Research On Citic Guoan’s Financial Fraud From The Perspective Of Game Theory

Enterprises disregard relevant laws and regulations to engage in financial fraud in pursuit of abnormal profits,which has brought great negative impacts on the rapid and healthy development of China’s capital market.The continuous occurrence of financial fraud events in the capital market indicates that financial fraud is still an unresolved social problem.The key to preventing financial fraud is to understand the behavior and influencing factors of related parties involved in financial fraud,and then implement targeted measures to intervene in the actions of each related party.Therefore,this article selects a relatively typical CITIC Guoan financial fraud event for research on preventing financial fraud.Based on the theory of financial fraud,information asymmetry theory and game theory,this paper analyzes the motives and means of CITIC Guoan’s financial fraud and the bad impact caused by financial fraud,and constructs a supervision game model and a tripartite audit model,under the premise of "rational economic man",finds the equilibrium state of all participants in the game,and analyzes the equilibrium solution of different action plans chosen by enterprises,regulatory departments and audit institutions in this state.Discover the factors influencing the choice of action plan by related parties in the process of financial fraud,and explore the costs,benefits pursued and penalties that related parties of financial fraud need to pay under different action plans;Combined with CITIC Guoan’s financial fraud incident,the problems existing in financial fraud related parties are analyzed,from which the game rules that lead fraud related parties to an ideal equilibrium state are obtained,and the probability of corporate financial fraud is reduced by improving existing laws and systems,upgrading technical level,strengthening moral construction,etc.,reducing the probability of corporate financial fraud,the probability of audit institutions choosing low-quality audits and increasing the probability of inspection by regulatory authorities,and putting forward suggestions on preventing financial fraud from the three perspectives of government supervision,accounting firms and enterprises,so as to provide reference for the capital market to prevent financial fraud,in order to promote the benign development of the capital market.