Empirical Study On The Integrity Of Internal Control Information Disclosure Of Listed Companies In Bohai Economic Sphere

Internal Control is designed to help an organization accomplish specific goals and objects, which could be defined as a process determined by the structure of the organization's, work and authority flows, people and management information systems. It plays an very important role in preventing and detecting fraud, which helps a lot in protecting the resources of the organization's, both physical and intangible. In this way, internal control attracts more and more attention of the supervision department and also the society. This article focus on the integrity of the disclosure of internal control information of the listed companies in Bohai Economic Sphere, which is experiencing a rapid and forceful development now. It aims to deliver the states quo of the internal control information disclosure, and hopes to be a little help in the improvement and promotion of the internal control system, whose relevant regulations will become effective in July 2009.Base on the annual reports of about 365 firms during the period of 2004-2007, it could be found that:First, before the relevant measures that regulates the process of disclosing the internal control information are introduced to the firms and enforced in the market, the firms could not disclose the information of internal control in formal and unitive form, following the relevant direction. All these factors affect the reliability the internal control information.Then based on the studies of the ST listed companies with case study using Jones-Model, it uncovers that the conclude drawn from the studies indicates that there are defects in the disclosure of internal control information, which may impact on the quality of accounting information and also disrupt the market order.