Assessing the Integrity of Financial Reporting in Romanian Real Estate Companies: an Integrated Approach Based on Statistical Models

Tatiana Dănescu () and Alexandru Diana-Karina ()
Additional contact information
Tatiana Dănescu: George Emil Palade University of Medicine, Pharmacy, Science, and Technology of Targu Mures, Romania
Alexandru Diana-Karina: Blu Accounting Society, Bucharest, Romania

Acta Marisiensis. Series Oeconomica, 2025, vol. 1, 59-72

Abstract: In a global economy characterized by accelerated digitalization and increasing pressure for financial performance, fraud has evolved from an isolated misconduct into a systemic risk that threatens market confidence and stability. The real estate sector has become progressively more exposed, owing to the complexity and magnitude of its investments. This research conducts an in-depth examination of the financial fraud risks inherent to this sector by employing established detection models—the Beneish Model, Benford’s Law, and the Chi-Square Test—alongside the development of a proprietary model adapted to the specificities of the real estate market. The findings underscore the imperative for rigorous corporate governance mechanisms and for an organizational culture rooted in transparency and integrity. The study proposes an integrated analytical framework designed to enhance the effectiveness of fraud prevention practices within the real estate industry.

Keywords: real estate sector; financial fraud; detection; financial statement manipulation; anti-fraud statistical analysis. (search for similar items in EconPapers)
JEL-codes: C53 G11 G15 O33 (search for similar items in EconPapers)
Date: 2025
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://oeconomica.umfst.ro/images/oeco2025/6_DanescuT_AlexandruD.pdf (application/pdf)

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:pmu:oecono:v:1:y:2025:p:59-72

Access Statistics for this article

More articles in Acta Marisiensis. Series Oeconomica from "George Emil Palade" University of Medicine, Pharmacy, Sciences and Technology of Târgu-Mureș, România - Faculty of Economics and Law Contact information at EDIRC.
Bibliographic data for series maintained by Ion Cozac ().