The Research On Wan Fushengke’s Financial Fraud And The Measures To Prevent

Healthy and orderly development of the securities market plays an important role in our national economy, however, in recent years, the phenomenon of listed companies’ financial fraud occurs frequently. As is known to all,the case of Joan MinYuan Used to be called the first scandal on Main board of the securities market,first fraud issue shares to the small and medium-sized plate of the Lv TaDy, and then to the GEM fraud Wan Fushengke, the securities market on such cases emerge in endlessly, the financial fraud means change is various, brought very bad social influence.Especially in 2012, has a green pioneer, gold, rice said the Wan Fushengke was revealed from 2008 to 2012 in the first half of the total inflated income up to 928 million yuan, the cumulative increase net income of 202 million yuan, nearly ninety percent of the income belongs to the amount of false. Such severe financial fraud story touched a nerve of the masses of people again, at the same time testing the social tolerance of financial fraud of listed company.The author on the domestic and foreign literature about financial fraud based on the contrast, with Wan Fushengke branch as the breakthrough point, in-depth analysis of financial fraud motivation, means and identification method, and put forward effective measures of preventing the governance.The article first to Wan Fushengke branch financial fraud motivation are analyzed in detail.Through the establishment of financial fraud motivation game model, it is concluded that Wan Fushengke, financial fraud and Nash equilibrium between securities regulation, further points out that the basic reason of Wan Fushengke, financial fraud is the income and cost of financial fraud serious asymmetry, namely the financial fraud benefits far outweigh the costs of financial fraud.In addition, refer to the current theory, the most perfect risk factors analysis Wan Fushengke financial has struggled to financial fraud also weak internal control system of structure, and the driving factors such as defects and the government.Further then study WanFushengke division means identification methods of financial fraud.By analyzing Wan Fushengke and 2012 record correction table, can be found:the main financial fraud means using prepayments and inflated assets, fictitious clients of projects under construction and economic business gross margin and improve the raw materials to the inflated profits, deliberately concealing the fact of production line production at the same time, exaggerating capacity manufacturing sales thriving illusion, etc.To this, this paper improve the regulatory supervision and protection of the interests of the shareholders, puts forward a method to identify Wan Fushengke division of financial fraud.Through detailed analysis of the financial statements of the correction before data, from the aspects of operating capacity, profitability, etc to find a flaw, and to compare the financial index and industry average to find clues.And on this basis, put forward the perfect enterprise internal control structure, perfecting the system, strengthen the measures to prevent financial fraud penalties, etc.