Effectiveness of Forensic Accounting Services in Financial Crime Detection in Public

Sector Organisations in Zimbabwe

By

By

Tauje Mwamadi (R2215706Q)

Dissertation

Chapter 1
Submitted in partial fulfilment of the requirements for the degree of
Mcomm Forensic Accounting and Audit
Department of Accounting
in the
Faculty of Business Sciences
at the

Midlands State University

Harare

by

Takudzwa R Kaseke

R233163 J

Supervisor: Mr Chihava

1
 CHAPTER ONE

INTRODUCTION

1.1Introduction

The purpose of this study was to determine the efficiency of forensic accounting services in
detecting financial wrongdoing in Zimbabwe's public sector businesses. This chapter
included the study's background, explanation of the problem, purpose of the study, objectives
of the study, research questions, research assumptions, study limits, definition of important
words, and summary.

1.2 Background to the study

Forensic accounting has several possible roots, including the hiring of accounting staff in
1817 and the publishing of the word "forensic accounting" in 1946. The frequency of fraud
and economic crime within enterprises, which is frequently conducted by internal players, is
growing. Many companies have failed to do adequate fraud risk assessments, resulting in
underreporting owing to fear of unwanted publicity. Implementing forensic accounting
services and risk assessment procedures is critical for discovering and avoiding financial
fraud. Whistleblowing is the most prevalent technique of uncovering financial crimes, and
while the Sarbanes-Oxley Act of 2002 enhanced corporate governance, more forensic
accounting services are needed.

In the United States, KPMG polled 204 executives from firms with annual revenues of USD
250 million or more and discovered that 65 percent of respondents judged fraud to be a
serious risk to their organization (Muthusamy et al., 2019). Similarly, in the United Kingdom,
the National Fraud Authority (NFA) stated in 2020 that the size of fraud damages against all
victims was in the area of 73 billion USD each year in 2014, 2018, and 2020, with 13, 30, and
38 billion USD, respectively. In Asia, Ernest & Young's India fraud indicator study (2012)
revealed that losses due to fraud were INR 66 billion.

Muthusamy et al. (2019) also said that in the United Kingdom, the total recorded fraud and
other financial crime cases climbed by 189%, from $411 million in 2003 to $1.19 billion in
2018. The average direct financial loss to Malaysian corporations from fraud and associated
financial crimes increased by more than 11 times, from USD 173.303 in 2015 to USD
2,158,827 in 2018 (Price Waterhouse Coopers, 2019). Given the massive sums of money lost
to financial crimes, one could be inclined to question what efforts these organizations are

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doing to avoid these crimes. In India, New Delhi had the most fraud instances and the biggest
overall damages when compared to other sections of the nation. The financial services
industry performed the poorest.

Aderibigbe (2021), who is also researching the history of forensic accounting in West Africa,
consulted the head of Nigeria's Senate Committee on Public Service. Since the 1980s,
examples of syndicated and institutionalized fraud and embezzlement have occurred in
pension fund management. Significant quantities of Nigeria's oil money have been stolen or
misused. Financial crimes of billions of naira have been detected in Nigerian banks
(Aderibigbe, 2021). In East Africa, Opiyo (2021) conducted a research in Kenya to explore
the function of forensic accounting services in fraud reduction among governmental
companies. According to the research, forensic accounting services play an important role in
fraud prevention and detection in public organizations, publicly traded companies, and
commercial banks. However, there have been significant examples of fraud in the

In Tanzania, government audit reports identify concerns such as revenue nondisclosure,

fraud, and corruption in procurement procedures in local governments and public enterprises
such as TANESCO. Auditors' influence has been insufficient to solve these difficulties
(Victor, 2021).

Forensic accounting is becoming more popular in Zimbabwe, with educational institutions

such as Harare Institute of Technology University, Midlands State University (MSU), and the
Southern Africa Association of Accountants (SAAA) offering forensic accounting as a major
course. In Zimbabwe, the use of several currencies as legal money, notably the US dollar,
resulted in an increase in fraud cases. As a result, forensic accountants were in great demand
to investigate and identify those responsible for these fraudulent operations. To combat
financial crimes in public institutions, the government required the Auditor General to report
the findings of the review of all public entities' accounts to the legislature. This provision is
backed by Zimbabwe's Constitution and the Audit Office Act.

The Auditor General's reports, which include a variety of financial accounts, highlighted
major audit findings and recommendations for fiscal years 2018–2022. Unfortunately,
Madziva, Msipah, and Tukuta (2022) do not disclose precise details about the governance
issues highlighted or the qualified audit opinion presented.

Table 1 below shows fraud cases reported in Zimbabwe media after adopting multi-
currency:

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 Table 1
Fraud Case Estimated Fraud Case Estimated
loss loss
Air Zimbabwe saga US$10m Net-One scam US$11m
ZESA tender US$300m ZIMRA duty scam US$20m
scandals
Chitungwiza Council salary
Interfin Bank scandal US$136m US$10m
storm
Econet / Liquid tax US$300m NSSA externalisation fiasco US$300m
saga
Mbada Diamond US$15bn Old Mutual death claim scam US$70,000
scam

Between 2018 and 2022, the Auditor General reported 391 governance problems.
Appropriation accounts and 106 qualified audit opinions were provided, highlighting possible
weaknesses in areas such as revenue collection, debt management, and procurement. The
Auditor General made suggestions for improving service delivery, openness, and
accountability. Despite government attempts to combat fraud and corruption, the widespread
prevalence of these issues necessitates further examination. Public officials have been shown
to manipulate tender processes for personal advantage. Overall, there is a need for enhanced
attention to governance concerns and the implementation of reforms to strengthen openness
and accountability in the public sector (AG Reports,2022).

Table 2 below summarizes the governance problems presented and the qualified audit
opinion reported by the AG between the fiscal years 2018 and 2022 Appropriation accounts.

Table 2: Summary of Governance Issues Raised and Qualified Opinions Issued

FINANCIAL GOVERNANCE QUALIFIED

ISSUES RAISED OPINIONS ISSUED
YEAR

2018 13 15

2019 8 17

2020 105 19

2021 97 17

2022 168 4 38

TOTALS 391 106

Source: Primary Data (2024)

The material supplied emphasizes the significance of strong internal controls and the
application of forensic accounting techniques to reduce occurrences of fraud in government
agencies. It highlights that robust internal controls alone cannot ensure fraud avoidance, since
fraud costs firms trillions of dollars each year throughout the world. Therefore, improved
detection tools and forensic accounting techniques are required in identifying and combatting
financial crimes such as fraud, corruption, bribery, and money laundering.

The Zimbabwean government employs internal auditors in each ministry and guarantees that
their work is examined by the Auditor General on an annual basis. Audits are carried out in
compliance with international standards such as the International Standards of Supreme Audit
Institutions (ISSAIs) and the International Standards of Auditing (ISAs). However, it accepts
that audits may not detect all flaws in procedures and systems, and auditors must consider the
likelihood of fraud and its impact on financial statements. Between September 2022 and
April 2023, the Zimbabwean government launched a variety of steps to improve value for
money in public procurement. These tactics included negotiating lower contract rates,
undertaking due diligence before payments, and blacklisting vendors. This demonstrates a
lack of faith

However, despite how enticing forensic accounting appears to be, the researcher stated that
there are no clear standards in Zimbabwe, nor is there any Act of Parliament with which
forensic accountants must conform when doing their tasks.

1.3 Statement of the Problem

In Zimbabwe, public organizations have been victims of concerted financial swindles,
resulting in huge financial losses. The absence of forensic accounting courses at accounting
schools and training institutes has resulted in a deficit of expertise for detecting and
preventing financial crime. Zimbabwe has failed to comply with international standards to
combat financial crime and terrorism funding because its financial sector legislation are
ineffective and inconsistently applied. Zimbabwe's regulatory structure is inadequate, leaving
enterprises vulnerable to criminal operations. The most noteworthy kinds of economic crime
include corruption and market manipulation. For example, Zimbabwe has yet to make
significant progress on implementing and enforcing effective risk mitigation measures against
money laundering activities in accordance with Financial Action Task Force (FATF)
recommendations. Furthermore, uneven execution of financial market legislation has led to

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low liquidity and the recent suspension of the Zimbabwe Stock Exchange (ZSE). The
viability and integrity of the Zimbabwean financial market have therefore been jeopardized.

1.4 Purpose of the Study

The study looked at how successful forensic accounting services were in detecting and
preventing financial wrongdoing in selected Zimbabwean public entities.

1.5 Objectives of the Study

The specific objectives of this study were: -

i. Determine the impact of litigation support services on financial crime detection and
prevention in Zimbabwe's public sector organizations.

ii. Determine the impact of business advice services on financial crime detection and
prevention in Zimbabwe's public sector organizations.

iii. Evaluate the impact of dispute resolution services on financial crime detection and
prevention in Zimbabwe's public sector organizations.

iv. To investigate the impact of consulting services on financial crime detection and
prevention in Zimbabwe's public sector organizations.

1.6 Research Questions

This study attempted to answer the following questions:

What effect do litigation support services have on detecting and preventing financial
misconduct in Zimbabwe's public sector organizations?

ii. How do business consulting services affect the identification and prevention of financial
crime in Zimbabwe's public sector organizations?

iii. How can dispute resolution help detect and prevent financial wrongdoing in Zimbabwe's
public sector organizations?

iv. How do consultancy services affect the identification and prevention of financial crime in
Zimbabwe's public sector organizations?

1.7 Research Hypotheses

The study tried to examine the following null hypotheses at the 0.05 alpha level of
confidence.

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H01: Litigation Support Services have no major impact on financial crime detection and
prevention in Zimbabwe's public organizations.
H02: Business advisory services have no major impact on financial crime detection and
prevention in Zimbabwe's public sector.
H03: Dispute Resolution Services have no major impact on financial crime detection and
prevention in Zimbabwe's public sector.
H04: Expert Consultancy Services have no major impact on financial crime detection and
prevention in Zimbabwe's public sector.

1.8 Significance of the Study

Improving financial accounting organizations- the findings of this study may prove beneficial
to the organizations where the study was conducted, particularly in controlling financial
crimes, by providing them with adequate and valid information through the provision of
reliable survey evidence on how forensic accounting can help curb financial crimes, in
addition to the numerous anecdotal views that exist.
Practical Implications: The study may have an impact on government policies and
directives relating to financial crime control and the usage of forensic accounting services.
Financial experts-This study might be very useful to financial officers, notably accountants
and auditors, by providing them with additional forensic accounting abilities and information
that will allow them to combat modern financial crimes.
Theoretical Significance: This work may lead to the development of new theoretical models
for financial crimes and forensic accounting services in both public companies.

1.9 Assumption of the Study

● The study report was well-organized with appropriate information and prompt responses to
inquiries.
● There was no victimization related to surveys.

1.10 Delimitations of the Study

1.10.1 Geographical Delimitation

The study was limited to six (6) public organizations based in Harare. The organizations
included the Ministry of Finance and Economic Development (Accountant, Internal Auditors,
and Investigation Unit), the Office of the Auditor General (OAG), the Reserve Bank of
Zimbabwe (Financial Crime Unit), the National Prosecuting Authority (NPA), the Zimbabwe
Anti-Corruption Commission (ZACC), and the Accountant General's Office. These

7
organizations were specifically chosen because they deal with state finances and require
forensic accounting services.

1.10.2 Theoretical Delimitation.

The study was guided by the following theories: Edwin Sutherland's (1927) white collar
crime theory, Agnew's (2006) general strain theory, Lavidge and Steiner's (1961) hierarchy of
effects models, and Jensen and Mecking's (1976) agency theory.

1.10.3 Content Delimitation.

This involved forensic accounting services (litigation assistance, business consulting services,
dispute resolution, and expert advice) as independent variables and financial crime detection
and prevention as dependent variables. There are several mediating variables, which include
internal, environmental, and personal aspects.

1.10.4 Time Delimitation

The research included a five-year span (2020-2024). This time was chosen because several
financial crimes were being discovered.

1.11 Limitations of the study

Confidentiality - Hurst (2020) emphasized the importance of specific protection against

harm and exploitation of information; as a result, respondents may be unwilling to provide
some of the information requested. The researcher underlined the Official Secret Act, which
ensured that individual information was kept private and secret and only utilized for
academic purposes, such as no schools or participants being exposed.

Access to Information-Due to the researcher's geographical location and employment

responsibilities, he found it difficult to access the University library. However, the researcher
purchased data bundles to ensure that the investigation was complete.

1.12 Definition of Key Terms

Accounting: Accounting is the measurement, processing, and communication of financial
information about economic entities such as businesses and corporations (Belverd & Marian,
2020), as well as the keeping or preparation of an entity's financial records, their analysis,
verification, and reporting, and accounting principles and procedures (British 23 English
Dictionary & Thesaurus, 2013). Therefore, it refers to the maintaining or creation of an
entity's financial records, the analysis, verification, and reporting of such information, as well
as "the principles and procedures of accounting."

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Forensic Accounting: Has been defined as the application of accounting concepts and
techniques to legal problems (Dhar & Sarkar, 2021), as the combination of accounting,
auditing, and investigative skills in resolving litigation disputes (Enofe, Idemudia, &
Emmanuel, 2022), and as investigative accounting skills involving the application of
financial skills and an investigative mindset conducted within the context of the rules of
evidence to resolve issues (Dada, 2019). However, forensic accounting refers to the use of
accounting expertise and investigation abilities to record, summarize, assess, interpret, and
present financial facts in order to address legal concerns involving financial irregularities.

Accounting Services: It has been defined as the application of accounting concepts and
techniques to legal problems (Dhar & Sarkar, 2021), as the combination of accounting,
auditing, and investigative skills in resolving litigation disputes (Enofe, Idemudia, &
Emmanuel, 2022), and as investigative accounting skills involving the application of
financial skills and an investigative mindset conducted within the context of the rules of
evidence to resolve issues (Dada, 2019). However, forensic accounting is the application of
accounting competence and investigative skills to record, summarize, analyze, interpret, and
present financial data in order to resolve legal concerns about financial irregularities.

Fraud: According to Owolabi, Dada, and Okwu (2020), is defined as any act of dishonesty,
deception, falsification, or manipulation committed in order to get money or non-financial
advantages or an unfair advantage from an institution. According to Bitrus and Dariye
(2020), fraud is defined as a dishonest, fraudulent, false, and manipulated act committed in
order to get monetary or non-monetary advantages or an unfair advantage from an individual
or organization. In this context, it refers to any intentional distortion of the truth in order to
compel someone to part with something valuable or to give up a legal right; a false depiction
of a fact.

Fraud Examination is a process for resolving fraud claims from start to finish, including
gathering evidence and testimonies, drafting reports, testifying to conclusions, and helping in
fraud detection and prevention (Fraud Examiners Manual, 2022). It refers to the process of
resolving fraud claims from origin to disposal, which includes gathering evidence,
conducting interviews, preparing reports, and testifying.

Fraud Investigation: Fraud investigation assesses if a fraud has occurred and collects
evidence to protect the victims. It entails a number of stages meant to safeguard the business,
limit interruptions, and preserve evidence. (MCM Manual, 2018). It refers to any operations

9
that take place when signs of fraud, such as missing cash or other evidence, indicate that a
fraudulent act has happened and need an investigation to ascertain the degree of the loss and
the identity of the culprit.

Fraud Detection: According to PWC (2019), a global economic survey employs advanced
data mining methods to scan millions of transactions for trends and discover fraudulent
transactions. However, in this context, it refers to the activity that occurs after fraud
investigation and the identification of the real and degree of losses, as well as the name of the
perpetrators.

Fraud Prevention: PWC (2019), a worldwide economic study, defines internal controls as
the policies and/or processes put in place to protect your company's assets, assure the
accuracy of its accounting records, and discourage and identify fraud and theft. Segregation
of tasks is an essential aspect of internal control that helps lower the likelihood of fraud
occurring.

Financial Crime: According to Deloitte (2020), financial crime is a term used to describe a
variety of criminal acts, including money laundering; terrorism financing; bribery;
corruption; sanctions violations; proliferation financing; cyber-financial crime; various types
of fraud (securities fraud, insider trading, market manipulation, bank fraud, insurance fraud,
payments fraud, health care fraud, medical fraud, credit card fraud, cheque fraud, corporate
fraud, and other types of frauds). In this research, it refers to any purposeful conduct that
violates a law, rule, or policy with the goal to receive an illicit pecuniary benefit.

Crime: According to the Legal Services Commission of South Australia (2019), a crime is
an offense that warrants community censure and punishment, generally in the form of a fine
or jail. This is distinct from a civil wrong (a tort), which is an action brought against an
individual that seeks compensation or restitution. It refers to any conduct or omission that is
considered an offense and punished under the law.

Forensic Investigation: According to Genge (2022), forensic investigation is the collection

and examination of all crime-related physical evidence in order to identify a suspect by
examining blood, fluid, fingerprints, residue, hard drives, computers, or other technologies to
determine how a crime was committed. This type of analysis employs intelligence-gathering
tactics, accounting, business, and communication abilities to present evidence to attorneys

10
involved in criminal and civil cases. It is defined here as the use of specialist investigative
abilities to conduct an investigation in such a way that the results may be used in court.

Forensic Audit: According to Investopedia (2022), a forensic audit is a study and review of a
company's or individual's financial information for use as evidence in court. A forensic audit
can be used to prosecute someone for fraud, embezzlement, or other financial crimes.
Furthermore, an audit may be done to identify negligence or the amount of spousal or child
support that an individual must pay. For our purposes, it is the assessment of evidence about
an allegation to evaluate if it corresponds to defined criteria, carried out in a manner
appropriate to the court. For example, a forensic audit of sales records to ascertain the amount
of rent owed under a lease agreement that is being litigated.

Internal Audit: As per the Institute of Internal Auditors Australia (2023). Internal auditing is
a dynamic profession that helps firms accomplish their goals. It is concerned with reviewing
and enhancing the efficacy of an organization's risk management, control, and governance
systems, and it has been adopted in its current form.

External audit: Mongo (2019) defines an external audit as an independent evaluation of an

organization's financial accounts. It is frequently done for statutory reasons (because the law
mandates it). A forensic audit is the inspection and appraisal of a company's or individual's
financial information for use as evidence in court.

1.13. Summary
This chapter included the introduction, background to the study, statement of the problem,
purpose of the study, objective of the study, research questions, hypothesis statement,
significance to the study, research assumptions, term definitions, study limitations, and
delimitations. The following chapter will concentrate on the literature review.

CHAPTER TWO

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 LITERATURE REVIEW

2.0 Introduction

The previous chapter provided background information for the study by defining the research
questions and objectives. This chapter will look at the literature review. The goal of a
literature review is to educate oneself on the issue and grasp the literature before developing
an argument or explanation. The core focus of this chapter's study is a review of the literature
on the potential of forensic accounting and auditing in Zimbabwe's public sector
organizations. of external auditing in promoting accountability and effective use of public
monies. This section also aims to focus on presenting diverse arguments, agreements, and
disputes from various writers who have previously investigated external auditing and the
audit expectation gap .

2.1 Theoretical Framework

This study is guided by three theories: Edwin Sutherland's White Collar Crime Theory
(1949), Agnew's General Strain Theory (1992), and Jensen et al's Agency Theory (AT)
(1976).
2.1.1 White-Collar Crime Theory
Edwin Sutherland invented the White Collar Crime Theory in 1949. Sutherland proposed the
notion of "white-collar" crime in his 1949 criminology paper, using the phrase "white-collar
criminality" in connection to the criminality concept first used by Ross (1907). Focusing on
businesses who engaged in damaging behaviors under the guise of respectability, Ross stated
that crime is "society's most dangerous fox, more redoubtable by far than the plain criminal,
because he sports the livery of virtue and operates on a titanic scale". Sutherland expanded on
these concepts, pointing out that crimes were not perpetrated solely by members of the lower
class(Bethune, 2019). Corporate crimes were also covered. Sutherland first presented his idea
to the American Sociological Society in an attempt to investigate two fields with no previous
empirical correlation: crime and high society. White collar criminals have distinct qualities
and motivations than regular street criminals. He applied the notion to question traditional
prejudices and assumptions.
This idea claims that prosecutors and judges are more tolerant toward white-collar offenders
than street criminals. The legal case that advanced this was: He remarked that in his period,
less than two percent of those imprisoned each year were from the upper class.

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Sutherland's request to social scientists to broaden their emphasis to include crimes
committed by upper-class criminals was met with both praise and criticism. On the one hand,
Sutherland was commended for broadening the scope of the social sciences. On the other
hand, several social scientists and legal specialists disputed Sutherland's approach to defining
and studying white-collar crime. Much of the criticism centered on five issues that academics
had regarding Sutherland's usage of the white-collar crime concept. These issues
encompassed conceptual, empirical, methodological, legal, and policy ambiguities (Bethune,
2012).
2.1.2 General Strain Theory
Agnew (1985) proposed the general strain hypothesis, which claims that stress and strain are
a primary source of criminal motivation. However, the crux of this theoretical approach is
that crime and delinquency are the outcome of a poor emotional state caused by damaging
connections. According to Agnew's (2006) General Strain Theory (GST), crime is caused by
individual encounters with strain. Strains are characterized as situations that are unpleasant
and/or create discomfort. Objective strains are those that everyone dislikes, but subjective
strains refer to the degree of hate felt by a certain person (Agnew, 1992).
Agnew proposed that strain leads to delinquency more frequently when 1) it is of a greater
magnitude; 2) it is perceived as unjust; 3) there is pressure to respond in a delinquent manner;
and 4) the individual experiencing the strain has low self-control (Agnew 1992; Agnew,
Rebellon & Thaxton 2019; Baron 2018). Individual traits increase the likelihood of
delinquent behavior in response to hardship. Personal characteristics, notably negative
emotions and poor restraint, have been demonstrated to influence the effect of strain on
delinquency. But could this explain for crime committed by individuals?
The critiques leveled at this idea stem from its view of crime as a technique to merely relieve
or escape stress, exact retribution, or alleviate bad feeling. It also considers those who
commit financial crimes to be predisposed to criminality since they lack the skills to function
legally. Furthermore, Agnew et al. (2019) asserted that general strain theory, which was
offered as a fresh to criminology, is mainly based on stress research findings and does not
apply to financial crimes.
The significance of GST in this study: The General Strain Theory can be used to explain why
white-collar criminals, including terrorists, commit financial crimes that white-collar crime
theory does not explain. Indeed, stresses defined by financial, goal-related, and economic
inequalities can provide insights into numerous types of white collar crimes. Financial, goal-
related, and economic stresses, together with a competitive corporate environment, can be

13
used to explain corporate crime. Because the most majority of financial crime perpetrators are
persons of trust, GST best explains why they commit such crimes.
2.1.3 Agency Theory
Agency theory is a theoretical concept that aims to explain the interaction between the
management (agent), who is the motivated offender, and the owner. Agency theory is a
management theory based on a principal-agent relationship between shareholders and
management (workers) (Jensen et al, 1976). It explains a relationship in which the agent
manages the resources of a corporation or business organization, which in the public sector is
an employee acting on behalf of the principle (government, private owner). It believes that
there is an unbalanced connection because the separation of ownership and control has
always allowed both to information a system where managers (workers) have greater
knowledge (skills and know-how) about the firm or organization's current and future
performance .
Ofor (2019), quoted in Lucy, Okoh, and Nuemeka (2020). However, confining financial
crime to mare agent and principal focuses on the individual perpetrator while ignoring
organizational variables such as the availability of punishment. For example, Cohen and
Felson (1979) described how regular action might put an unwary target (the principal) at risk
of financial crime in the hands of people or groups with both an inclination (a propensity or
feeling) and the ability (capacity) to conduct the crime.
The Agency theory also assumes that no agents (employees or managers) are trustworthy and
would enrich themselves at the cost of their principal. In other words, it is not just because
they are in a position of trust that they have an inclination (desire, tendency to feel like
committing a crime) and the ability (capacity or competency) to do such crimes.
Relevance of Agency Theory in this study: Despite this flaw, Agency theory can assist
explain how and why individuals and managers alike commit fraud and financial crimes in
their workplaces. The perpetration of financial crimes by senior management personnel is
responsible for the challenges that forensic accountants confront in detecting and preventing
them since managers who have access to the records can falsify or hide them from
examination (Lucy, Okoh, & Nuaemeka, 2016). This theory also sheds light on the difficulty
of detecting and preventing financial fraud through the use of forensic accounting services. It
also helps to explain causes of financial crimes that go beyond only being in a position of
trust, being part of management, having opportunity, strain present, or rationalization, but
signal the existence.

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2.2 Evolution of Forensic Accounting

The historical evolution of forensic accounting has been linked to the rise of financial
crimes and related fraudulent activities in both public and private businesses across the
world (Efosa and Kingsley, 2020). However, Zhao Rylan (2019) believes that forensic
accounting applications may be dated back to 1817, when a Scottish count in Glasgow
established a special accounting people to act as counsel.

The present exponential expansion in complexity of company settings, caused by

globalization and advancements in Information Communication Technology (ICT), has
raised not just the necessity for forensic accounting but also the intricacy of financial
crimes. It has also raised the necessity to establish mechanisms that provide companies
with protection against criminals as well as the capacity to detect financial crimes early
enough to avert harm (Okoye et al, 2019). Similarly, Enofe et al. (2015) discovered that.
The recent global growth in financial crimes has demanded a review of its evolutionary
history in order to comprehend and reveal the causes, trends, offenders, detection, and
preventative methods.

It has also been suggested that forensic accountants examine behind and beyond
transactions, whereas auditors focus on the content of such transactions. In light of this,
Salaudeen (2019) suggested that, unlike financial auditors, forensic auditors ask inquiries
that allow them to get to the bottom of any type of financial fraud. These queries include,
"Where are the weakest links in the system chain of controls?" How do offline
transactions work, and who approves them? What kind of departures from traditional
good accounting practice are possible in the system? What is the simplest technique to
breach the system? What is the organisation's work environment like? And how might
senior management circumvent the organisation's control systems?

These inquiries are only posed by forensic accountants because of their ability to
challenge organizational standing orders and senior management, which auditors are
unable to accomplish (Salaudeen, 2019). The distinctions serve to strengthen the case for
using foreign accounting in the discovery and prevention of financial crimes. To
summarize, forensic accounting, like any other profession, has changed over time and
continues to adapt in response to technical advances, changes in society, the economy,
and political concerns (Dreyer, 2014).

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2.3 The Concept of Forensic Accounting and Forensic Accounting Services

Forensic accounting has gradually made its way into mainstream current accounting
literature, with several experts defining it theoretically and operationally. According to
Modugu et al. (2019), forensic accounting combines accounting, auditing, and
investigation abilities. While Zysman (2020) defines forensic accounting as the
application of accounting principles and procedures to legal issues. It requires reporting,
in which accountability for the offense is established and the report is used as evidence
in administrative processes (Dhar et al, 2020). Similarly, Oseni (2019) defines forensic
accounting as the use of investigation and analytical abilities to resolve financial
challenges in a way that fulfills the requirements set by courts of law.

According to Howard and Sheetz (2020), forensic accounting is merely the process of
understanding, summarizing, and presenting complicated financial issues clearly,
concisely, and factually in court as an expert witness. It is focused with the application of
accounting discipline to help resolve factual disputes in corporate litigation (Razaee,
Crumbley, & Elmore, 2020). Many authors define forensic accounting as the application
of financial skills and an investigative mentality to unresolved issues, conducted within
the context of the rules of evidence (Damilola & Olofinsola, 2019; Rumaswamy, 2020),
or as the application of financial accounting and investigative skills, to a standard
acceptable by the courts, to address issues in dispute in civil and criminal litigation.

The AICPA (2015) defines forensic accounting as "the application of accounting

principles, theories, and discipline to facts or hypotheses at issue in a legal dispute, and
encompasses every branch of accounting knowledge." The AICPA (2015) divides
forensic accounting into two basic categories: investigation and litigation services.

2.4 The Conceptual Framework

The dependent variable in the study was financial crime prevention and detection, with four
forensic accounting service indicators (litigation assistance, business consulting services,

16
dispute resolution, and expert consultancy) serving as independent variables. The relationship
between forensic accounting services and financial crime detection and prevention is
illustrated in Figure 2.1 below. However, the direct link between the independent and
dependent variables may be regulated or changed by some mediating variables, which are
classified as external factors: government policies, accounting companies, values and
standards, and media coverage. The second category is internal elements, which include
corporate leadership, control mechanisms, and an ethical atmosphere. The third aspect is
personal, which includes status, a lack of self-control, tension, and social structure.
Forensic Accounting
Litigation support services
- Quality of litigation
acceptable in court
- Mode of preparation
- Time of litigation support
- Accessibility Dependent Variable
- Analytical procedure
Financial Crime Detection
and Prevention
Business advisory services
- Quality of advice Level of financial crimes
- Expertise/ skills of agent
- Mode of advisory - High
- Moderate
Dispute resolution services
- Low
- Reasonable accessibility
- Quality of dispute procedure
- Expertise/ Skills
- Specific experience
Expert consultancy services
- Quality of consultancy
- Acceptability/ accessibility
- Competency
- Knowledge and skills

Mediating variables
External factors Internal factors Personal factors
- Organization
- Government policy - Being in position
leadership
- Accounting firms - Absence of self -
- Internal control
- Values and norms control
system
- Media publicity - Strain
- Organizational
- Social structure
ethical climate

Figure 2.1 : Conceptual Framework

17
Source: Researcher, 2024

2.5 Litigation Support Services and financial crime detection and prevention

Christian and Christian (2020) used Spearman's Correlation Coefficients to indicate a

substantial association between litigation support services and the identification and
prevention of financial crimes, as well as their purpose and justification. According to
Crumbley, Hetger, and Smith in Eliezer & Emmanuel (2019), forensic accounting is a
specialist area of the accounting profession that describes engagements resulting from
real or expected conflicts or litigation. These authors did not explain what litigation
services are or what they perform, which is critical for understanding how they can aid
with crime detection and prevention in this study.

According to Singleton et al. (2019), litigation services often include expert witnesses,
advising, and other services. While investigative services include forensic services such
as analysis or investigations, they may require the same expertise as litigation services.
According to Temitope (2020), litigation support services either give help in a matter
involving current or ongoing litigation or reflect the factual presentation of economic
difficulties relating to existing or pending litigation. He went on to say that it primarily
deals with concerns with the monetary or economic damages experienced by parties
involved in legal disputes, and that it may help resolve conflicts before they reach or
enter the courtroom. A excellent example of litigation support assignment is assessing
the economic damage arising from violation of contract(Ng’ang’a, 2021).

It has been argued that the use of forensic accounting services, such as litigation
support, will necessitate a thorough understanding of financial crimes (Imam, Kumshe &
Jajere, 2019), but the majority of them agree that it is the act of presenting a false
financial statement with the intent of cheating or gaining an unfair financial advantage
over others. In terms of property, financial crime is the illegal or unlawful conversion or
claim of ownership of another person's property for personal gain (Nelu, 2020).

The variety of financial crimes is also a problem, not only in terms of definition but also
in terms of litigation in court, as observed by Uthaman, Oke, Agape, Abdul - Baki, and
Tijani (2019), who observed that types of financial crimes include all forms of fraud,

18
bribery, political corruption, conflict of interest, embezzlement, nepotism, and extortion,
making prevention extremely difficult. They provide examples of government operations
that are particularly vulnerable to financial crimes, such as travel claims, tax and customs
revenue collection, procurement contract administration, concessions of subsidies,
permits, and licenses, hiring, personnel administration, and payroll systems, privatization
processes, petty cash abuse, and e-commerce and Internet credit card transactions, which
are difficult to litigate.

In conclusion, Eiya and Otalor (2019) noticed that lawsuit Support Services (LSS) gives
accounting information aids in accounting challenges concerning existing or pending
lawsuit. It largely addresses concerns with the investigation and quantification of
material damages. They contended that often, litigation support services assignments
entail the computation of financial damage caused by a violation of trust. However,
mere measurement alone does not prevent financial crimes; a more investigative method
is required to discover and prevent financial crimes.

2.6 Dispute Resolution and financial crimes detection and prevention

According to Joel (2019), in conflict resolution, forensic accounting and accountants

estimate damages experienced by parties involved and assist in settling them before they
reach court. It presents an accounting analysis appropriate for court proceedings, which
will serve as the foundation for discussion, debate, and, eventually, conflict settlement.
Here, forensic accounting seeks an out-of-court settlement and makes recommendations
or steps that may be taken to prevent future risks and losses. While Zysman (2020)
believes that the use of forensic accounting accountants in dispute settlements is aimed at
determining where money went, how it got there, and who was accountable since they
are trained to see beyond statistics when dealing with the scenario. (Oyier,2019).

The study also found that dispute resolution had a positive impact on fraud and financial
crime detection and prevention by implementing risk-based processes (a third party
determines the outcome of a dispute based on laws), interest-based neutrals (manages
dispute resolution while leaving decision-making authority to parties themselves), and
negotiations.According to Efiong (2019), forensic accounting has two main focuses: (1)
litigation assistance and investigation, and (2) dispute settlement. Similarly, (Chary,

19
2019; Owojori & Asaolu 2019; Kasum, 2019) contended that litigation support and
investigation constitute the factual depiction of economic difficulties in relation to
ongoing litigation.

In conflict resolution, Zysman (2020) said that forensic accountants estimate damages
experienced by parties involved and assist in settling them before they reach the court.
The involvement of forensic accounting professionals as disputants to provide dispute
resolution services is aimed at determining where money went, how it got there, and who
was accountable, with the goal of detecting and preventing crime and identifying the
perpetrator.

Ng'ang'a (2021) took a more practical approach, stating that forensic accounting services
use the practitioner's specialist accounting, auditing, economic, tax, and other business
expertise to provide a variety of consulting services. He suggested that the provision of
forensic accounting services necessitates the practitioner acting as a witness expert
depending on the assignment and dispute resolution requirements. Dispute resolution
services help parties in settling or determining their issues. However, the report did not
specify how conflict resolution may aid in crime detection and prevention, particularly in
the public sector, which is the subject of this study. The study did not employ any
theoretical stance or opinion to demonstrate how dispute resolution services may be
utilized to identify or prevent financial crimes in each given sitting.

Another practical approach to dispute resolution services was carried out by Ozili (2019),
who examine the impact of forensic accounting services on financial crimes detection and
prevention focused on the extent to which risk-based processes from third parties may
determine the outcome of the dispute based on available laws, how interest-based neutrals
administer dispute resolutions, and how negotiations were employed in dispute settlements
using Likert scale mean ratio. According to these findings, dispute resolution can aid in the
discovery and prevention of financial crimes when used by an expert. This justifies the
necessity to examine their application in financial crimes.

2.7 Business Advisory Services and financial crime detection and prevention

According to Oyier (2019), aspects addressed in business advisory services include

providing realistic, focused guidance to organizations and aiding management in tackling
strategic accounting and financial reporting issues. Festus and Samuel (2020) previously

20
stated that forensic accounting, through forensic accountants, provides litigation support
and business advisory services, which is the provision of accounting services in a
manner involving existing or pending litigations in the areas of quantification of
economic damages, calculating economic loss resulting from a breach of contract, and
expert advice on such matters as financial crime detection and prevention. They
contended that business advising services add significant value to the client-attorney
relationship since forensic accountants assist win litigation and earn settlements through
such counsel.

Business advisory services are offered with the goal of assisting businesses in
identifying strengths and overcoming deficiencies in certain areas (Modugu &
Anyaduba, 2019). It provides information and professional advice to assist firms in
managing their financial condition, meeting audit and accounting compliance duties, and
ensuring internal control systems and controls meet best practice standards (Festus and
Samuel, 2019).

According to Eiya and Otalor (2020), business advising services include business
investigations such as fund tracking, asset identification and recovery, forensic
intelligence collection, and due diligence assessment. They stated that in order to give
business advice on financial crimes, investigations must be done to identify the presence,
type, and scope of the financial crime in question.

According to Festus and Samuel (2021), forensic accounting through forensic

accountants provides litigation assistance and business advising services that help
uncover financial fraud in a variety of methods. In a word, advising services may
provide tangible benefits and add value to the client-attorney relationship. Similarly,
Dhar and Sarkar's (2020) study found that advisory services are often delivered with the
goal of supporting an organization's initiatives, identifying strengths, and overcoming
inadequacies in certain areas. As a result, the effectiveness of advisory services in
supporting financial crime detection and prevention necessitates that organizations
investigate more when employing various advisory services.

21
As a result, the findings of this study might be interpreted as a substantial relationship
between financial crime detection and prevention in sampled public organizations and
business advice services. This may be related to the fact that through advisory services,
the organization may acquire adequate information and obtain professional guidance to
assist them manage their respective financial condition in accordance with their audit
and accounting compliance responsibilities.

2.8 Expert consultancy Services and financial crime detection and prevention

According to Sweeney (2019), forensic accounting consulting services include

quantifying financial damages, fraud and complex financial investigations, business
valuation, assisting businesses with insurance claims, whistle-blower allegations,
compliance and transaction risk assessment, independent internal controls and crime risk
assessment, regulatory inquiries, and other services. The question here is whether these
services can assist in the identification and prevention of financial crimes in public
entities. According to Efnote, Ekpulu, and Ajala (2020), forensic accountants serve as
professional consultants, assisting customers in overcoming corporate governance
difficulties, assessing business risk, and responding to disputes and regulatory enquiries.
They perform internal business investigations into whistleblower complaints, accounting
fraud, financial misstatements, and insufficient disclosures. They hoped they would aid
in the discovery and prevention of financial crimes.

Furthermore, Sweeney (2020) noted that because of their competence, forensic

accountants are frequently hired as expert consultants and/or expert witnesses. Attorneys
use forensic accountants (investigators) as expert consultants to generate evidence that
will be utilized in a number of ways. Even if litigation is planned, the expert consultant
may not be required to testify; hence, the different papers prepared by the consultants
may be protected by the attorney-client privilege or the attorney work-product privilege
(Sweeney, 2021). This argues that forensic accounting and accountants should offer
professional assistance to help organizations uncover and prevent financial crimes.

2.9 The Role of Forensic Accountant

A Forensic Accountant's primary duty as a criminal investigator, litigation support, and

expert witness is to analyze, interpret, summarize, and present complicated business and

22
financial transactions in a logical, intelligible way supported by facts (Nonye & Okoli,
2019; Salaudeen, 2020). According to Salaudeen (2020), an expert witness is a person
who acts as a witness and is believed to have knowledge in a particular subject beyond
that of the average person, sufficient for others to officially and legally rely on his
opinion about an evidence or fact.

Similarly, an expert witness is someone who, as a result of their training, provides expert
evidence on a subject within their area of knowledge by testimony that can be refuted with a
studied treatise (Ehioghiren & Atu, 2020). However, Salaudeen (2020) identified the
following Forensic Accounting responsibilities as performed by Forensic Accountants.
These include communicating findings in the form of a report and supporting
documents, assist in legal proceedings, assist in obtaining documentation necessary to
support or refute a claim, review of the relevant documentation to form an initial
assessment of the case and identify areas of loss, assist and attend the examination for
discovery, including the formulation of questions to be asked regarding the financial
evidence, review of the opposing expert's damages report.

In addition, Clare and Jude (2019) state that the primary tasks of forensic accountants are
twofold: first, to investigate and analyze financial information, and second, to design
computerized tools to aid in the study and presenting of financial data as evidence. Given
the foregoing, it is reasonable to conclude that forensic accounting is critical in discovering
and preventing financial crimes and other types of corruption.

2.10 Challenges of Forensic Accounting Application

Forensic accounting, like any other profession, is experiencing several obstacles,

particularly with the recent rise in financial crimes and advances in ICT, among others.
According to Modugu et al. (2019), in today's economic environment, effective financial
accounting crime detection and prevention has emerged as a major issue among
academics, researchers, and industries. They went on to say that the failure of internal
auditing systems throughout the world to detect and prevent financial crimes has
necessitated the development of specific processes for doing so.

Rezaee, Crumbley, and Elmore (2020) offered a more thorough description of forensic
accounting applications in general. These include, among other things, issues with data

23
availability and access: The capacity to acquire enough and relevant data that is
acceptable in a court of law has always been problematic; compliance with the laws,
globalization, inadequate and outdated legislation, incorrect perceptions, In Africa, some
authors such as (Modugu & Anyaduba, 2019; Rezaee, Crumbley, and Elmore, 2018)
have identified a list of challenges affecting the application of forensic accounting in
financial crime detection and prevention, which is also affecting the prosecution of
financial crime perpetrators in Sub-Saharan Africa; These include: Cooperation between
individuals/institutions and between countries is severely insufficient to be effective. The
quality of evidence acquired during the investigation stage is critical for successful
prosecution of offenders. Most African countries lack or have insufficient levels of these.
Another significant problem that makes financial crime identification difficult is the
transparency of the investigation into the case itself, as well as the full financial
transaction and accounting systems. The prosecution competency of prosecuting
counsels has been called into doubt owing to their inability to detect and prevent
financial crimes throughout the years, as seen by the global financial crisis. Another
barrier to using forensic accounting is the presiding judge's lack of openness and fairness
during the trial. The lack of adequate procedural and evidentiary laws in most African
nations has also been identified as a significant obstacle. Delays in prosecuting crime
offenders are also problematic since justice delayed is justice abused. Jurisdiction issues
have made detecting financial crimes nearly impossible since certain courts are unable to
pursue a financial crime case because they lack jurisdiction. The hefty expense of
forensic inquiry has caused some businesses to avoid it.

In Zimbabwe, the obstacles of forensic accounting application are numerous. Some of

the severe ones are insufficient capability of the police force, non-availability of the
required litigation support services in the court has led to misjudgment or inaccurate,
rising

2.11 Research Gap

Many forensic accounting services studies have used financial crimes as the dependent
variable internationally, however the majority of these research have focused on the private
sectors of developed economies (Atbani, 2017; Muthusamy, 2020; Muthusamy et al., 2019;
Bhasin, 2018). For example, the majority of these research employed quantitative survey
methods and did not delve into stakeholders' ideas, experiences, and feelings to gain a better

24
understanding of the problem. Studies in Africa (Enfe, Ekpulu, &Ajala, 2018; Eliezer &
Emmanuel, 2019; Christian, 2019; and Temitope, 2018), likewise, the studies West African
countries (Okoye et al, 2018; Chi-chi & Ebimobowei, 2019; Degboro & Olofinsola, 2017;
and Mongie, 2019), where mostly on Nigeria and South Africa and findings were cantered on
the costs of financial crime.

For example, Onodi, Okafor, and Onyali (2019) believed that most research on forensic
accounting focused on money laundering and fraud, with accountants and auditors evaluating
its quality, effectiveness in deterring fraud, and relevance to external auditor tasks. The
majority of these research employed theories of Reasoned Action, Planned Behaviour, Health
Belief Model, and Theory of Demand and Supply to explain the behavioral intention to use
forensic accounting services in fraud detection, with little respect for broader financial
crimes. Furthermore, the majority of these studies examined the role of forensic accounting
services in the identification and prevention of fraud and corporate crimes utilizing small
populations and samples with simple descriptive statistics such as mean, standard deviation,
and simple frequency distribution.

In Tanzania and Kenya, research by Opiyo (2019), Kimani (2018), Mzenzi et al. (2019), and
Musa (2019) used descriptive designs with quantitative approaches, with smaller samples
ranging from 47 to 114 and generally in single organizations. These research did not go into
respondents' ideas, beliefs, feelings, and experiences in order to gain a broader knowledge of
the problem.

The necessity for forensic accounting was prompted by the failure of the audit system in a
public reorganization, as organizational internal and external audits failed to identify certain
mistakes in the managerial system. Harare City Council may have been defrauded of millions
of dollars, according to local media reports, following discovery that two anonymous laptops
were used to generate bogus invoices to clients. According to the same study, Gweru City
Council failed to account for US$1 million, Kwekwe City Council could not account for
US$2,569, 043, and Kariba Town Council could not account for US$1.1 million, among
other things. Fraud has had serious ramifications for Zimbabwe, ranging from bad economic
effect to a terrible national image.

According to Zimbabwe's National Risk Assessment (NRA) Report (2019), cybercrime is

one of the financial crimes that contribute to the US$1.8 billion projected illicit earnings
earned by criminal activity in Zimbabwe each year. State-owned firms have been the most

25
severely hit. Thus, the researcher is concerned about the extent of fraudulent activity in
Zimbabwe. Frauds have severely impacted the administrative competence, performance, and
reputation of public sectors. Many capital projects have become "white elephants" as a result
of corruption and other types of fraud, with major consequences for national growth and
development. Despite gaps in the legislation to enable the jail of fraudsters, it remains
necessary to have Forensic Accountants in the public sector.

There are no known studies on forensic accounting services and financial crime detection and
prevention in Zimbabwe's public sector organisations. The limited studies that exist in the
literature have not demonstrated specific correlations between forensic accounting services
and financial crime detection and prevention in Zimbabwe. This study intended to address a
knowledge vacuum by evaluating the impact of Forensic Accounting Services on the
identification and prevention of financial crime in Zimbabwean governmental entities.

2.12 Summary

The chapter reviewed the research on the usefulness of forensic accounting services in
detecting financial crime in Zimbabwe's public sector organizations. The chapter was broken
into three pieces, the first of which was the theoretical framework, which examined numerous
ideas in forensic accounting services and financial crime detection. The conceptual
framework looked at the conceptual model, and the last portion looked at the empirical
framework, where comparable studies were done by noteworthy academics on the usefulness
of Forensic Accounting Services in Financial Crime Detection in Public Sector Organizations
in Zimbabwe. The following chapter will discuss the numerous approaches used by the
researcher to collect and analyze data.

26
 CHAPTER THREE

RESEARCH METHODOLOGY

3.0 Introduction

The previous chapter analyzed the literature relevant to the investigation, and this chapter
provides a road map for how the study was investigated. It discusses the philosophy, study
design, approach population and sample, data instruments, data sources, norm, ethical
considerations, and concludes with a chapter summary.
3.1 Research philosophy
The study followed the pragmatism research philosophy, which includes research designs that
incorporate operational decisions based on 'what will work best' in finding answers to the
questions under investigation, allowing pragmatic researchers to conduct research in
innovative and dynamic ways to solve research problems. As a research paradigm,
pragmatism is founded on the concept that researchers should utilize the philosophical and/or
methodological approach that works best for the specific research topic under investigation
(Tashakkori and Teddlie 2019). It is frequently related with mixed-methods or multiple-
methods (Biesta 2010; Creswell and Plano Clark 2011; Johnson and Onwuegbuzie 2019;
Maxcy 2019; Morgan 2018; Teddlie and Tashakkori 2019), where the focus is on the effects
of research and the research questions.
3.2 Research Design
Explanatory research was used in this work. This research approach investigates why
something happens when only minimal information is available. The researcher employed
this strategy to gain a better grasp of the issue, determine how or why the phenomena
occurred, and anticipate future occurrences. According to Gaylord and Galliher (2014),
explanatory research can help academics better comprehend a subject, but it cannot foretell
what will happen in the future. It also provides a better grasp of a previously investigated
topic and satisfies the researcher by revealing facts and bringing new concerns to light. This
helps to narrow the future research questions. It also assists in determining the best strategy
for achieving the objectives.

27
3.3 Research Approach

The study used abductive reasoning, or abduction, which is described as drawing a plausible
conclusion based on what the researcher knows. According to Creswell (2012), the abductive
technique permits creativity and intuition to guide theoretical progress as well as
comprehending the generalizable and particular aspects of observable events. Abductive
reasoning starts with an incomplete observation and leads to a hypothesis to explain the link
between the observations. (Dubois and Gadde, 2012; Kovács & Spens, 2015).

3.4 Research method

A deeper look at the existing literature reveals that a significant number of empirical research
on fraud detection and prevention use a mixed-method approach (qualitative and quantitative)
(Albdullah et al, 2014; Bassey, 2018; Ejoh 2017; Kirkos et al., 2016). The relevance of
information influences the strategy adopted (Saunders et al., 2008). The use of this strategy
simplifies the investigation of the region under consideration. The majority of the research in
this field has shown that the validity of the results in this area of study necessitates a mixed
method approach (Cerbioni and Parbonetti, 2007; Kundid et al, 2016; Kolk, 2017). To do
this, the study employed a mixed-methods strategy.

3.5 Population and Sampling

3.5.1 Population
To be practical, the study requires a group of participants, which necessitates a specified
demographic and sample. In research, a population is defined as all elements that display
characteristics of interest in a specific study (Cohen et al., 2007). The population consisted of
60 individuals drawn from the Ministry of Finance and Economic Development (Accountant,
Internal Auditors, and Investigation Unit), the Office of the Auditor General (OAG), the
Reserve Bank of Zimbabwe (Financial Crime Unit), the National Prosecuting Authority
(NPA), the Zimbabwe Anti-Corruption Commission (ZACC), and the Accountant General
Office.
3.5.2.1 Sampling Frame
The sampling frame was obtained from the population by clearly stating all workers of the
specified public sector organizations, together with their contact information. Due to financial
and time constraints, the researcher did not have enough time to conduct study on the entire

28
population, hence dependence was put on the sampling frame obtained from the total
population.

3.5.2.2 Sampling Technique

Elliot and Willingham (2016) described a sampling approach as a way for selecting a specific
methodology to employ in deciding research participants. A basic randomization strategy was
utilized in this study to make it easier to identify responders who were accessible at the
chosen bank.
3.5.2.3 Sample Size
The study has a sample size of 42 respondents drawn from the selected public sector firms. A
sample size is a subset of the whole population (Bolton and Hand, 2017). Table 3.1 presents
the population and sample size.

Table 4.1 Population and sample size

Category Population Sample Percentage

size
Ministry of Finance and 10 6 70%
Economic Development
The Office of the Auditor 10 8 80%
General (OAG),
The Reserve Bank of 10 6 60%
Zimbabwe(RBZ).
National Prosecuting 10 7 70%
Authority (NPA)
Zimbabwe Anti-Corruption 10 8 80%
Commission(ZACC)
Accountant General Office 10 7 70%
(AG
Total 60 42 70%

Primary and Secondary data (2024)

3.6 Data Sources

Primary data was acquired using survey questionnaires and interviews. This data collecting
approach included both primary and secondary data collection methodologies. The data was

29
obtained from several books, journals, websites, and articles pertinent to this study, all of
which are recognized within.

3.7 Research Instruments

Brynman (2012) defines data research instruments as fact-finding techniques or tools for data
collection. Formal interviews, questionnaires, and observations are among the data collection
tools. The research collected data from banking staff through questionnaires and interviews.

3.7.1 Questionnaire

Patrinos and Psacharopoulos (2015) define a questionnaire as a document intended to collect

data. According to Patrinos and Psacharopoulos (2015), questionnaires are employed by
researchers to turn information directly provided by individuals into data. This technique
allows for the measurement of what a person knows, loves or dislikes, and believes, i.e., his
or her views and attitudes. Questionnaires were distributed to selected persons who were
thought to have knowledge; hence, questionnaires were judged to be relevant in this study
since they are effective for getting data from a large number of respondents at a low cost.
The primary advantage of questionnaires was their ability to collect data from a large number
of people in a very short period of time. In this study, the researcher utilized questionnaires
since their responses are readily measured and examined. Questionnaires were used to collect
enormous amounts of data in a short period of time. According to Patrinos and
Psacharopoulos (2015), the absence of the interviewer confers a high degree of anonymity.
The researcher employed standardized questionnaires that were sent to respondents. The
questions were closed-ended and needed pre-written replies, for example. Yes, No. Not sure,
agree, disagree.

Though well regarded, the surveys present some challenges, as the researcher had to do
follow-ups on questions since respondents took their time filling out and returning them.
There was also no opportunity for asking questions when one didn't understand. Because the
researcher was away, respondents who did not comprehend the questions may have left them
unanswered.
3.7.2Interviews
Cannel and Khan (200 8) define an in-depth interview as a planned discussion initiated by a
questionnaire to collect relevant data using organized and suitable standard questions. In-
depth interviews are a qualitative research method that collects data through a conversation

30
between the interviewer, who is the researcher, and the responder, who is part of the study
sample. The researcher created an interview guide to help him keep to study questions and
objectives and collect correct data. The researcher conducted purposive sample interviews
with a variety of respondents.

The researcher conducted in-depth interviews for a variety of reasons that were advantageous
to the study. In-depth interviews are best suited for circumstances requiring open-ended
inquiries to extract detailed information from a small number of persons. Megafon (2014)
further said that the in-depth interview provided time for the respondent to further develop
and explain his or her particular point of view without being affected by the opinions of other
respondents. In this study, interview questions were developed from the research questions
and were also connected to the research objectives.
3.8 Data collection procedures
The structured interview questions were designed to acquire information regarding the
deployment of effective fraud prevention and detection procedures in commercial banks.
Furthermore, the researchers' tool used open-ended questions to allow respondents to think
freely. As a consequence, this technique has proved incentive potential for many people by
offering researchers a safe and straightforward form of data gathering (Magout, 2020). The
questionnaire was developed based on a literature review of the study subjects. The
questionnaire will be evaluated by experts and academics before it is tested and studied.
The research begins with a pre-test consisting of two questions completed by ten respondents
from two public-sector organisations: The Office of the Auditor General (OAG) and the
Zimbabwe Anti-Corruption Commission. This stage is important if you want to redefine and
control some of the metrics in your survey. A second preliminary test was done in several
subsidiaries. The preliminary analysis of the pilot test data was carried out to ensure that the
data acquired allowed investigative inquiries to be answered.
3.9 Validity and Reliability
3.9.1 Validity
Content validity of the research instrument was tested to verify that it captured the
information required for the study. According to Gay (2005), expert judgment determines the
legitimacy of the material. In order to improve the accuracy of the findings, the researcher
employed a variety of procedures, including triangulation, member verification, and peer
debriefing. Triangulation refers to the utilization of many data sources (Denzin 1970;
Neuman 2014). In the framework of this study, the researcher employed a variety of data

31
gathering approaches, including key informant interviews and documentary analysis. This
allowed the researcher to generate confirming evidence, which assisted the researcher in
identifying important themes. This improves validity since the researcher depends on several
sources of evidence rather than just one (Creswell and Miller 2000). Triangulation was also
crucial for improving dependability. According to Sommer and Sommer (1991), several
sources and procedures are necessary to enable cross-verification and increase dependability.

3.9.2 Reliability
According to Masarirambi (2019), dependability refers to whether the same results would be
obtained if the research was conducted by another researcher using the same methodology.
To assure the reliability of the study's conclusions, the researcher followed accepted research
techniques. Furthermore, dependability was maintained by using scientific procedures
throughout the process, such as sampling, data collection, analysis, and presentation of f The
pilot test results were eliminated from the overall inquiry. Prior to conducting the main
inquiry, the researcher was able to get the necessary experience with the instruments through
the pilot study. The pilot study also helped to discover ambiguities and shortcomings in the
questions. The researcher also confirmed that all respondents were treated with respect and
that no one was pressured to provide responses.indings. The questions were pilot tested with
a small group of people.

3.10 Data Analysis

Data analysis was performed to evaluate, clean, convert, and model data with the goal of
discovering and emphasizing relevant information that may be utilized to aid decision making
(Barako 2010). The acquired data was adjusted to guarantee completeness, coded, and a code
book created before being input into the Statistical Package for the Social Sciences (SPSS).
Analyses were conducted using appropriate descriptive statistics such as central tendencies
(mean, mode, and median) and frequencies. To facilitate comprehension, the analyzed data
was presented using figures, tables, graphs, and charts.

32
3.11 Ethical consideration
The study procedure adhered to ethical norms such as confidentiality, fairness, honesty, and
unbiasedness. The researcher adhered to the openness concept throughout the procedure.
Participants' confidentiality was maintained; their names and identities were not divulged,
and sensitive information was erased following data collection. Fairness and reason were
among the key concepts of this study, and they were upheld until the completion of the
survey. The researcher did not force the survey participants to give their responses; they did
so voluntarily (Haofan, 2016).
3.12 Chapter Summary
The chapter presented the approach used to perform the study. It described the data collection
methodologies, demographic, sample size, data equipment, data sources, and ethical
considerations. The following chapter will concentrate on the presentation, analysis, and
discussion of the findings.

33
 CHAPTER FOUR

DATA PRESENTATION, ANALYSIS AND DISCUSSION

4.0 Introduction
The goal of this chapter was to provide acquired data, analyze it, and arrive at study
conclusions. The information gathered was presented using bar graphs, pie charts, and tables.
4.1. Questionnaire response rate
The response rate reflected the number of questionnaires distributed and returned to the
researcher by the respondents. Respondents were given 27 questionnaires, six of which were
interviews. 30 of the 42 questionnaires distributed were successfully returned by respondents.
The overall response rate of 71% indicated that accurate and reliable data were obtained.
According to Richardson (2019), an ideal business study must have a response rate of at least
70%, with the higher the response rate, the greater the trust in the acquired data. This,
according to Saunders et al. (2007), is sufficient to establish the validity of the research
findings and conclusions. As a result, the researcher chose to do the investigation since he
was confidently inspired by the satisfactory response rate. Table 4.1 shows the response rate.

Table 4:1 Questionnaire Response Rate

Respondents Number of Questionnaires Response rate

questionnaires returned
sent

Management 6 4 67%

Auditors 10 8 80%

Employees 10 7 70%

Finance 10 8 80%

Legal 6 3 50%

Total 42 30 71%

Source: Primary Data (2024)

34
4.2 DEMOGRAPHIC CHARACTERISTICS
4.2.1 Professional and academic qualifications
The researcher aimed to determine the respondents' professional credentials, which are listed
in Table 4.2 below.

Table 4.2: Educational qualifications

Educational qualifications Responses Percentage of respondents

Certificate 5 17%

Diploma 8 27%

Degree 11 37%

Masters 6 20%

Total 30 100%

Source: Primary Data (2024)

According to the statistics in table 4.2, 5 out of 30 respondents (17%) possessed certificates,
whereas 11 out of 30 respondents (37%) held degrees. The table above reflects the levels of
professionalism and academic credentials, which demonstrate that degrees often offer
individuals with a deeper depth of knowledge than certificates, and they contribute to this
study with their knowledge and competence. According to Ambrose (2015) and Mansingh
(2016), the respondents' credentials make their replies more accurate and objective, resulting
in a more dependable study outcome.

4.2.2 Participant’s duration in the organisation

Table 4.3 indicates how long individuals stayed with their organizations. This question was
designed to determine if respondents understand the dynamics occurring in their businesses.

35
Table 4.3 Participant’s duration in the organisation

Duration
Frequency Percent Valid Percent Cumulative Percent
1 to 5 years 5 17% 17% 17%
6 to 10 years 10 33% 33% 50%

Valid Less than 1 year 3 10% 10% 60%

More than 10 years 12 40% 40% 100%

Total 30 100 % 100%

(Source: 2024 survey)

Figure 4.2 shows that the majority of respondents, 12 out of 30 (40%), have worked for more
than ten years, while just three out of 30 (10%) have worked for less than one year. The
researcher expected accurate results because the majority of the participants had extensive
expertise in the subject. Oyeninyi (2017) and Ambrose (2015) said that having more than
three years of experience is sufficient in terms of the trustworthiness of the information
provided by respondents, which validates the experience of the respondents who participated
in this study.
4.2.3 Gender of the Respondent
Furthermore, the study intended to determine the distribution of respondents' genders, and the
results are presented in figure 4.2 below.

Gender

40%

60%

Male Female

36
Figure 4.2; Gender of research participants;

Source: Primary Data (2024)

According to the study's findings, 16 of 30 respondents (53%) were males and 8 of 14 (47%)
were women. This shows that men make up the vast majority of bank personnel, with women
being a minority. The gender disparity is evident, but it has no influence on the study's
results, which will be examined later in the chapter. The findings matched Magnifique's
(2013) and Cooper and Schindler's (2014) conclusions that men made up the vast majority of
respondents in the industry, with women accounting for only a small percentage.

4.3 Reliability Testing

The table below provides a study of the dependability of the data obtained by the
questionnaire. The researcher used Cronbach's alpha to assess data dependability. Cronbach's
alpha is a measure of internal consistency, or how closely linked a collection of elements is as
a whole. According to Hatcher (2019), credible findings are those with a Conbach's alpha of
0.7 or higher, whereas unreliable results are those with a lower alpha. Cronbach alpha and
composite reliability are reasonable measures of consistency dependability. Cronbach alpha
values of 0.65 to 0.95 are deemed adequate. In Table 4,4 all Cronbach alpha and composite
reliability values are within the acceptable range. This indicates that there is no problem with
data consistency reliability; because consistency reliability and convergent validity are both
used to assess the dependability of data and indicators, it is now time to consider convergent
validity. Convergent denotes the extent to which the indications of a specific construct are
consistent. The first criterion for determining convergent validity is the factor loadings of the
indicators.

Table.4.4. Construct Reliability and Validity

Alpha rho_A CR AVE
Effectiveness of Forensic Auditing 0.946 0.947 0.958 0.822
Forensic Accounting and Financial Fraud Control 0.959 0.961 0.966 0.804
Forensic Accounting and Financial Reporting
Credibility 0.925 0.938 0.939 0.687
Forensic Accounting and Internal Control Quality 0.961 0.962 0.968 0.811
Performance of Public Sectors Organizations 0.946 0.946 0.957 0.787

37
Source: Author’s own elaboration

After empirically examining reliability and convergent validity through factor loading of
indicators, AVE of constructs, Cronbach alpha of unobserved variables, and composite
reliability (CR) of latent variables, the next measure to examine discriminant validity through
heterotrait-monotrait (HTMT) criteria will check to see how latent variables (constructs)
differ from the remaining constructs empirically. For this condition, all values must be less
than 0.9. It is given in Table 4.5.
Table.4.5. Discriminant Validity
EFA FAFFC FAFR FAICQ PPSQ
Effectiveness of Forensic Auditing C
Forensic Accounting and Financial
Fraud Control 0.734
Forensic Accounting and Financial
Reporting Credibility 0.843 0.813
Forensic Accounting and Internal
Control Quality 0.664 0.866 0.875
Performance of Public Sectors
Organizations 0.872 0.696 0.834 0.632
Source: Authors own elaboration

4.4 RESEARCH FINDINGS

4.4.1 To what extent do you understand forensic accounting?
The results are cross-tabulated in Table 4.6 below. The cross-tabulation focuses on the
respondent's position within the business and their understanding of forensic accounting.
Table 4.6: Position in the organisation vs. understanding of forensic accounting cross
tabulation
Understanding of forensic Total
accounting
Basic Not Very
Knowledge at all Knowledgeable
Position in the Managers Count 2 1 2 5
organisation % within 40% 20% 40% 100%
Position in the

38
 organisation
Count 10 4 6 20
Senior % within
Employees Position in the 50% 20% 30% 100%
organisation
Count 3 1 1 5
Junior % within
Employees Position in the 60% 10% 10% 100.%
organisation
Count 15 6 8 30
% within
Total
Position in the 50% 20% 30% 100.0%
organisation

(Source: 2024 Survey)

Table 4.6 demonstrates that 40% of management were extremely educated about forensic
accounting, 50% of executive directors were very knowledgeable, and 60% of non-executives
had basic understanding of forensic accounting.
Overall, 50% of respondents had basic understanding of forensic accounting, 20% had no
awareness of it, and 30% were well educated about it.
4.4.2 The role of forensic accounting services in the public sector organizations in
Zimbabwe
The researcher aimed to determine the function of forensic accounting services in
Zimbabwe's public sector enterprises, and the results are provided in table 4.7 below.

Table 4.7: Role of forensic auditing in public sector organizations in Zimbabwe

39
 Response Frequency Percentage (%)

To provide enough evidence for litigation purposes 9 30%

It provides investigation services and compliance 7 23%

strategies

Help prevent, detect and deterring fraud 12 40%

To attract more investors into business 2 7%

Total 30 100%
Source: Field work data

According to Table 4.7, 30% of respondents believe that forensic auditing provides sufficient
evidence for litigation, 23% believe that it provides investigation services and compliance
strategies, 40% believe that it aids in the prevention, detection, and deterrence of fraud, and
7% believe that it attracts more investors to the business. The findings demonstrate that the
majority of respondents (40%) believe that forensic auditing helps prevent, detect, and
discourage fraud. This means that forensic auditing is a method for primarily preventing
fraud in public sector firms.

4.4.3 Effect of forensic auditing on fraud detection

The researchers intended to determine the relationship between forensic auditing and fraud
detection in public-sector organisations. The symmetric measures, Pearson Correlation,
and Chi-square tests were used for testing. The 2 x 2 contingency chi-square handout
yielded the following findings. When utilizing the SPSS Crosstabs approach, use Phi (for
2×2) or Cramer's V (for bigger than 2×2) to quantify association. Phi and Pearson's
correlation are same.
H0: There is a favorable correlation between forensic auditing and fraud detection in
public sector businesses.
H1: There is no positive correlation between forensic auditing and fraud detection in
public sector businesses.
4.8: Effects of forensic auditing on fraud detection

Value Df Asymptotic Exact Exact

Significance Sig.(2sided) Sig.(1sided)

40
 (2-sided)

Pearson
Chisq 0.929 1 .118

Continuity .726 1 .107

Correction

Likelihood .223 1 .98

Ratio

Forensic .74 .56

auditing

Linear by .106 1 .118

Linear
Association

No. of valid 45
class
Source: Field work data

Table 4.9 Chi-square tests

Chi2 4.8

Df 2

P value 0.05
Source: Field work data

Table 4.10: SPSS Chi-square distribution observations

Forensic Fraud detection

auditing

Forensic auditing Pearson Correlation 1 .307****

Sig.(2-tailed) .33

N 45

Fraud detection Pearson Correlation .307*** 1

41
 Sig.(2-tailed) .33

N 45
** Correlation is Significant at 0.05 level (2-tailed)
Correlation results
The p-values for both tests are equal. In light of these data, there is a positive connection
(.307) between forensic auditing and fraud detection in Zimbabwe's public sector companies.
However, the significance level (.33) indicates that forensic auditing is quite low, which has
an impact on fraud. The Pearson correlation coefficient is equal to a shortcut calculation
known as the point-biserial correlation, which is used to determine the correlation between
binary and continuous variables.
Chi-square and correlation significance tests may not always result in the same statistical
conclusion, although they commonly do. Chi-square tests use the normal distribution (z2 =
χ2) instead of the t-distribution used in correlation tests. For high sample sizes (e.g., N > 45),
the t-distribution and normal z-distribution are almost identical. According to the
computations above, the correlation coefficient between forensic auditing and fraud detection
is (.307***), with a level of significance larger than (0.05).
The data analysis revealed that forensic auditing can effectively detect fraud in public sector
businesses.
• Forensic auditing is primarily used to detect and prevent fraud in public sector
organizations. • There is a positive correlation between forensic auditing and fraud detection
and prevention. • Internal controls may not be effective in detecting and preventing fraud due
to various factors.
• Auditing major misstatements made by management can be challenging due to their
involvement in fraud scandals and their refusal to disclose or hide fraudulent acts.
The findings are consistent with Sule et al. (2019), who said that forensic auditing plays an
important role in detecting and preventing fraud. Saifullah and Abbas (2020) found that 60%
of respondents believe forensic auditing helps discover and prevent fraud.

4.4.5 The services of forensic accountants are important in Zimbabwe.

This section examines the significance of forensic accounting in Zimbabwe as a tool for fraud
management. Data from respondents were collated as follows:

42
Table 4.11 Forensic accounting is important in Zimbabwe organizations
Frequency Percent Valid Percent Cumulative Percent
Agree 11 36% 36% 36%
Disagree 6 20% 20% 56%
Strongly disagree 0 0% 0% 56%
Valid
Not sure 0 0% 0% 56%
Strongly agree 14 44% 44% 100%

Total 30 100% 100%

(Source: 2024 Survey)
The researcher considered the data from Table 4.11 to be highly fascinating in the sense that
there were no respondents who were unsure about the relevance of forensic accounting, and
no respondents who strongly disagreed. Twenty percent disagreed, while thirty-six percent
agreed. However, 44% strongly believed that forensic accounting is vital in Zimbabwe.

4.4.6 Forensic accounting services are needed more in Zimbabwe’s Public Sector
Table 4.12 demonstrates the respondents' perspectives on forensic accounting in Zimbabwean
public sector enterprises.

Table 4.12: Forensic accounting services are needed more in public Sector
Frequency Percent Valid Percent Cumulative Percent
Agree 8 26% 26% 26%
Disagree 4 14% 14% 40%
Strongly disagree 0 0 0% 40%
Valid
Not sure 0 0 0% 40%
Strongly agree 18 60% 60% 100%

Total 30 100% 100%

(Source: 2024 Survey)

The results from Table 4.12 above reveal that the majority of respondents (60%) strongly
believed that forensic accounting is important, particularly in the public sector. The results of
this study appear to support the opinions of the majority of writers, who feel that the public

43
sector is riddled with corruption and other forms of fraud, necessitating the necessity for
forensic accounting to stem financial bleeding from the country.
4.4. Forensic accounting can discover fraud in Zimbabwean businesses.
The following is an investigation to determine if forensic accounting may assist uncover
fraud in Zimbabwean businesses. Table 4.13 serves to summarize the replies received from
participants.
Table 4.13 Forensic accounting can help detect fraud in Zimbabwe
Frequency Percent Valid Percent Cumulative Percent
Agree 4 13% 13% 13%
Disagree 4 13% 13% 26%
Strongly agree 16 54% 54% 80%
Valid
Not sure 0 0% 0% 80%
Strongly disagree 6 20% 20% 100%

Total 30 100% 100%

(Source: 2024 Survey)

The findings indicate that 54% of participants strongly agreed that forensic accounting is a
good tool for fraud detection, 13% agreed, and 20% strongly disagreed. Nobody was dubious
about the impact of forensic accounting on fraud detection. In summary, 68% of respondents
thought that forensic accounting is a more effective method for detecting fraud in Zimbabwe.

4.4.8 The services of forensic accountants are preferable to those of internal and
external auditors.
The chart below depicts an examination to determine if the services of forensic accountants
are preferable to those of both internal and external auditors.

Table 4.14: Forensic accounting services are preferable to Internal and External Audit

Frequency Percent Valid Percent Cumulative Percent

Valid Agree 8 26% 26% 26%

44
 Disagree 6 20% 20% 46%
Strongly disagree 0 0% 0% 46%
Not sure 6 20% 20% 66%
Strongly agree 10 34% 34% 100%

Total 30 100% 100%

(Source: 2024 Survey)
According to the above table, just 20% of respondents disagreed that forensic accounting is
preferable than internal and external audit, while the remaining 20% were unsure. The results
lean toward forensic accounting as a preferred technique, with 34% strongly agreeing and
26% merely agreeing, for a total of 60%.
4.4.9 Forensic accounting provides adequate proof for litigation.
Table 4.15 examines whether forensic accounting offers enough evidence during litigation.

Table 4.15: Sufficient evidence during litigation

Frequency Percent Valid Percent Cumulative Percent
Agree 8 27% 27% 27%
Disagree 12 40% 40% 67%
Strongly disagree 0 0.0% 0% 67%
Valid
Not sure 2 6% 6% 73%
Strongly agree 8 27% 27% 100%

Total 30 100% 100%

(Source: 2024 Survey)
Table 4.15 demonstrates that 27% agreed that forensic accounting provides adequate
evidence during litigation, 27% strongly agreed, and 40% disagreed. This output reveals that
a sizable majority of respondents (40%) disagreed, including those who were unsure (6%)
that forensic accounting provides adequate evidence in litigation. However, the result is
dominated by those who agreed (54%). Overall, it demonstrates that forensic accounting
gives acceptable evidence in the lawsuit process.
4.4.10 Forensic accounting skills and techniques reduce fraud occurrence in the public
sector organisations in Zimbabwe.
Table 4.16 presents a study of whether forensic accounting skills and procedures reduce fraud
occurrence in Zimbabwean firms. The results suggest that 51.7% of respondents strongly

45
agreed that forensic accounting abilities limit the occurrence of fraud in Zimbabwean firms,
14.8% agreed, 25.5% were unsure, and 8.1% disagreed. This demonstrates that forensic
accounting capabilities prevent fraud in Zimbabwean firms. Table 16 presents the results in
detail.

Table 4.16: Forensic accounting skills and techniques reduce fraud occurrence in
Zimbabwe organisations
Frequenc Percen Valid Cumulativ
y t Percen e Percent
t
Agree 5 15% 15% 15%
Disagre
2 8% 8% 23%
e

Valid Strongly
0 0.0% 0.0% 23%
disagree
Not sure 7 25% 25% 48%
Strongly
16 52% 52% 100%
agree

Total 30 100% 100%

Table 4.16 demonstrates that 52% of respondents strongly agreed that forensic accounting
reduces or prevents fraud in Zimbabwean firms, whereas 8% just agreed. This offers a total
of 60% of respondents believing that forensic accounting deters fraudulent activity in
Zimbabwean businesses. This study demonstrates that forensic accounting is the most
effective method for preventing fraud in Zimbabwe's public sector organizations.

4.4.11 Reasons for committing fraud

Table 4.17 provides an overview of why con artists conduct fraud or white collar crimes. The
findings are based on the opinions of 30 respondents. This part focuses on respondents'
opinions, rather than their past experience. The respondents have the option of selecting more
than one response; hence, "N" is not always 30. Descriptive statistics were used to examine
the findings.

46
Table 4.17: Descriptive Statistics
N Minimum Maximum Mean Std. Deviation
Financial pressure 26 1 2 1.55 0.499
Rationalization 22 1 2 1.46 0.500
Opportunity 20 1 2 1.95 0.222
Key: No=1 Yes=2
(Source: SPSS calculation)
According to the chart above (4.17), the most common reason people commit fraud is
opportunity (mean answer of 1.95), followed by financial pressure (mean response of 1.55)
and rationalization (mean response of 1.46). According to table 4.17 above, relatively few
people commit fraud for fictitious reasons such as "it is my money, the organization owes
me." This rationale has a mean of 1.46, which is significantly closer to 1 (or NO). Please refer
to the key provided above. Rather, fraudsters commit fraud because of opportunity, which has
a mean of 1.95 and is considerably closer to a 2 (YES). Financial strain is in the center, with
an average of 1.55. This investigation puts Cressey's Fraud Triangle to the test, determining
which factors are more important in terms of fraud. It has emerged as 'opportunity', followed
by 'rationalisation'.
4.4.13 How fraud is committed in Zimbabwean organizations.
In addition, Table 4.18 below evaluates some of the strategies used to conduct fraud or white-
collar crimes. The research included broad categories such as corruption, embezzlement, and
cybercrime.

Table 4.18: Descriptive Statistics

N Minimum Maximum Mean Std. Deviation
Corruption 28 2 2 2.00 0.000
Embezzlement 18 1 2 1.35 0.479
Information technology systems 16 1 2 1.37 0.486
Valid N (list wise) 14
Key: No=1 Yes=2
Source: SPSS calculation)

47
According to Table 4.18, corruption was perceived as committing the majority of frauds in
Zimbabwe, with a mean score of 2, followed by information technology (1.37) and
embezzlement (1.35). It is clear that corruption is the greatest serious danger to the economy,
and it is the most prevalent method of siphoning wealth from Zimbabwe. Obviously, this
entails shady transactions, brown envelopes, and exorbitant gratuity. Cybercrime comes in
second, and it has to be addressed before it creates a serious financial hemorrhage in the
Zimbabwean economy.

4.6 Effect of interaction of mediating variables and forensic accounting services on

financial crime detection and prevention in public organizations in Zimbabwe

This study's findings on the effect of interaction between external factors such as government
policy, accounting firms, values and norms, and media publicity significantly support
forensic accounting services in Zimbabwe in preventing and detecting financial crime. The
interaction raised R2 from 53.1% to 63.0% of the variation in financial crime detection and
prevention (R2 Change =.630, F change =162.653 (3, 282), P<0.05), with beta values
increasing to (β =.465, t = 5.052, p <.05).

External variables' effective contribution may be linked to people's regard for activities with
policy backing, particularly government policy. This coincided with Atiku and Ziska's (2017)
finding that when government policy is in place, forensic accounting services and other
control mechanisms are successful in preventing financial misconduct from occurring. This
also coincides with Domingo's (2016) finding that, in most circumstances, when there is
legislative backing for crime detection and prevention mechanisms, individuals become more
aware of their actions and are less likely to violate the law.

The study's findings also show that internal mediating variables have a substantial impact on
the efficiency of forensic accounting services in identifying and preventing financial
wrongdoing in Zimbabwean public organisations. Specifically, the interaction of internal
components with forensic accounting raised the R2 from 0.580 to 0.582, while the Beta value
climbed from 0.241 to 0.333. The study found that increasing the degree of internal variable
interaction can improve the efficiency of forensic accounting services in combating financial
fraud in Zimbabwe's various public organisations.

48
This study supported Sulyman's (2018) conclusion that internal control systems had a
substantial impact on financial crime prevention and detection in Nigerian money deposit
institutions. Similarly, the current finding of a substantial interaction of internal factors with
forensic accounting supports Ozigbo and Orife's (2011) conclusion that financial
organizations required a strong internal control culture to achieve their aims. As a result,
there is no assurance that a company will achieve its goals unless it has a healthy
organisational culture, such as an internal control system, and other strong measures, such as
forensic accounting services. The lack of internal structure and forensic accounting services
will undoubtedly increase the potential for errors and purposeful financial crimes to go
unnoticed and prosecuted.

All three should be strengthened by the use of ICTs rather than suppressed for ICT adaption.
This concurred with Adu-frimpong's (2015) conclusion that certain organizations have lost
their structure as a result of an over-reliance on ICTs, which were never a bad tool but were
frequently used incorrectly. Organizational leadership was found to interact considerably
with forensic accounting services for financial crime detection and prevention in Zimbabwe's
public sector organizations.

Discussion on findings
The study's findings revealed that forensic accounting and financial fraud control, forensic
accounting and internal control quality, and forensic accounting and financial reporting
credibility all contribute positively to the effectiveness of forensic auditing, which ultimately
improves performance by controlling corruption and fraud. Financial/corporate/white-collar
crime is a genuine phenomenon that occurs in the modern business world, particularly in
underdeveloped nations with public entities such as Zimbabwe. This growing trend in public
bodies has not only led to the breakdown of the organization, but it has also impeded
economic progress.

As a result, there is an urgent need to intervene before it progresses to a chronic condition.

The new growing branch in the field of auditing is forensic auditing, which has the only
purpose of detecting deceptive behaviors both inside and outside the company, as long as the
third party's activity is in any way reflective of the organization's operations. Existing
research found that stakeholders agree on the effectiveness of forensic auditing in fraud
control, which improves public trust in the organization's financial reporting system and
internal control system. As a result, forensic auditors become more aware of the possibility of

49
fraud and other illegal, dishonest behaviors while doing their jobs. They can also be used to
help avoid, investigate, and resolve similar concerns. Forensic auditing is a variable that has a
strong beneficial impact on the performance of public sector organizations.

4.4 Chapter summary

This chapter consisted of data presentation, analysis, and discussion. The information
communicated by respondents to the researcher, mostly from the questionnaires administered
and the interviews performed, was evaluated using spreadsheets and presented on graphs, pie
charts, and tables as relevant data. The next chapter summarizes the whole research, outlining
the important results and recommendations.

CHAPTER FIVE

SUMMARY, CONCLUSION AND RECOMMENDATIONS

5.0 Introduction

The current chapter summarizes the study's primary results, stressing both the conclusions
and the suggestions. This chapter will include ideas for future research and study topics
relevant to this study.

50
5.1 Summary of Chapters.

The first chapter describes the research's background, problem description, aims, questions,
study importance, limits, delimitations, and reasons. The study's backdrop discovered prior or
empirical research from several academic sources that examined the effectiveness of forensic
accounting services in financial crime detection in Zimbabwean public sector organizations.
The objectives were developed via the guiding of the factors on the issue and the goal of the
topic. The second chapter focused on the literature review, which involved an in-depth
examination of existing material by other writers. The chapter also gave the theories that
drive this study, the conceptual framework, and a discussion of the sub-objectives.

The researcher then delivered chapter three, which was about research technique and how he
embraced the pragmatic research philosophy. The study used abductive reasoning, or
abduction, which is described as drawing a plausible conclusion based on what the researcher
knows. The study employed a mixed-method approach.

The study's population consisted of 60 participants taken from selected public-sector groups.
This study employed a basic randomization strategy to make it simpler to pick respondents
who were accessible at the designated public sector organizations. Following the conclusion
of Chapter 3, the researcher developed research instruments, which were given to
respondents. The research then used the replies from the research instruments to create
Chapter 4, which focused on data presentation, analysis, and interpretation.

5.2 Major Findings

The demographic background of the respondents reveals that the majority of them are highly
educated and experienced in their current roles, indicating that they comprehended the field
of study specified in the questionnaire. The high level of education and experience suggests
that respondents provided honest and useful comments since they understood the ethics of
research, which lends credibility to the final results.

5.2.1 The effect of litigation support services on financial crime detection and
prevention in public sector organization in Zimbabwe.

The findings demonstrated that litigation support services can aid in the discovery and
prevention of financial wrongdoing in Zimbabwe's public sector organizations. The majority
opinion was that litigation support services aid in the detection and prevention of financial
crime by preparing disclosure statements, expert reports, expert testimony, accounting and

51
financial crime reporting, and information on public accounts and financial transactions. This
discovery is consistent with the quantitative analysis and findings of a research by Okoye &
Gbegi (2013), Popoola, Chi-Ahmad, & Samsudin (2014), and Modugu et al (2013).

Similarly, Enofe et al. (2013) discovered that there is widespread agreement among
stakeholders on the usefulness of forensic accounting services in fraud control, financial
reporting, and internal control quality. Furthermore, it discovered that the use of forensic
accounting services on businesses influences the amount of fraudulent activity. Another study
that supports this finding is one conducted by Festus and Samuel (2012), who discovered that
there is a lack of appropriate litigation support services in the courts, which leads to
misjudgments or politicization, poor corporate governance, weaknesses in traditional auditing,
and a battered image of African countries in the international community. The research also
concluded that forensic accounting is a financial instrument and approach for preventing and
resolving economic and financial crimes in businesses.

5.2.2 The effect of business advisory services on financial crime detection and
prevention in public sector organization in Zimbabwe.

Regarding advisory assistance services, the findings suggest that respondents believed that
business advice services improve the prosecution of financial crime offenders. These data
suggest that advising assistance services improve financial crime detection and prevention in
all of the organizations studied. Business advising services have helped to reduce financial
crime in Zimbabwe's public sector enterprises. Business advisory services, in the majority of
cases, can aid in the detection and prevention of financial crime by providing insight into
financial crimes through circulars and word of mouth, raising awareness of their credibility,
designing and evaluating internal controls, and providing relevant information through notice
boards and mass media, among other things. Other studies, such as Famous and Okoeguale
(2012), Bresssler (2017), Popoola et al (2014), and Modugu et al (2013), have found that the
motivations for financial crimes are based on risk factors such as incentive (or pressure),
opportunity, and rationalization surrounding financial criminals. In a comparable study,
Bresssler (2017) discovered that an advisory assistance service is one of the Forensic
Accounting Services (FAS) that is very successful in detecting and preventing financial
wrongdoing.

5.2.3 The effect of dispute resolution service on financial crime detection and
prevention in public sector organizations in Zimbabwe.

52
On dispute resolution service, results revealed that dispute resolution provides the
organization with insight into financial crime detection and prevention, provides clients with
awareness about the organization's credibility, dispute resolution under risk assessment
covers the risk of finance crime, dispute resolution helps designing and evaluating internal
control systems, dispute resolution enhances prosecution of financial crime offenders,
enhances corporate governance, and enha The respondents interviewed agreed that dispute
resolution services assist their organization in financial crime detection and prevention by
providing insight into financial crime detection and prevention; they also ensure
accountability, improve good corporate governance, and aid in the prosecution of financial
crime offenders.

Other studies have supported this finding; Walker (2017) and Othman, Airs, Mariyah,
Zainap, and Amin (2015) found that, in addition to dispute resolution, operational audits,
enhanced audit committees, improved internal controls, implementation of fraud reporting
policy, staff rotation, fraud hotlines, and forensic accountants are among the most effective
fraud detection and prevention mechanisms used in the public sector. These studies help to
improve the breadth and efficacy of fraud and corruption detection and prevention in
government systems. Similarly, Sujatha and Gomez (2013) discovered that effective financial
crime management requires appropriate supply of conflict resolution services to both parties.

5.2.4 The effect of consultancy service on financial crime detection and prevention in
public sector organizations in Zimbabwe.

On Experts Consultancy, findings indicated that respondents have good impressions of the
extent to which expert consultancy services contribute in the identification and prevention of
financial crime in Zimbabwean public sector companies. In a nutshell, these findings suggest
that professional consultation services significantly aid in the identification and prevention of
financial wrongdoing in Zimbabwe's public sector companies. The majority of respondents
agreed unequivocally on each item on the table, indicating that they acknowledged the value
of professional consulting services in financial crime detection and prevention in public
organizations. The majority of respondents felt that professional consultation aids in the
prevention and detection of financial crimes. They said that, nowadays, expert and
consultation is the key forensic accounting services given by their firm because of its
importance, high demand, and location. The interviewees all agree that the general
application of forensic accounting services in crime detection and prevention in their

53
organizations is at a high level, citing the presence of many cases relating to forensic
accounting that have been addressed. For example, they stated that many people have been
prosecuted for trend, with many others awaiting trial.

5.3 Conclusions

The overarching goal of this research was to look at the impact of forensic accounting
services on financial crime detection and prevention in selected Zimbabwean public sector
enterprises. Based on the study given in Chapter Four, it is possible to infer that there is a
substantial association between forensic accounting services and financial crime detection
and prevention in Zimbabwe's public sector organizations.

5.3.1 The effect of litigation support services on financial crime detection and
prevention in public sector organizations in Zimbabwe

The findings of this study show that forensic accounting services have a major impact on
financial crime detection and prevention in Zimbabwe's public sector businesses. As a result,
it is established that litigation support services assist in the identification and prevention of all
types of financial crimes.

5.3.2The effect of business advisory services on financial crime detection and prevention
in public sector organizations in Zimbabwe

The findings of this study show that Business Advisory Services have a substantial impact on
the identification and prevention of financial fraud in Zimbabwean public organizations. As
a result, all companies benefit from business consulting support services for detecting and
preventing financial fraud.

5.3.3 The effect of dispute resolution service on financial crime detection and prevention
in public sector organizations in Zimbabwe

The study's findings revealed that dispute resolution services have a major impact on
financial crime detection and prevention in Zimbabwe's public sector enterprises. As a result,
it is concluded that dispute resolution provides the organization with insight into financial
crime detection and prevention, provides clients with awareness about the organization's
credibility, dispute resolution under risk assessment covers the risk of financial crime, dispute
resolution helps designing and evaluating internal control systems, dispute resolution

54
enhances prosecution of financial crime offenders, enhances corporate governance, and
enhance public accountability.

5.3.4 The effect of consultancy service on financial crime detection and prevention in
public sector organizations in Zimbabwe

Statistical study shows that expert consultancy services have a considerable impact on
financial crime identification and prevention in Zimbabwe's public sector enterprises. As a
result, this study shows that professional advisory services help detect and prevent financial
wrongdoing in Zimbabwe's public sector companies.

The study indicated that external variables such as government policy, accounting firms,
values and norms, and media coverage improve the efficacy of forensic accounting services
in Zimbabwe's public sector enterprises in preventing and detecting financial crime.

When there are persistent strong internal factors and competent forensic accounting services
in any of Zimbabwe's public sector enterprises, the rate of financial crime detection and
prevention rises. However, when internal variables are inadequate, forensic accounting
services will be ineffective in detecting financial wrongdoing.

The interaction impact of personal characteristics limits the effectiveness of forensic

accounting services for detecting and preventing financial crimes. This shown that a lack of
self-control and the existence of strain in public organizations and social structures do not
contribute much to crime detection and prevention.

5.4 Recommendations

The research recommends that the government and regulatory bodies create enabling
conditions to provide quality and timely litigation support services to public organizations,
thereby improving financial crime detection and prevention.

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The government and other regulatory agencies should provide an enabling environment for
customers to get business consulting services by enhancing Zimbabwe's legal, educational,
and political frameworks.

The government should also create an enabling climate for dispute settlement by enacting
and enforcing appropriate regulations to detect and prevent financial crimes.

Other organizations and stakeholders should be made aware of the use of forensic
accounting services in financial crime detection and prevention, accountants trained, and
related policies, regulations, and legal requirements adopted and enforced. And that they
compare favorably with national and global efforts to reduce financial crime.

The government should develop consistent rules, regulations, and standards across the
board, and accounting organizations should be entirely accountable for the implementation
of the financial control policy. It should guarantee that the government implements suitable
administrative instruments such as a monitoring and oversight structure, necessary laws, and
The government should also urgently establish and execute fraud and financial crime
policies that would allow civil servants to avoid participating in or assisting corrupt
officials. This will also assist to reduce the current rate of financial crime committed.

Enhancement of internal auditor independence through periodic transfer of internal auditors

and/or regular involvement of external editors to ensure objectivity; upgrading the hardware
and software used for internal auditing and forensic investigations; and improving staff
recruitment with the goal of ensuring that there are enough internal auditors qualified in
forensic accounting. This should be done in tandem with enhancing the abilities of the
available internal auditors, and punishments for defaulters.

5.5 Suggestion for Further Studies.

In light of the paucity of literature and inconsistencies of research findings on the

effectiveness of forensic accounting services in financial crime prevention and detection in

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prevention in public sector organizations in Zimbabwe, there is a need for further studies or
research on a country-wide basis on the effect Forensic Accounting Services in both public
and private sectors in Zimbabwe to help establish further the validity and reliability of
previous findings and This study found that the four forensic accounting service objectives
had a statistically significant impact on financial crime detection and prevention in
Zimbabwean public sector firms. The domains addressed by each of these objectives might
be further researched by both public and private sector entities to determine their implications
for financial crime detection and prevention. In identifying and validating these objectives,
the study provided a number of questionnaire items and interview guide items that could be
used by future researchers to investigate the impact of forensic accounting services on
financial crime detection and prevention in all aspects of our economic life.

5.6 Chapter Summary

The chapter gave an overview of the study's principal results, stressing the conclusions and
suggestions. This chapter offers suggested future research and study areas linked to this
study.

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