Reducing occupational fraud through reforms in public sector audit: evidence from Ghana

Abstract

Purpose This paper aims to explore the contributions that public sector audit through reforms can make in dealing with the issues of occupational fraud in Ghana. Design/methodology/approach The issues surrounding the Ghana Audit Service (GAS) reports issued to parliament were reviewed using socio-legal methodology. The discussion as well as the theoretical contribution is informed by stakeholder theory. Findings The findings show matching of irregularities as reported by regular audit reports to schemes of occupational fraud and abuse as well as how the power to surcharge and disallow would serve as a deterrence mechanism in the fight against occupational fraud. Practical implications This paper concludes with discussions on specific requirements including the use of fraud investigators and modern forensic techniques in a collaborative effort with guidelines from the Supreme Audit Institution to minimise fraud. Originality/value This study, to the best of the authors’ knowledge, is the first to explore the role of GAS in minimising occupational fraud.