Financial Criminology and the Accounting Profession in Nigeria

Abstract

This study examined the effect of forensic auditing on the reduction of accounting fraud and unethical professional practices within organizations. The study adopted a descriptive cross-sectional survey design. The target population is 128,003 verified and practicing accountants in Nigeria from recognized accounting bodies, Institute of Chartered Accountants of Nigeria (ICAN), 70,003 and the Association of National Accountants of Nigeria (ANAN) 58,000. The sample size is 399 determined using Taro Yamane formula. SPSS 28 version for descriptive and PLS-SEM structural equation models as tools of analysis. The findings reveal a significant positive relationship between the implementation of forensic audit procedures and the reduction of occupational fraud and financial crimes. Specifically, organizations with stronger forensic audit practices demonstrated improved compliance with financial regulations, enhanced transparency, and greater accountability in financial reporting. The results further indicate that forensic auditing contributes to deterring fraudulent activities by increasing perceived detection risks and reinforcing ethical standards among accounting professionals. The study concludes that integrating forensic auditing into organizational governance frameworks is an effective strategy for preventing financial misconduct and strengthening financial integrity. It recommends that organizations invest in forensic audit capacity, continuous professional training, and robust internal control systems to sustain ethical accounting practices and improve corporate governance. These findings contribute to the growing body of knowledge on fraud prevention and provide practical insights for policymakers, regulators, auditors, and organizational leaders seeking to enhance financial accountability and organizational performance.