INFLUENCE ANALYSIS OF FINANCIAL AUDIT ETHICS IN THE MERGER AND ACQUISITION PROCESS TOWARD WHITE-COLLAR CRIME
Ekawahyu Kasih, Ruslaini
Kasih Bangsa School of Economy
White-collar crime has grown very rapidly along with the use of information technology in committing crimes including cyber crimes and non-compliance with laws and regulations especially regarding the making of financial statements that are not in accordance with the actual facts that may harm investors, creditors and other stakeholders. This often happens in the merger and acquisition process of the company. This research uses descriptive quantitative method. Research findings that The International Ethics Standards Board for Accountants (IESBA) issued on July 14, 2016 has been adopted by more than 100 countries to become a benchmark for conducting corporate financial audits to minimize non-compliance with laws and regulations. The Foreign Corrupt Practices Act (FCPA) has succeeded in reducing the criminal acts of corruption committed by the public, private sector, companies and individuals living in America and corruption, including bribery to foreign government officials. Similarly, the Public Company Accounting Oversight Board (PCAOB, 2015) has been able to go hand in hand with IESBA in combating criminal acts in presenting financial statements that violate both immaterial and material laws and regulations affecting the financial statements. Conclusion of the study is financial audit etichs in the merger and acquisition process must be applied and become part of government regulations in combating white collar crime so that there are no losses and large impacts for companies, investors, creditors that will affect the countrys economy.
Keywords: Financial Audit Ethics, Auditor, White Collar Crime.