Research On Financial Fraud Of Jiadian Co.,Ltd Basing On GONE Theory

As a measure of business performance,financial reporting is an important tool in economic decision-making.For investors,government functions,and other corporate stakeholders,obtaining real financial information is indispensable for making decisions about investment,operations,management,or exercising supervisory functions.In the open and transparent securities market,the financial information quality of enterprises not only affects the investors’ own interests,but also has a profound impact on the healthy development of the capital market due to its important role in the process of resource optimization and allocation.In the case of violations disclosed by the China Securities Regulatory Commission in 2017,Jiadian was severely punished for financial fraud and serious circumstances,and23 related responsible entities were severely punished.Due to the seriousness of the case,Jiadian shares have received wide attention and inevitably caused reflections on the internal environment of the company.Therefore,Jiadian is chosen to be the research object in the research.The company will identify the reason why the company’s continued financial fraud based on the investigation and punishment results of the relevant parties involved in the CSRC and the internal environment of the company,by reviewing the whole process of financial fraud incidents of Jiadian.The cause is to find out the problems in its internal environment,and propose the company’s fraud prevention and governance recommendations,aiming to find the root cause of financial fraud from the company’s perspective and improve the quality of its financial information.At the beginning,the paper presents the background and importance,literature review,research content and methods of financial fraud case of Jiadian.Secondly,it reviews the fraud cases of Jiadian shares through the description of financial fraud cases,combined with the company’s situation and the background of backdoor listing.After the beginning and end;based on GONE theory,from G(greedy),O(opportunity),N(need),E(exposure)four angles,combined with the company’s internal environment,in-depth analysis of Jiadian shares in a number of years of continuous finance The causes of fraud identified the problems in the company’s internal environment in terms of ownership structure,governance structure,internal control,and management quality.Finally,theresults of the analysis of the causes of Jiadian’s fraud were summarized to identify problems in the internal environment.Targetedly proposed the company’s fraud prevention and governance recommendations,namely,optimizing the shareholding structure,improving the corporate governance mechanism,establishing an effective internal control system,and improving the quality of management,aiming to find the root cause of financial fraud from a company perspective.And to curb the occurrence of such situations.