Effects of Forensic Accounting Techniques and Corporate Governance on Financial Performance of Listed Deposit Money Banks in Nigeria

Authors

DOI:

https://doi.org/10.26668/businessreview/2023.v8i10.3547

Keywords:

Forensic Accounting, Corporate Governance, Financial Performance, Deposit Money Banks, Board Structure, Ownership Structure

Abstract

Purpose: This study aimed to investigate the effect of forensic accounting and corporate governance on the financial performance of listed deposit money banks in Nigeria.

 

Theoretical framework: This study drew upon Agency Theory, to provide a theoretical foundation for examining the governance of a company and the conflicts of interest that arise among its shareholders, managers, and major debt providers. This was introduced to support the concepts of forensic accounting and corporate governance.

 

Design/ Methodology/Approach: This study employed ex-post facto and panel data research designs. This study obtained data from the annual audited reports of deposit money banks that were listed in Nigeria. The study focused on a population of fifteen (15) deposit money banks listed on the Nigerian Exchange Group (NGX). The study employed a purposive sampling technique to select ten (10) firms due to the availability of a complete dataset of the targeted population. This study covered a period of eleven years from the year 2012 to 2022.  The collected data in this study underwent analysis using both descriptive statistics and panel regression analysis techniques.

 

Findings: The results found that forensic accounting and corporate governance had a significant effect on the financial performance of listed deposit money banks in Nigeria. This implies that these factors interact and contribute significantly to the banks' financial performance.

 

Conclusion: It was concluded that fraud case disclosure highlights the significance of transparency and reporting mechanisms in deterring fraudulent activities and safeguarding banks' financial performance.  

 

Recommendation: The study recommends that deposit money banks should prioritize and improve the disclosure of fraud cases and mitigate fraud and other financial irregularities occurrences in order to cushion its adverse effects on financial performance and foster investor confidence.

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Published

2023-10-16

How to Cite

Dada, S. A., Igbekoy, O. E., & Dagunduro, M. E. (2023). Effects of Forensic Accounting Techniques and Corporate Governance on Financial Performance of Listed Deposit Money Banks in Nigeria. International Journal of Professional Business Review, 8(10), e03547. https://doi.org/10.26668/businessreview/2023.v8i10.3547