FORENSICS ACCOUNTING IN PUBLIC SECTOR

ABSTRACT

This study aims to examine the effectiveness of forensic accounting practices in detecting financial fraud within the public sector, with a specific focus on Edo State Government in Nigeria. The methodology involved a survey research design targeting a population of government officials, auditors, and forensic accounting practitioners. Using a stratified random sampling technique, a sample of 200 respondents was selected from an estimated population of 400. Data collection was conducted through structured questionnaires, and the analysis was performed using linear regression with the aid of SPSS 20.0. The findings indicate that stringent government regulations significantly enhance the effectiveness of forensic accounting in detecting financial fraud. Additionally, higher incidence rates of embezzlement correlate with the success of forensic accounting practices in identifying fraud. The integration of digital forensics tools significantly bolsters the ability of forensic accountants to detect financial fraud, and robust internal controls within public sector organizations are crucial for successful forensic accounting practices. Based on these findings, the study recommends strengthening regulatory oversight and enforcement mechanisms, adopting proactive measures such as regular audits and employee training, prioritizing investment in digital forensic capabilities, and reviewing and enhancing internal control systems to incorporate best practices and risk-based approaches. Enhanced collaboration between regulatory bodies, law enforcement, academia, and industry practitioners is also recommended to develop comprehensive strategies for effectively combating financial fraud.