FORENSIC ACCOUNTING AS A TOOL FOR FRAUD DETECTION AND PREVENTION IN THE NIGERIAN PUBLIC SECTOR

Abstract

  Fraud-related issues in the public sector have become a thing of worry globally. However, no gain saying that issues bothering on fraud are not limited the public sector organizations alone. Hence, in order to prevent reoccurring of the ugly incident associated with fraud, forensic accounting is needed. This study assessed forensic accounting as a tool for fraud detection and prevention in the Nigerian public sector. Descriptive survey research design was adopted. Population of this study was five thousand three hundred and twenty-eight (5,328) staff of the Nigerian public sector. The sample size for this study was three hundred and seventy (370) respondents. Data were collected through questionnaire which were analyzed using both descriptive and inferential statistics, that is, ordinary least square (OLS) regression technique to establish the relationship that exist among variables in addition to the test of hypotheses. The findings showed positive significant relationship between forensic expert consultation and fraud detection and prevention. Forensic accounting service has significant negative impact on fraud detection and prevention. Forensic litigation support skills have positive significant influence on fraud detection and prevention in the Nigerian Public Sector. Consequently, the study recommended that forensic accounting units should be equipped with modern forensic tools and staffed by professionals trained in digital forensics and data analytics. The Federal Ministry of Finance should create a roster of certified forensic experts for on-demand consultation and mandate their involvement in high-value procurement processes. Performance metrics for these experts should emphasize preventive outcomes rather than just post-fraud investigations. The study recommends establishing specialized forensic evidence units within the EFCC and ICPC to properly document and preserve evidence for prosecution