Forensic accounting and its role in prevention and detection of fraud

Fraud and corruption are two complex and multi-dimensional Phenomenon with different causes and effects that can have destructive consequences for corporations and community. The world has witnessed several instances of corporate scandals and failure in recent years (Enron, etc.). This has brought to the fore the inadequacy of the statutory audit in the prevention and detection of fraud and financial mismanagement. Therefore, in order to protect the interests of stakeholders and resolve legal claims discussed against companies and auditors, a new branch of accounting knowledge was formed in the name of “Forensic Accounting”. This article seeks to explain the meaning and nature, conceptual framework, activities and services rendered, core knowledge and personal skills required for forensic accounting as a specialized field in the accounting profession.Forensic accounting can be implemented to realize the goals Resistive Economy, increasing the transparency and accountability and it can be attempt in improving financial and administrative system in our country.