| Financial fraud is a global problem, which is more serious in Chinanowadays. Many of the market-shocking fraud happened in public companiesin agricultural industry. Hence, this paper focuses on the means of fraud andanalyzes the fraud cases in agricultural listed companies, hoping to find outthe commonly used fraud means and explain it by combining it with thecharacteristics of the agricultural industry.Firstly, this paper starts from administrative punishment issued by theSecurities Regulatory Commission During2001to2013and gets170publiccompanies which is punished for financial fraud. Then choose the agriculturallisted companies punished for fraud, the total number of which is13.Secondly, this article provides descriptive statistics from the perspectiveof financial statement fraud and the accounting information disclosure fraudof these13listed agricultural companies. For the sake of contrast, this paper also gives descriptive statistics of themeans of fraud of all the170punished companies and compares them to themeans of fraud in agricultural companies.Thirdly, we carry out detailed case analysis on these13publicagricultural companies and analyze every specific fraud means and itsapplication in specific company. Besides, we reconsider these means from theaspect of the industry by finding out the commonly used fraud means inagricultural industry and relate them to the features of agricultural industry.Finally, after the descriptive statistics and case analysis, we come to thefollowing conclusion:1) financial fraud is more serious in the agriculturalindustry;2) agricultural listed companies would more likely adopt the way offictitious sales revenue and inflated inventory for fraud;3) industrycharacteristics, such as diversified sales purchasing pattern, the consumptivehuge amount of biological assets, attractive but fuzzy biological scienceand technology concept makes it easy for the public agricultural companiesto financial fraud through fictitious sales revenue, inflated inventory or landuse rights or fixed assets.This paper will be divided into six parts: the first part is the introduction,mainly consists of the background, significance and innovative points; thesecond part is the explanation of related concepts of financial fraud, fraud means analysis framework and literature review; the third part is the selectionprocess of samples and descriptive statistics analysis of fraud means; thefourth part is several specific case analysis of financial fraud in publicagricultural companies; the fifth part is correlation between the characteristicof the industry and fraud means; The sixth part is the conclusion of the fulltext and suggestions. |
