Author(s)

Jihui Sun ¹, Liyun Chang ¹

Affiliation(s)

¹ School of Economics and Management, Dalian University, Dalian, Liaoning, China

Corresponding Author

Liyun Chang

ABSTRACT

As the "power source" of China's economic growth, listed companies have far-reaching significance to the long-term development of China's overall economy. However, with the rapid development of the securities market in recent years, the number of listed companies committing financial fraud by means of related party transactions, fictitious business and inflated profits is also increasing year by year. The financial fraud of listed companies destroys the market integrity, seriously damages the interests of investors, and becomes a "stubborn disease" that affects the healthy development of the capital market. As the first listed company delisted from A-shares in 2023, Kaile Technology is involved in A high amount of money and concealed fraud methods, which has representative significance for the research on financial fraud of listed companies. Based on the overall goal of improving the quality of listed companies, this paper analyzes the specific cases of financial fraud of Kaile Technology based on GONE theory, analyzes the motivation of financial fraud of Kaile Technology from the perspectives of G, O, N and E, and proposes governance measures to prevent financial fraud of listed companies based on the motivation of fraud, in order to provide references for governance of financial fraud of listed companies.

KEYWORDS

Financial Fraud, GONE Theory, A Listed Company, Kaile Technology

CITE THIS PAPER

Jihui Sun, Liyun Chang, A Case Study of Financial Fraud in Listed Companies Based on GONE Theory—Take Kaile Technology as an Example. Accounting and Corporate Management (2024) Vol. 6: 48-54. DOI: http://dx.doi.org/10.23977/acccm.2024.060107.

REFERENCES

[1] Du Wei. Luckin Coffee Financial Fraud Case Analysis. Financial Engineering and Risk Management, 2023, 6(7):125-128.
[2] Md Jahidur Rahman, Hu Jiaying, Md Moazzem Hossain, et al. Financial statement fraud: US and Chinese case studies. International Journal of Managerial and Financial Accounting, 2023, 15(4):413-441.
[3] Parvati T. Soneji. The Fraud theories: Triangle, Diamond, Pentagon. International Journal of Accounting, Auditing and Performance Evaluation, 2022, 18(1):49-60.
[4] Li Jia, Chen Jiaying. Research on the Identification and Countermeasures of Corporate Financial Fraud Risk: a Case Study of Gansu Huangtai Wine-Marketing Industry Co., Ltd. Accounting and Corporate Management, 2023, 5(8):8-15.
[5] Jumde Akanksha. The law on CSR in India: an analysis of its compliance by companies through corporate disclosures.Journal of Corporate Law Studies, 2021, 21(1):253-282.
[6] Xiaoshuai Li, Daeyoung Ko. Financial Fraud of Listed Companies: The Case of the Luckin Coffee Incident. Academic Journal of Business & Management, 2023, 5(13):47-52.
[7] Dandan Li, Bo Gao. *ST Xinyi Company's Financial Fraud and Audit Failure Case Analysis. Accounting and Corporate Management, 2022, 4(2):17-23.
[8] Mahmoud Ezzamel, Jason Zezhong Xiao, Rongli Yuan, et al. Can Small Shareholders Protect Their Interests from Expropriation: The Case of Chinese Bank. Management and Organization Review, 2020, 16(1):139-168.
[9] Li X, Wang J, Yang C. Risk prediction in financial management of listed companies based on optimized BP neural network under digital economy. Neural Comput & Applic 2023, 35, 2045–2058.

Sponsors, Associates, and Links

---

• Information Systems and Economics
  
  
• Accounting, Auditing and Finance
  
  
• Industrial Engineering and Innovation Management
  
  
• Tourism Management and Technology Economy
  
  
• Journal of Computational and Financial Econometrics
  
  
• Financial Engineering and Risk Management
  
  
• Social Security and Administration Management
  
  
• Population, Resources & Environmental Economics
  
  
• Statistics & Quantitative Economics
  
  
• Agricultural & Forestry Economics and Management
  
  
• Social Medicine and Health Management
  
  
• Land Resource Management
  
  
• Information, Library and Archival Science
  
  
• Journal of Human Resource Development
  
  
• Manufacturing and Service Operations Management
  
  
• Operational Research and Cybernetics