THE EFFECT OF FRAUD HEXAGON ON FRAUDULENT FINANCIAL STATEMENTS: EMPIRICAL STUDY OF NON-CYCLICALS COMPANIES IN INDONESIA

Mohamad Zulman Hakim
Tariq Tawfeeq Yousif Alabdullah
Mochammad Farid Fadillah
Aisyah Sholikhati
Nurhaliza, Siti
Ika Wulandini

International Journal of Accounting, Management, Economics and Social Sciences (IJAMESC)
Vol. 1 No. 6 (2023): Desember

This study aims to analyze the factors of hexagon fraud in detecting financial statement fraud in non-cyclical sector companies listed on the Indonesia Stock Exchange (IDX) for the 2020-2021. Based on the purposive sampling method, the number of companies sampled in this study was 33 research criteria of non-cyclical companies with a total of 66 observations. The results of this study found that the element of pressure proxied by government projects had a significant effect on fraudulent financial statements. Meanwhile, financial targets, financial stability, changes in directors, ineffective monitoring, change in auditors, frequent number of CEO's pictures, political connections, state-owned enterprises, and audit opinions have no significant effect on fraudulent financial reports in non-cyclicals sector companies listed on the IDX 2020-2021.