing literature while extensively analysing primary and secondary legal sources. Its primary aim is to scrutinise the intricate relationship between the inadequate enforcement of anti-corruption laws and the application of good governance and the persisting prevalence of coups d'état and poverty in Africa. The choice of case study countries Burkina Faso, Chad, Gabon, Guinea, Mali, Niger and Sudan stems from their historical significance, regional diversity, data accessibility and potential insights into the interplay among anti-corruption enforcement, governance, poverty and coups d'état in Africa.\u0000\u0000\u0000Findings\u0000The enforcement of anti-corruption laws and the promotion of good governance are indispensable for democracy and economic stability; their suboptimal enforcement directly contributes to coups d'état and the worsening of poverty in African nations. It emphasises the imperative for African countries to consistently and proficiently enforce anti-corruption laws and adhere to principles of good governance, effectively and responsibly, to mitigate coups d'état and alleviate poverty in the region.\u0000\u0000\u0000Originality/value\u0000This study designs a model strategy for combating coups d'état and corruption in Africa as contribution to knowledge in the field of study.\u0000","PeriodicalId":38940,"journal":{"name":"Journal of Financial Crime","volume":"25 46","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-05-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141005296","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Effectiveness of internal auditing from the lens of internal audit factors: empirical findings from the banking sector of Bangladesh","authors":"Zobaida Khanam","doi":"10.1108/jfc-11-2023-0299","DOIUrl":"https://doi.org/10.1108/jfc-11-2023-0299","url":null,"abstract":"\u0000Purpose\u0000This study aims to assess the impact of determinants on the effectiveness of internal audit (IA) within the banking industry of Bangladesh.\u0000\u0000\u0000Design/methodology/approach\u0000The data was obtained through 152 survey questionnaires from a total of 43 privately owned and six state-owned commercial banks in Bangladesh. The analysis was conducted using structural equation modeling.\u0000\u0000\u0000Findings\u0000The findings demonstrate that the independence of internal auditors and the quality of IA substantially impact enhancing the efficiency of IA. On the other hand, the competence of internal auditors and management support in IA functions do not significantly impact the effectiveness of IA.\u0000\u0000\u0000Practical implications\u0000The study’s findings may have significant policy implications for the government, regulators, internal auditors, management committees and other stakeholders in establishing programmes to enhance the efficacy of IA as a component of banking audit management reforms.\u0000\u0000\u0000Originality/value\u0000This study makes three distinct contributions to the existing literature. Firstly, previous literature focused on the determinants affecting the external audit efficiency of the public companies and banking sectors in Bangladesh (Hasan, 2018; M. M. U. Reza, 2021). In this study, the author enhances the research by presenting empirical findings on the IA effectiveness of banks. Secondly, the author expands the research by incorporating both private and state-owned commercial banks as samples. Thirdly, the study is unique given that it investigates the effectiveness of IA in response to the recent financial scandals in the banking industry of Bangladesh (The Daily Star, 2023).\u0000","PeriodicalId":38940,"journal":{"name":"Journal of Financial Crime","volume":"7 2","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140652441","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Adopting fraud diamond theory to predict factors of asset misappropriation fraud among police officers","authors":"Mohd Azril Rezza Mohd Razmin, Amri Mohamad, Maheran Zakaria","doi":"10.1108/jfc-11-2023-0292","DOIUrl":"https://doi.org/10.1108/jfc-11-2023-0292","url":null,"abstract":"\u0000Purpose\u0000This study aims to investigate the factors that influence asset misappropriation fraud among police officers in the Internal Security and Public Order (Malay: Keselamatan Dalam Negeri dan Ketenteraman Awam [KDNKA]) Department, Royal Malaysian Police (RMP).\u0000\u0000\u0000Design/methodology/approach\u0000Primary data were collected from a questionnaire-based survey and the data were analysed using descriptive analysis, correlation analysis and multiregression.\u0000\u0000\u0000Findings\u0000The element of pressure was found to have a negative relationship with asset misappropriation fraud. This result shows the uniqueness of the KDNKA Department in the RMP. The other three elements are found to have a significant positive relationship with asset misappropriation fraud.\u0000\u0000\u0000Practical implications\u0000This study’s findings can aid academicians in gaining a better understanding of the literature surrounding fraud diamond theory and aid the policymakers in recognizing the signs and possibilities of asset misappropriation fraud in public agencies.\u0000\u0000\u0000Originality/value\u0000To the best of the authors’ knowledge, this is the first study that uses the KDNKA Department which is the second largest department in RMP as a population in fraud study.\u0000","PeriodicalId":38940,"journal":{"name":"Journal of Financial Crime","volume":"58 38","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140656836","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Do cybersecurity threats and risks have an impact on the adoption of digital banking? A systematic literature review","authors":"Natile Nonhlanhla Cele, Sheila Kwenda","doi":"10.1108/jfc-10-2023-0263","DOIUrl":"https://doi.org/10.1108/jfc-10-2023-0263","url":null,"abstract":"\u0000Purpose\u0000The purpose of the study is to identify cybersecurity threats that hinder the adoption of digital banking and provide sustainable strategies to combat cybersecurity risks in the banking industry.\u0000\u0000\u0000Design/methodology/approach\u0000Systematic literature review guidelines were used to conduct a quantitative synthesis of empirical evidence regarding the impact of cybersecurity threats and risks on the adoption of digital banking.\u0000\u0000\u0000Findings\u0000A total of 84 studies were initially examined, and after applying the selection and eligibility criteria for this systematic review, 58 studies were included. These selected articles consistently identified identity theft, malware attacks, phishing and vishing as significant cybersecurity threats that hinder the adoption of digital banking.\u0000\u0000\u0000Originality/value\u0000With the country’s banking sector being new in this area, this study contributes to the scant literature on cyber security, which is mostly in need due to the myriad breaches that the industry has already suffered thus far.\u0000","PeriodicalId":38940,"journal":{"name":"Journal of Financial Crime","volume":"107 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140695166","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Fraud risk implications of celebrity SPACs","authors":"Reem Zaabalawi, Gregory D Vanderpyl, Daniel Fredrick, Kimberly Gleason, Deborah Smith","doi":"10.1108/jfc-01-2024-0002","DOIUrl":"https://doi.org/10.1108/jfc-01-2024-0002","url":null,"abstract":"\u0000Purpose\u0000The purpose of this study is to extend the Fraud Diamond Theory to celebrity Special Purpose Acquisition Companies (SPACs) and investigate their post-Initial Public Offering (IPO) stock market performance.\u0000\u0000\u0000Design/methodology/approach\u0000After obtaining a sample of celebrity SPACs from the Spacresearch.com database, fraud risk characteristics were obtained from Lexis Nexus searches. Buy and hold abnormal returns were calculated for celebrity SPACs versus a small-cap equity benchmark for time intervals after IPO, and multiple regression analysis was performed to examine the relationship between fraud risk features and post-IPO returns.\u0000\u0000\u0000Findings\u0000Celebrity SPACs exhibit Fraud Diamond characteristics and significantly underperform a small-cap stock portfolio on a risk-adjusted basis after IPO.\u0000\u0000\u0000Research limitations/implications\u0000This study only examines celebrity SPACs that conducted IPOs on the NYSE and NASDAQ/AMEX and does not include those that are traded on the Over the Counter Bulletin Board (OTCBB).\u0000\u0000\u0000Practical implications\u0000Celebrity endorsement of SPAC vehicles attracts investors who may not be properly informed regarding the risk characteristics of SPACs. Accordingly, investors should be warned that celebrity SPACs underperform a small-cap equity portfolio and exhibit significant elements of fraud risk.\u0000\u0000\u0000Social implications\u0000The use of celebrity endorsement as a marketing device to attract investment in SPACs has regulatory implications.\u0000\u0000\u0000Originality/value\u0000To the best of the authors’ knowledge, this paper is the first to examine the fraud risk characteristics and post-IPO performance of celebrity SPACs.\u0000","PeriodicalId":38940,"journal":{"name":"Journal of Financial Crime","volume":"7 3","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140696345","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Guardians of the vault: unmasking online threats and fortifying e-banking security, a systematic review","authors":"Iftikhar Ahmad, Salim Khan, Shahid Iqbal","doi":"10.1108/jfc-11-2023-0302","DOIUrl":"https://doi.org/10.1108/jfc-11-2023-0302","url":null,"abstract":"\u0000Purpose\u0000The purpose of this paper is to investigate and analyze the adoption of digital technologies in the banking industry and its impact on the rise of digital fraudulent activities, specifically focusing on online banking frauds. This paper aims to provide insights into the current technologies implemented by banks to secure their online banking systems and explores the methods used by cybercriminals to exploit security vulnerabilities in these systems.\u0000\u0000\u0000Design/methodology/approach\u0000In order to understand how digital technologies in banking can be secured against online fraud, this research conducted a systematic literature review (SLR) on digital banking, online banking fraud, and security measurements. The review encompasses a variety of sources from online databases such as Emerald Insight, Google Scholar, IEEE, JSTOR, Springer and Science Direct.\u0000\u0000\u0000Findings\u0000The key finding of the paper is that the adoption of digital technologies in the banking industry has led to a significant increase in digital fraudulent activities, particularly in the form of online banking frauds. This paper emphasizes that these frauds have become a global concern and have evolved into an industry where cybercriminals use sophisticated tools such as phishing attacks, denial-of-service attacks, Trojan horses, malware infections, identity theft and computer viruses.\u0000\u0000\u0000Research limitations/implications\u0000This study relies solely on a literature review without incorporating primary data or case studies; therefore, it might miss out on the firsthand experiences and perspectives of banks and cybersecurity professionals.\u0000\u0000\u0000Practical implications\u0000This study emphasizes the need for banks to adopt advanced security measures to safeguard their online banking systems.\u0000\u0000\u0000Social implications\u0000This study underscores the importance of ongoing training and awareness programs for both bank employees and customers.\u0000\u0000\u0000Originality/value\u0000This study specifically addresses the adoption of digital technologies in the banking industry and its correlation with the increase in digital fraudulent activities. This focus on the intersection of technology and fraud in the banking sector is a distinctive aspect. This study conducts a SLR to examine the current technologies implemented by banks to safeguard their online banking systems. This comprehensive approach provides insights into the diverse security measures used by banks to protect against various types of cyber threats.\u0000","PeriodicalId":38940,"journal":{"name":"Journal of Financial Crime","volume":"105 1","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-09","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140724742","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Can the consumer perception of corporate social responsibility be saved? An examination into the effects of corporate greenwashing on the consumer and financial market","authors":"F. Teichmann, Chiara Wittmann, Sonia R. Boticiu, Bruno Sergio S Sergi","doi":"10.1108/jfc-11-2023-0303","DOIUrl":"https://doi.org/10.1108/jfc-11-2023-0303","url":null,"abstract":"Purpose\u0000The purpose of this paper is to examine the influence that the occurrence of greenwashing has on the consumer perception of corporate social responsibility (CSR).\u0000\u0000Design/methodology/approach\u0000This paper observed the market indication that a consistent undermining of authentic commitment to CSR taints consumer perception. Investigating how the motivations behind greenwashing contribute to the presentation of CSR was the first means of examining the market forces. Consumer orientation was used as a guiding principle to consider the short- and long-term perspective of a greenwasher.\u0000\u0000Findings\u0000Individual instances of greenwashing contribute to a collective deterioration of marketplace trust in the promises of CSR. The negative influence on CSR is not isolated to the greenwashing perpetrator but casts a wider effect. The consequences of greenwashing are not isolated but widely dispersed.\u0000\u0000Originality/value\u0000Whilst much of the literature focuses on the stigmatisation of individual firms, it is crucial to note how marketplace trust is eroded. In addition, the perception of CSR-related regulations is for example influenced but rarely recognised as a consequence of greenwashing behaviour.\u0000","PeriodicalId":38940,"journal":{"name":"Journal of Financial Crime","volume":"12 33","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-04","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140745698","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"The impact of Islamic of corporate social responsibility on social welfare with financial fraud as moderating: study in Indonesia","authors":"Tarjo Tarjo, Alexander Anggono, Zakik Zakik, S. Nordin, Unggul Priyadi","doi":"10.1108/jfc-01-2023-0008","DOIUrl":"https://doi.org/10.1108/jfc-01-2023-0008","url":null,"abstract":"Purpose\u0000This study aims to empirically examine the influence of Islamic corporate social responsibility (ICSR) on social welfare moderated by financial fraud.\u0000\u0000Design/methodology/approach\u0000The method used was the mix method. The number of respondents was 410. They combined the moderate regression analysis with PROCESS Andrew F Hayes to test the research hypothesis. After conducting the survey, it was continued by conducting interviews with the village community and the head of the village.\u0000\u0000Findings\u0000The first finding of this study is that ICSR has a significant positive effect on social welfare. The second finding is that financial fraud weakens the influence of ICSR on social welfare. The results of the interviews also confirmed the two findings of this study.\u0000\u0000Research limitations/implications\u0000The high level of bias in answering the questions is due to the low public knowledge of ICSR. In addition, the interviews still needed to involve the oil and gas companies and government.\u0000\u0000Practical implications\u0000The main implication is improving social welfare, especially for those affected by offshore oil drilling. Furthermore, stakeholders are more sensitive to the adverse effects of financial fraud. Finally, to make drilling companies more transparent and on target in implementing ICSR.\u0000\u0000Originality/value\u0000The main novelty in this research is using of the mixed method. In addition, applying financial fraud as a moderating variable is rarely studied empirically.\u0000","PeriodicalId":38940,"journal":{"name":"Journal of Financial Crime","volume":"135 13","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-03-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140369680","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

{"title":"Deciphering the shadows: an empirical exploration of corruption’s impact on SMEs credit costs in OECD countries","authors":"Anas Al Qudah, U. Al-qalawi, Ahmad A. Alwaked","doi":"10.1108/jfc-09-2023-0237","DOIUrl":"https://doi.org/10.1108/jfc-09-2023-0237","url":null,"abstract":"Purpose\u0000This study aims to investigate the intricate relationship between corruption and the credit costs faced by small and medium-sized enterprises (SMEs) in OECD countries, a critical yet underexplored area in financial crime research. The primary aim is to dissect and understand how corruption impacts SMEs’ access to credit, highlighting a significant yet overlooked aspect of financial crime. This research seeks to fill a gap in the literature by providing empirical insights into the economic consequences of corruption, specifically on SMEs financing.\u0000\u0000Design/methodology/approach\u0000This study used secondary panel data from the World Bank and OECD databases. The data covered the period 2007–2020 for 25 OECD countries. This study used interest rate for SMEs loans as a dependent variable and GDP per capita, inflation and corruption index as independent variables. This study used the panel autoregressive distributed lag (ARDL) model to examine the relationship between variables.\u0000\u0000Findings\u0000The empirical findings derived from Panel ARDL postulate an intriguing dichotomy in the effects of GDP per capita, inflation rate and corruption on interest rates in both the short and long run. It was discerned that an increase in GDP per capita and inflation rate correlates with a decrement in interest rates in the long run, suggesting a potential compromise by central banks between controlling inflation and fostering economic growth.\u0000\u0000Originality/value\u0000This paper makes a novel contribution to the field of financial crime by illuminating the often-overlooked economic dimensions of corruption in the context of SMEs financing. It provides a unique perspective on the ripple effects of corrupt practices in credit markets, enriching the academic discourse and informing practical approaches to combating financial crime.\u0000","PeriodicalId":38940,"journal":{"name":"Journal of Financial Crime","volume":" 33","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-03-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140388149","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}