The Role of Islamic Corporate Governance in Preventing Fraud

Nunung Ghoniyah, Sri Hartono

2019

Abstract

This research aims to examine the Sharia banks’ health, registered at Bank Indonesia, towards fraud through the role of Islamic Corporate Governance. The independent variables were Non-Performance Financing (NPF), Operational Efficiency Ratio (BOPO), and Capital Adequacy Ratio (CAR), with Islamic Corporate Governance (ICG) as a moderating variable. The dependent variable in this research was fraud. The population in this research were all Sharia Banks registered at Bank Indonesia year 2015 to 2018. The sample was selected using purposive sampling method. The total sample used in this study were 60 Sharia Banks. The analytical method of this research used moderation regression analysis. The results showed that, NPF has a significant negative influence toward fraud, CAR has a significant positive influence toward fraud, while BOPO has no influence toward fraud. Islamic Corporate Governance (ICG) played a role in strengthening the influence of NPF and CAR toward fraud. However ICG was unable to strengthen the influence of BOPO toward fraud in Sharia Banks registered at Bank Indonesia.

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Paper Citation


in Harvard Style

Ghoniyah N. and Hartono S. (2019). The Role of Islamic Corporate Governance in Preventing Fraud.In Proceedings of the 7th ASEAN Universities International Conference on Islamic Finance - Volume 1: 7th AICIF, ISBN 978-989-758-473-2, pages 83-89. DOI: 10.5220/0010115200830089


in Bibtex Style

@conference{7th aicif19,
author={Nunung Ghoniyah and Sri Hartono},
title={The Role of Islamic Corporate Governance in Preventing Fraud},
booktitle={Proceedings of the 7th ASEAN Universities International Conference on Islamic Finance - Volume 1: 7th AICIF,},
year={2019},
pages={83-89},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0010115200830089},
isbn={978-989-758-473-2},
}


in EndNote Style

TY - CONF

JO - Proceedings of the 7th ASEAN Universities International Conference on Islamic Finance - Volume 1: 7th AICIF,
TI - The Role of Islamic Corporate Governance in Preventing Fraud
SN - 978-989-758-473-2
AU - Ghoniyah N.
AU - Hartono S.
PY - 2019
SP - 83
EP - 89
DO - 10.5220/0010115200830089