Prevention Village Fund Fraud in Indonesia: Moral Sensitivity as a Moderating Variable

Sugeng Wahyudi, Tarmizi Achmad and Imang Dapit Pamungkas
Additional contact information
Sugeng Wahyudi: Department Management, Faculty of Economics and Business, Diponegoro University, Semarang 50275, Indonesia
Tarmizi Achmad: Department Accounting, Faculty of Economics and Business, Diponegoro University, Semarang 50275, Indonesia
Imang Dapit Pamungkas: Department Accounting, Faculty of Economics and Business, Dian Nuswantoro University, Semarang 50131, Indonesia

Economies, 2022, vol. 10, issue 1, 1-16

Abstract: This study aims to examine the effectiveness of the internal control system, appropriate compensation, and the competency of the village apparatus regarding the prevention of village fund fraud with moral sensitivity as a moderating variable. This research is a quantitative method using hypothesis–inference to answer exploratory, descriptive, explanatory, and predictive analysis questions. Primary data are mainly used in this study. Data were collected using a survey method in a questionnaire with questions given to respondents to collect information. The sample of this research is the village office in 16 (sixteen) districts in Sumowono, Semarang Regency, Central Java, Indonesia, with 289 participants. Data analysis was carried out using Warp-PLS 7.0 application software. The results showed that the village apparatus’s internal control system, appropriate compensation, and competency prevented village fund fraud. Furthermore, the novelty of this research is to add a moderating variable, moral sensitivity, which can strengthen the relationship between the internal control system, appropriate compensation, and competency of the village apparatus regarding the prevention of village fund fraud.

Keywords: internal control system; appropriate compensation; competency of village apparatus; village fund fraud; moral sensitivity (search for similar items in EconPapers)
JEL-codes: E F I J O Q (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.mdpi.com/2227-7099/10/1/26/pdf (application/pdf)
https://www.mdpi.com/2227-7099/10/1/26/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jecomi:v:10:y:2022:i:1:p:26-:d:724450

Access Statistics for this article

Economies is currently edited by Ms. Hongyan Zhang

More articles in Economies from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().