The Influence of Internal Control, Integrity, and Compliance with Accounting Rules on the Tendency of Accounting Fraud, with Ethical Behavior as a Moderating Variable (Study on Regional Apparatus Organizations (OPD) of the Jambi Provincial Government)

Yolanda Kerla Viana; Wiralestari; Rita Friyani

doi:10.63922/ijebir.v4i04.1969

Yolanda Kerla Viana Departement of Accounting, Faculty of Economics and Business, Jambi University
Wiralestari Departement of Accounting, Faculty of Economics and Business, Jambi University
Rita Friyani Departement of Accounting, Faculty of Economics and Business, Jambi University

DOI: https://doi.org/10.63922/ijebir.v4i04.1969

Keywords: Internal Control, Integrity, Compliance with Accounting Rules, Accounting Fraud, Ethical Behavior.

Abstract

This study aims to analyze the influence of internal control, integrity, and compliance with accounting rules on the tendency of accounting fraud, as well as to examine whether ethical behavior can moderate these relationships. Accounting fraud is an act that can harm an organization both financially and reputationally; therefore, it must be prevented through relevant internal factors. This research adopts a quantitative approach by distributing questionnaires to employees involved in financial management across various Regional Government Organizations (OPD) in Jambi Province. The data analysis technique used is multiple regression analysis with a moderating variable (Moderated Regression Analysis). The results of this study indicate that internal control, integrity, and compliance with accounting rules have a significant effect on the tendency of accounting fraud. In other words, the better these three factors are implemented, the lower the individual's tendency to commit fraud. However, ethical behavior does not significantly moderate the relationship between the independent variables and the tendency of accounting fraud. This indicates that individual ethical values do not strengthen or weaken the influence of internal control, integrity, and accounting compliance on fraud tendencies. The findings imply that the government should focus more on strengthening internal control systems, instilling integrity, and enforcing compliance with accounting regulations as concrete efforts to prevent accounting fraud, without overly relying on ethical behavior.

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