ANALYSIS OF FRAUD POTENTIAL USING THE FRAUD HEXAGON THEORY METHOD FINANCE AND ACCOUNTING DEPARTMENT OF LAUNDRY CASHIER APPLICATION COMPANY

Abstract

Fraud is one of the risks that can affect the reliability of financial information and the sustainability of a company, particularly in the finance and accounting function. This study aims to analyze the potential for fraud in the Finance and Accounting Department of a laundry cashier application company using the Fraud Hexagon Theory. The theory consists of six factors that may influence fraudulent behavior, namely pressure, opportunity, rationalization, capability, arrogance, and collusion. This study uses a qualitative descriptive approach, with data collected through interviews, observations, and documentation related to financial and accounting activities. The analysis focuses on identifying conditions and potential indicators of fraud associated with each element of the Fraud Hexagon Theory. The results are expected to provide an overview of the potential for fraud within the Finance and Accounting Department and identify weaknesses in internal control that may create opportunities for fraudulent actions. This study also provides recommendations for strengthening internal controls, improving segregation of duties, increasing supervision, and establishing effective procedures to minimize the risk of fraud. Therefore, the application of the Fraud Hexagon Theory can serve as an analytical framework for identifying and preventing potential fraud in the company's financial and accounting activities.