Purpose: The study investigates the relationship between greenwashing, political connections, and fraudulent financial statements in the Indonesian banking sector, with independent commissioners serving as a moderating variable. Methods/Study design/Approach: The study uses panel data from 434 bank-year observations of Indonesian commercial banks during 2016–2022. Fraud is measured using the F-Score and Beneish M-Score models, while the hypotheses are tested using panel regression and moderation analysis. Result/Findings: The results show that greenwashing is significantly associated with fraudulent financial reporting, generally negatively across models. Political connections also significantly affect fraudulent financial statement, although the direction varies by measurement approach. Independent commissioners moderate the relationship between greenwashing and fraud, but their role in the political connections-fraud relationship is limited. Analysis comparing pre-crisis and COVID-19 periods shows that economic stress influences these relationships. Findings have practical implications for banking governance by emphasizing effective board oversight, stronger monitoring by independent commissioners, and improved transparency in sustainability and political-related disclosures to reducing fraud. Novelty/Originality/Value: The study contributes to the literature by Employing both F-Score and M-Score models and comparing pre-crisis and COVID-19 periods, the study shows that economic stress and ESG scrutiny alter governance effectiveness and incentives for fraudulent reporting in emerging-market banks.
Purpose: The study examines whether carbon emission disclosure, green innovation, and eco-efficiency affect firm value differently, and whether environmental performance mediates these relationships, among Indonesian ESG-listed firms. Methods/Study design/Approach: The quantitative study analyzes a balanced panel of 32 firms listed on the ESG Sector Leaders IDX KEHATI index with 96 firm-year observations in 2021–2023 using PLS-SEM with bootstrapped confidence intervals. Carbon emissions disclosure and green innovation are measured using content analysis; eco-efficiency is measured using ISO 14001 certification; environmental performance is measured using PROPER ratings; and firm value is measured using Tobin’s Q. Result/Findings: Green innovation significantly increases firm value, while carbon emission disclosure significantly decreases it; eco-efficiency has no significant effect. Environmental performance does not significantly affect firm value directly, nor does it mediate any of the three relationships tested. Novelty/Originality/Value: The study is among the first to jointly test compliance-based (disclosure and certification) and capability-based (innovation) sustainability practices within a single PLS-SEM framework for ESG-listed Indonesian firms, distinguishing between the credibility of the signals each sends to investors. It contributes evidence that environmental performance does not function as a market-valuation channel.
Purpose: The study examines the impact of key corporate board characteristics board tenure, size, independence, gender diversity, educational background, accounting expertise, and dual board appointments on the likelihood of financial restatements.Method: The study uses data from companies listed on the Indonesia Stock Exchange over the 2021–2023 period. A purposive sampling technique resulted in a sample of 640 firms. Logistic regression analysis was conducted using SPSS.Findings: The results show that a larger board and a higher proportion of independent board significantly reduce the likelihood of financial restatements, reflecting stronger governance and monitoring effectiveness. In contrast, longer board tenure and female board are positively associated with restatement incidence. Other factors, such as the presence of foreign board, higher educational, accounting expertise, and dual board positions, do not demonstrate a significant effect on restatement behavior.Novelty: Unlike previous studies that focus on particular industries, this research covers all publicly listed firms in Indonesia and emphasizes the role of individual board member characteristics in influencing financial reporting quality. By examining personal, professional, and demographic dimensions, the study offers new empirical insights into financial restatement behavior and fills an important gap in the governance literature.
Purpose: The study examines the impact of financial pressure on financial reporting fraud. It also explores the variation of financial pressure between Sharia-compliant and non-Sharia firms, as Sharia-compliant companies are bound by Sharia principles. Method: The study uses data from public firms listed on the Indonesia Stock Exchange (IDX) and the Indonesia Sharia Stock Index (ISSI) for the period 2015–2021. All industrial sectors are included, except the financial sector, due to its distinct regulations and policies. The research employs multiple linear regression and independent-samples t-tests. Findings: The study reveals that pressures related to financial stability and debt are associated with a higher probability of financial reporting fraud. In addition, pressures arising from financial stability and financial targets are more pronounced in Sharia-compliant firms than in non-Sharia firms. In contrast, Sharia-compliant firms exhibit lower debt pressure than non-Sharia firms. Novelty: The study provides empirical evidence on how financial stability, financial target pressure, and debt pressure differ between Sharia and non-Sharia firms, and how these differences are relevant in explaining the risk of financial reporting fraud. The findings indicate that Sharia-compliant firms exhibit greater financial stability and financial target pressures, but lower debt pressure due to Sharia-based debt restrictions, offering new insights into fraud risk determinants in the context of Sharia compliance.
Purpose : The study examines the feminist perspectives and gendered dynamics of whistleblowing within Indonesian local governments. Unlike previous research that largely centers on the causal link between gender and whistleblowing behavior, this study delves deeper into the structural, psychological, and cultural barriers that hinder women from reporting misconduct. Method : The study employed a qualitative approach by interviewing retired civil servants using open-ended questions to elicit detailed narratives about their experiences and perceptions. The collected data were analysed using a thematic approach based on themes that emerged during the interview process. Findings : The findings suggest that women hesitate to blow the whistle due to group-oriented thinking, loyalty obligations, perceived innocence of wrongdoers, financial dependence, emotional burdens, and vulnerability to coercion. Novelty : Theoretically, this study fills a gap in empirical research on whistleblowing and gender in non-Western, collectivist settings. It highlights the need to contextualize rational action theory. It is because the decisions to report fraud are influenced not just by legal and ethical considerations but by social harmony, hierarchy, and conformity. Practically, the findings urge organizations to create inclusive whistleblowing systems that address gender norms, enhance protections, and promote an ethical culture that supports speaking out.
