EFFECTS OF FORENSIC ACCOUNTING SKILLS ON FRAUD PREVENTION AND DETECTION IN BAYELSA STATE MINISTRIES, DEPARTMENTS AND AGENCIES (MDAs

Abstract

The study examined the Effects of Forensic Accounting Skills on Fraud Prevention and Detection in
Bayelsa State Ministries, Departments and Agencies (MDAs). To address the aim of the study, two
(2) objectives, two (2) research questions and two (2) hypotheses were formulated. The study
anchored on White Collar Crime Theory and supported by Fraud Triangle Theory; the survey as
well as correlational research design were employed as the method of investigation; the positivism
research paradigm was employed. The population of the study comprised of 100 staff from four
(4) revenue generating Ministries, Departments and Agencies in Bayelsa State. (Radio Bayelsa,
Ministry for Trade, Industry and Investment, Bayelsa State Board of Internal Revenue and Bayelsa
State Environmental Sanitation Authority). The study adopted a census sampling technique and
studied the entire population since the size of the population is relatively small. The nonprobability technique was used to reach the respondents. A total of 100 respondents were used
for the study on the basis of 25 respondents per Ministries, Departments and Agencies. The
primary data source was used in the study; the questionnaire was structured using the five (5)
points Likert rating. The reliability of the research instrument was tested using the Cronbach Alpha
method which stood at 0.88 > 0.70. The instrument was validated through content and face
validity. The linear regression was used to test the strength of relationship between the
dimensions of forensic accounting skills and fraud prevention and detection. From the results of
the data analyses; forensic accounting skills via its dimensions of investigative and litigation
showed a significant relationship with fraud prevention and detection. The study concludes that
forensic accounting skills (investigative and litigation) are significant in preventing and detecting
fraud. In view of the findings and conclusion, the study recommends amongst others that: MDAs
should cultivate a curious and investigative mindset. Approach every task with skepticism and a
willingness to dig deep to uncover hidden information. Again, in regards to litigation, Ministries,
Departments and Agencies should familiarize with relevant laws, regulations, and industry
standards. This knowledge will help them understand what constitutes financial misconduct and
how to present evidence in a legal context