Do Individual Characteristics and Bystander Effect Increase the Accounting Fraud?

Abstract

Penelitian ini bertujuan untuk mengkaji pengaruh karakteristik individu dan fenomena bystander effect terhadap kemungkinan terjadinya kecurangan. Karakteristik individu ditinjau dari moralitas dan sifat kepribadian Machiavellian. Penelitian ini merupakan penelitian survei. Kuesioner diberikan kepada 256 pengelola Lembaga Perkreditan Desa (LPD) di Kabupaten Bangli. Data dianalisis menggunakan regresi linear berganda. Hasil pengujian empiris mengungkapkan bahwa hanya variabel moralitas dan bystander effect yang meningkatkan kecenderungan kecurangan akuntansi. Variabel sifat Machiavellian tidak berpengaruh terhadap kecenderungan kecurangan akuntansi. Secara praktis, hasil penelitian ini mengonfirmasi peran karakteristik individu dan bystander effect terhadap kecenderungan terjadinya kecurangan akuntansi, khususnya pada organisasi keuangan LPD. Temuan ini sekaligus memberi bukti empiris kepada pimpinan LPD untuk mempertimbangkan karakteristik individu dalam memposisikan individu pada jabatan terkait pengelolaan keuangan LPD.

The Influence of the Bystander Effect and Internal Control on the Trend of Accounting Fraud at Village Credit Institutions in Jembrana Regency

“…The results of this study support the well-known theory of crime, because rational individuals will choose not to be involved in fraud, if the costs are higher than the expected benefits of disclosing a fraud [17]. The results of this study are in line with research by [7] and [8], where the higher the bystander effect, the higher the tendency for accounting fraud. However, in contrast to the results of research by (Asiah & Setyorini, 2017) and (Masdiantini et al, 2021), that the bystander effect has no significant effect on the tendency of accounting fraud.…”

“…The effect of the bystander effect on the tendency of accounting fraud :Bystander effect is a variable that has an influence on the tendency of fraud, because there is neglect of the occurrence of fraud, as a result of concerns about personal safety, or wanting not to be involved [6], so that the bystander effect has a positive and significant influence on the tendency of accounting fraud. The higher the bystander effect, the higher the tendency for accounting fraud [7] and [8]. On the other hand, the bystander effect is not found when the evidence of fraud is weak [1].…”

“…Bystanders may choose to ignore it, because they are worried about their personal safety or want not to be involved [6] so that the bystander effect has a positive and significant effect on the tendency of accounting fraud. The higher the bystander effect, the higher the tendency for accounting fraud [7], [8], [8], [9] Other studies have shown that, when there is strong evidence suggesting the existence of fraudulent acts, individuals with their own knowledge are more likely to report than when others are aware of fraudulent acts (bystander effect). However, the bystander effect was not found when the evidence of fraud was weak [1].…”

Increasing Accounting Competency and Financial Reporting in Village Crediting Institution

“…Therefore, LPD managers are required to improve employee knowledge and competence on an ongoing basis continuously. Even though LPDs in Bali, on average, have pretty good performance, some LPDs are experiencing severe problems that can disrupt their business continuity (Noviyanti et al, 2021). LPD management is also inseparable from agency issues between capital owners and LPD managers (Wedasari & Sukawijaya, 2019).…”