The role of internal control and information sharing in preventing fraud in the Saudi banks

• Main Authors: Baz, Rayaan, Samsudin, Rose Shamsiah, Che Ahmad, Ayoib
• Format: Article
• Language: English
• Published: IIARD Publishing. 2017
• Subjects: HF5601 Accounting
• Online Access: http://repo.uum.edu.my/22408/1/JAFM%203%2012017%207%2013.pdf; http://repo.uum.edu.my/22408/; https://www.iiardpub.org/get/JAFM/VOL.%203%20NO.%201%202017/The%20Role%20of%20Internal%20Control.pdf

Fraud is known to threaten companies and organizations inclusive of all financial institutions in the world.Studies have shown that weakened internal controls and technological advances may have created new fraud threats for banks.The threats have been difficult to deal with because of the rapid changes that characterize the technology industry.Generally, over 5 billion online fraud attempts took place each year globally.In Saudi Arabia alone, it is estimated that about SR 16 billion is lost each year to commercial fraud, a large part of which is perpetrated electronically.Recent data shows that the country is among the top twenty countries most affected by electronic fraud.Therefore, fraud prevention should be a crucial focus for Saudi banks.This study presents a conceptual framework on measures that can be employed by banks and government authorities in the country in dealing with the growing electronic banking fraud.