Research On Huaze Cobalt-nickel Financial Fraud Based On Risk Factor Theory

With the development of China's market economy,financial frauds of listed companies occur from time to time.Although the number of fraud cases investigated and dealt with each year fluctuates,it is on the rise.While financial fraud seriously damages the interests of investors,it also leads to a reduction in the quality of financial reporting and disrupts market order.In this context,studying financial fraud of listed companies has become an important part of accounting.This article is mainly composed of five parts.The first part is the introduction,discussing the research background and significance of the article,combing the domestic and foreign financial fraud literature,introducing the research content and research methods of this article;secondly,defining the concept of financial fraud,and introducing the theoretical basis of this article;Case analysis of Huaze cobalt-nickel financial fraud,analysis of Huaze cobalt-nickel financial fraud and the reasons for choosing the case;in addition,analysis of financial fraud motivation,based on the five factors of risk factor theory,further analysis of Huaze cobalt-nickel financial fraud Motivation;finally,it summarizes on the basis of the previous chapters and puts forward some reasonable suggestions based on the risk factor theory.This article is in the form of case analysis,taking Huaze Cobalt Nickel's financial fraud as an example to analyze its fraudulent behavior,mainly including embezzling funds through accounts receivable,responding to audit work and related parties' illegal guarantees with invalid bills,etc;Based on the risk factor theory,combined with the industrial layout of the Star King Group,Huaze Cobalt and Nickel's business status,business environment and shareholding structure,etc.,the cause of Huaze Cobalt and Nickel's fraud was analyzed.Finally,according to the risk factor theory,the countermeasures against fraud Measures: Strengthen internal control,strengthen accounting supervision,improve the ability to identify accounting fraud,strengthen the education of practitioners,reform the management system of the firm and other suggestions to ensure the orderly development of China's market economy.