Research On Financial Fraud Of China Sun Pharmaceutical Machinery From The Perspective Of Fraud Triangle Theory

The establishment of the Shenzhen-Shanghai Stock Exchange in 1990 marked the official emergence of China’s capital market.After more than 30 years of positive development,the scale of the capital market has grown greatly,accounting for half of China’s total economic output.The major breakthroughs made are obvious to all and play a vital role in the healthy and orderly development of China’s market economy.At the same time,the development scale of many enterprises has reached a new height,but because their own conditions can’t meet their needs for further development,they choose to seek capital financing from the securities market to obtain development funds.However,China Securities Regulatory Commission(CSRC)has very strict control over the capital market.In order to meet the requirements of the capital market,many enterprises have taken the illegal road of financial fraud at all risks.In recent years,financial fraud cases are common,the fraud means used are increasingly complex,the concealment is higher and higher,and the amount involved is also growing.This kind of behavior not only reduces the investment enthusiasm of investors,but also disrupts the operation order of the capital market and has a great impact on the healthy and orderly development of the capital market.Therefore,in order to avoid the recurrence of such financial fraud and ensure the orderly operation of the capital market,we should continue to study the causes of fraud and put forward targeted preventive measures and suggestions.This paper first introduces the research background,research significance and research achievements of domestic and foreign scholars on the causes,means,identification and governance of financial fraud,then introduces the general situation of Hunan China Sun Pharmaceutical Machinery Co.,Ltd.based on real cases,then expounds the financial fraud means of Hunan China Sun Pharmaceutical Machinery Co.,Ltd.,and then combines the fraud triangle theory from the aspects of pressure,opportunity This paper analyzes the causes of financial fraud of China Sun Pharmaceutical Machinery from three aspects,and finally puts forward effective countermeasures against financial fraud of listed companies from these three aspects.This paper hopes to reveal the potential fraud problems of listed companies in China by analyzing the causes of financial fraud of China Sun Pharmaceutical Machinery,which will bring some warning to other companies,and help China improve the regulatory mechanism of the capital market,so as to provide a healthy environment for the positive development of China’s securities market.