A Case Study Of The Financial Fraud Of BoYuan Investment Co.,Ltd.

From the perspective of foreign, In United States, Enron、HealthSouth、Xerox shocked the world because of financial fraud.From the perspective of domestic, YinGuangXia、Yun Nan Green-Land did not stop the step of financial fraud.In fact,there are more and more financial irregularities.Financial fraud damages the company’s reputation, cause great loss to our investors, while financial fraud seriously disturbs the order of the capital market,hinder the healthy development of the economy. Therefore the research for financial fraud is a very important issue.With the development of economic globalization, the world economy presents a thriving scene. However, behind this prosperity has also appeared many to profits by their responsibility, "running" the use of accounting fraud means tumor. The enterprises of our country to encourage the development of economy in the socialist market economy country environment also faces a lot of "temptation".Some social liability see clearly direction,In which,following the occupation moral develop steadily,however there are some companies drilling regulations, accounting regulations audit loopholes, holding the speculation psychological, financial fraud. This phenomenon is not only on China’s accounting profession and audit profession lashed out in social integrity,also had a great impact on China’s stock market and the CPA profession, has shaken the confidence of investors, to enable investors to take greater risks and reduce the investmet desire, a great impact to the important role of the stock market in the capital allocation, has hindered our country socialist market economy healthy development road.In this case, the example through extraction of financial fraud and financial fraud related concepts of GONE theory combining Boyuan investment company,analyze the financial fraud means extremely recognition mode, which discuss the study of financial fraud prevention and governance solution.With data for accurate positioning, in fact the financial fraud of listed companies on the basis of research mainly through the financial statements of whitewash, invalidation of internal control, as one of senior management, and to prevent the behavior management.Bo Yuan investment co., LTD. as a listed company, due to its serious violations for fraud, caused serious influence on the stability of the capital market, and is likely to become the first shares listed company delisting. Based on the audit of visual to Bo Yuan investment co., LTD as the research object, this paper analyzes the reasons of the listed company’s fraud and the effects on the capital market, and finally find out preventing the fraud of listed company governance measures to ensure the stable operation of the capital market.