Research On Motivation Of Financial Fraud Of Kunming Machine Tool Company Limited Based On The Theory Of Risk Factors

Financial fraud has always been a tricky problem to harass China's capital market.In recent years,it has also presented new features such as concealment and complexity of means,internationalization of behavior,serious economic losses and extensive social influence,which have attracted much attention of the market.At present,many domestic scholars put a lot of hard work into the research of financial fraud identification model to curb financial fraud through punishing the companies that have carried out financial fraud,and the results are not very good.With financial fraud increasing,shifting the perspective of financial fraud research from the post-governance to pre-emptive prevention has become a new topic to solve the problem of financial fraud in China.This paper takes Kunming Machine Tool Company Limited as the research object and systematically analyzes the mechanism of various risk factors in the financial fraud of Kunming Machine Tool Company Limited based on the the theory of fraud risk factor which is the most perfect theory to study the motivations of fraud.And draw the following conclusions: moral quality factor is the key factors for financial fraud in Kunming Machine Tool Company Limited;continuous deterioration of business conditions is the main predisposing factor for Kunming Machine Tool Company Limited;the lower possibility of fraud exposure and the low expected cost of financial fraud reducing the risk of fraud of the perpetrator are the secondary predisposing factors for Kunming Machine Tool Company Limited;insider system and the failure internal control provide an opportunity for financial fraud in Kunming Machine Tool Company Limited.Finally,based on the research on the motivations of financial fraud in Kunming Machine Tool Company Limited,this paper proposes corresponding measures from five aspects.The economic and social impact of financial fraud is more and more difficult to estimate.Deeply exploring reasons that China's financial fraud remains incessant under strict supervision has important practical significance for saving regulatory resources,improving the quality of financial report information and promoting operation of capital market in China orderly and well-functioning in the way of suppressing and eliminating financial fraud induced factors from the source.