The Audit Study On The Financial Fraud Of Kanghua Agriculture In The Process Of Back-Door Listing

It's been a long time that domestic and foreign listed companies made financial fraud,and with the continuous economic development in various countries,the form of corporate financial fraud is also more and more diversified,it is even more dangerous.As we could tell from a macro perspective,the financial fraudulent activities of a company have seriously disturbed the normal operation of the securities market,affecting its healthy and sustainable development;And at a micro level,Financial fraud will brings serious consequences,such as the collapse of corporate reputation,and even bankruptcy liquidation.Financial fraud may lead to additional investment losses ultimately affect investor confidence in the market.The diversification of forms of fraud has made it more and more difficult for regulatory authorities to supervise and control the situation.In China,although the government has introduced a series of laws and regulations to curb financial fraud companies,but the present situation is not ideal,corporate financial fraud issues on China's stock market still occur.Therefore,studying the related problems of financial fraud based on the actual situation of our country has certain theoretical and practical significance for improving the corporate governance structure,improving the efficiency of internal control and establishing a scientific,effective and comprehensive internal and external supervision system.As one of the classic financial fraud theories,theory of fraud risk factors comprehensively analyzes the causes of financial fraud from five aspects:morality,motivation,opportunity,exposure probability and punishment intensity.There will be strong scientific and applicability and has been widely accepted and used to analyze financial fraud issues by scholars.In view of the occasional financial fraud cases in the market today,on the basis combing the literature and theory,to build a theoretical framework for research and audit measures of fraud and financial theory is based theory of fraud risk factors:theory of fraud risk factors is applied to the study of corporate financial fraud,and the deep mechanism of corporate financial fraud is analyzed from the five factors of morality,motivation,opportunity,exposure probability and punishment intensity,and in-depth attribution of the internal control and external supervision of the induced five factors,finally designed a five-factor audit system.Then,this article takes the case of the fraud of listing of listed companies in KangHua Agricultural Company Backdoor Holdings Limited as the research object,applies the theoretical framework to the real cases and constructs the audit countermeasure system of inhibiting five factors.This paper argues that the five factors of morality,motivation,opportunity,exposure probability and punishment intensity and their interactions in theory of fraud risk factors are the underlying causes of corporate financial fraud.The emergence and intensification of the five factors can be attributed to the problems of internal control and external supervision,from the viewpoint of suppressing factor should therefore start to build the system and audit measures in all aspects of the internal control system and external supervision.The innovation of this paper has two points.Firstly,it constructs a theoretical analysis framework based on theory of fraud risk factors,uses the five factors of morality,motivation,opportunity,exposure probability and punishment intensity to analyze and explore the deep mechanism that causes the financial fraud in enterprises,and from the perspective of inhibiting five factors to design the corresponding audit measures,enriching the research content in this field.secondly,after considering the background of back-door listing,this thesis deeply analyzes the mechanism of five factors on the financial fraudulent activities of KangHua Agriculture,based on the perspective of internal control and external supervision.