DETERMINANT AND TRENDS OF FRAUD OF ACCOUNTING FRAUDULENT TOWARDS FINANCIAL ACCOUNTABILITY OF WATER IN CENTRAL LOMBOK

Abstract

This study is aimed to examine the effect of internal control, adherence to accounting rules and the perception of morality apparatus against the trend of the accounting fraud and accounting fraud against the financial accountability of the Regional Water Company (PDAM) Central Lombok. The population of this study involved 101 Employees in planning and implementation of the Company Budget Work Plan. The number of samples was determined by purposive sampling amounted to 72 respondents. Data analysis tool used is Warp Partial Least Square (PLS). The result of this study indicates that the internal control and morality apparatus was significantly negative against the trend of accounting fraud, while adherence of accounting rules was negative insignificant on the trend of the accounting fraud. The tendency of the accounting fraud significantly negative influences financial accountability. It shows that compliance of the accounting rules can not be avoided by employees of committing fraudulent.According to the above founding, It shows that the internal control should be a priority to ensure that the company working properly in accordance with what has been set out in the Corporate Plan and this can be used by PDAM Central Lombok to minimize the tendency of the accounting fraud. Strong internal control is the key to drive good company by implementing internal control systems consistently and it is hoped the risks and problems can be reduced.