An Empirical Study On The Internal Governance Structure And Financial Fraud Of The Listing Corporation

Until June 2015. Within the territory of the People’s Republic of China listed companies, domestic listed foreign shares of companies have reached total of 3114, shares of the total market value up to 627465.46 billion. Capital market developed rapidly from the end of last century, for our enterprise financing and social resources optimization configuration provides an important channel. At present, the scale of China’s capital market is already quite large, on the one hand for the listed companies to provide the capital financing channels, on the other hand to the vast number of investors provides a new way of investment and investment target.However, since the capital market, the listing Corporation financial fraud case has never been interrupted. Whether the accounting system or the development of China’s capital market is relatively mature in the United States is still in the preliminary stage, all face the serious financial fraud. Enron, WorldCom and other events that the diamond government regulators and investors. Impossible to guard against financial fraud and false accounting information not only seriously damaged the interests of investors, Makes the orderly operation of the market economy of the obstacles encountered. To prevent financial fraud, improve the quality of accounting information requires not only regulatory departments to increase supervision and punishment, which has brought new problems but also to the academia.Affecting the financial fraud, there are many factors, and the company internal governance structure is one of the most important factors. Therefore, this paper from the ownership structure, board of directors, executives, board of supervisors four dimensions, discusses the company’s internal governance structure is how it affects the quality of accounting and financial fraud. Firstly, the research topics and research background, significance, research ideas were also introduced, followed by the relevant research results were reviewed and combed, and on this basis, build a theoretical basis for this article. Thereafter, the article treats research questions-internal governance and financial fraud qualitative theoretical analysis to explore the internal governance of the four dimensions is how it affects the quality of accounting information and financial fraud. Again, the article based on the theoretical basis and theoretical analysis of previously proposed to build 11 research hypothesis of this paper, and select a reasonable sample of research and research data. After the completion of the work, the article on the study sample empirical analysis and verification 11 assume the foregoing. Ultimately concluded:State-owned nature of the actual controller, CEO duality positive correlation between the two indicators listed companies’ financial fraud and financial fraud; proportion of outstanding shares, the proportion of the largest shareholder, holding the proportion of the board of directors, executive compensation Board of Supervisors stake five variables listed companies’ financial fraud and financial fraud negatively correlated; the proportion of the top ten shareholders of squares, board size, the proportion of independent directors of the Board, the proportion of managerial ownership, the size of the Supervisory Board of five financial fraud and variable relationship was not significant. Finally, according to the research conclusion, the author puts forward the preventing financial fraud, improve the quality of accounting information relevant recommendations to improve China’s listed corporate governance structure and to improve the quality of accounting information to make some modest.