The Audit Research On The Financial Fraud Of China's Listed Companies Based On Hirisun

Due to the rapid economic development,more and more cases of financial fraud enter into the public's vision.But these behaviors are not only against the interests of mostly investors,but also cause adverse effects to the development of China's securities market.And with the transformation of China's economic structure,the cases of financial fraud are becoming more and more complicated.Accordingly,CPAs are also facing more and more serious challenges.How to improve the ability to detect fraud,reduce the risk of audit failure,and issue the high-quality audit reports have always been the topic of theoretical research.In this thesis,we take Hirisun as the research object to discuss the motivations of financial fraud and the reasons of audit failure,then we put forward the corresponding suggestions.Based on the above reasons,we count and summarize the data of listed companies and accounting firms which were punished by SFC in January 2006 to August 2016.First of all,we analyze the listed companies with financial fraud in these ten years,and summarize the industries and regional distribution of the fraud companies,and the motivations,time characteristics and types of personnel of financial fraud.Secondly,by analyzing the accounting firms that were punished in these ten years,we give the characteristics of failure factors and time distribution etc.Finally,focusing on the financial fraud cases of Hirisun,we conclude that the audit failure is caused by the CPAs' irresponsibility and the financial fraud of listed companies.In this regard,we put forward some countermeasures of prevention and audit for financial fraud of listed companies,namely,by strengthening the CPAs' professional ethics education,improving the independence of CPAs,always maintaining the professional skepticism,and improving the level of CPAs' professional judgment to improve the audit quality.We expect that by studying the audit of financial fraud of listed companies in this thesis can provide some help on the prevention of financial fraud and on the reduction of CPAs' audit failure.