E-Jurnal Manajemen Trisakti School of Management (TSM)
Vol. 6 No. 2 (2026): E-Jurnal Manajemen Trisakti School of Management (TSM)

THE EFFECT OF POLITICAL CONNECTIONS AND NATURE OF INDUSTRY ON FRAUDULENT FINANCIAL REPORTING

JISELLA NATALIE (Trisakti School of Management)
IRWANTO HANDOJO (Trisakti School of Management)
DICKY SUPRIATNA (Trisakti School of Management)



Article Info

Publish Date
23 Jul 2026

Abstract

This research aims to obtain empirical evidence regarding the influence of financial targets, financial stability, external pressure, ineffective monitoring, nature of the industry, external auditor quality, board of directors' turnover, auditor turnover, frequent number of CEO’s picture, and political connections on fraudulent financial reporting. The object of this research is manufacturing companies listed on the Indonesia Stock Exchange during the 2021–2023 period, using a purposive sampling method, resulting in 197 data points. The data were analyzed using multiple linear regression with SPSS software. The results of the research show that financial targets, financial stability, and board of directors' turnover have a positive influence on fraudulent financial reporting. Meanwhile, the nature of the industry has a negative influence on fraudulent financial reporting. External pressure, ineffective monitoring, external auditor quality, auditor turnover, frequent number of CEO’s picture, and political connections do not significantly influence fraudulent financial reporting.

Copyrights © 2026






Journal Info

Abbrev

EJMTSM

Publisher

Subject

Economics, Econometrics & Finance Environmental Science Law, Crime, Criminology & Criminal Justice Social Sciences

Description

E-Jurnal Manajemen Trisakti School Management (TSM) is biannual publication issued in the month of March, June, September, and December. E-Jurnal Manajemen TSM is a scientific journal which prioritizes the publication of articles (research and non-research based) regarding to management issues ...