Study On Corporate Governance Characteristics Of Fraudulent Statement Company

Fraudulent statements have been always a difficult issue that troubles academia and practice of accounting. After we entered a 21^st century, a series of fraudulent statements happened in US and Europe shocked the world, and in China, there are many fraudulent statement happen every year. More and more scholar focuses their attention on this issue.Are there any relations between Chinese listed firms' fraudulent incidents and their corporate governance? This thesis empirically tests the relations between corporate governance and fraudulent statement. Corporate governancecan be divide into two parts------inner governance mechanism and externalgovernance mechanism. Inner governance mechanism includes board characteristics, share structure, top manager compensation, financial information disclosure, and external governance mechanism includes company controlling, law and investor protection, products market competition. Based on the research of Bai chong en, liu qiao et al, we use logit regression analysis the difference between 91 fraud firms and 91 no-fraud firms, result indicate there are significance difference in the variables of shareholder meeting times, board meeting times, board size, independent directors ration, dual director; but when we add the variable of industry, all the variables are not show significance between fraud firms and no-fraud firms. Especially, we include audit committee in the regression model , and result indicate there are no significant difference between fraud firms and no-fraud firms.