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Do Fraud Triangle Components Motivate Financial Crimes in Somalia?

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  • Dayah Abdi Kulmie

Abstract

Financial crime is one of the most divisive issues in today’s society and is receiving much attention from people worldwide. This study examined the applicability of the components of the fraudulent triangle (pressure, opportunity, and rationalization), and the main objective was to determine whether these factors contributed to the occurrence of financial crimes in Somalia. The study used a correlational research design, and the primary data were collected from 200 respondents using a questionnaire. The results show a statistically positive relationship between these components and financial crimes. The findings reveal that opportunity has a stronger positive correlation than the other two elements. The study suggests that independent national agencies and committees be established or activated and frequent audit procedures be conducted to prevent financial crimes in the public sector. Effective accountability mechanisms are additionally required to promote transparency and good governance in public institutions.

Suggested Citation

  • Dayah Abdi Kulmie, 2023. "Do Fraud Triangle Components Motivate Financial Crimes in Somalia?," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 15(10), pages 1-84, October.
    • Handle: RePEc:ibn:ijefaa:v:15:y:2023:i:10:p:84
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    References listed on IDEAS

    as
    1. Dellaportas, Steven, 2013. "Conversations with inmate accountants: Motivation, opportunity and the fraud triangle," Accounting forum, Elsevier, vol. 37(1), pages 29-39.
    2. Sani Abubakar Saddiq & Abu Sufian Abu Bakar, 2019. "Impact of economic and financial crimes on economic growth in emerging and developing countries," Journal of Financial Crime, Emerald Group Publishing Limited, vol. 26(3), pages 910-920, July.
    3. Steven Dellaportas, 2013. "Conversations with inmate accountants: Motivation, opportunity and the fraud triangle," Accounting Forum, Taylor & Francis Journals, vol. 37(1), pages 29-39, March.
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    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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