Samuel Umanah1
&
Paul Efe Ohwojero2
1Department of Accounting,
University of Benin, Benin City, Edo State, Nigeria.
samuel.umanah@uniben.edu.ng
2Department of Finance,
University of Benin, Benin City, Edo State, Nigeria.
paul.ohwojero@uniben.edu.ng
Absract
This study examined the relationship between board composition and financial statementsfraud detection among deposit money banks in Nigeria. The study used secondary data.Descriptive statistics, ordinary least square method, correlation analysis, Hausman test werecarried out. The results showed a strong correlation between board size and financialstatement fraud among Nigerian deposit money institutions. It was shown that among Nigeriandeposit money institutions; there is a strong correlation between board diversity (womendirectors) and financial statements malfeasance. The makeup of audit committees and financialstatements fraud in Nigerian deposit money institutions are significantly correlated. Furtherresearch found that among Nigerian deposit money institutions, board independence has asignificant effect on the financial statement fraud. The study’s assertion was that withinNigeria’s deposit money banks, there exists a significant correlation between boardcomposition and financial statements malfeasance. In order to minimise financial statementfraud, it was advised that deposit money institutions in Nigeria should restrict the numbers oftheir directors. In order to ensure gender balance deposit money banks in Nigeria mustpromote board diversity (women directors), which may assist in reducing the incidence offinancial statements fraud among several things.
Keywords: Board Composition, Financial Statements Fraud Detection, Deposit Money Banks,Board Diversity, Corporate Governance.
