European Research Studies

Volume XIX, Issue 4, 2016

pp. 140 - 157

The Shariah Financial Accounting Standards: How they

Prevent Fraud in Islamic Banking
Tulus Suryanto1, Ridwansyah Ridwansyah2

Abstract:

This study aims to investigate the influence of Shariah financial accounting standards, the
independence of the Shariah Supervisory Board and Auditor Competency Shariah to the
prevention of fraud in Islamic banks in Indonesia. Sampling using saturated sample or the
entire population of as many as 48 people include auditors in Islamic banking and Islamic
Supervisory Board analysis tool using regression analysis using F test and t test with SPSS
ver.17.00. The results showed that the Shariah financial accounting standards, the
independence of the Shariah Supervisory Board and Auditor Competency Shariah
simultaneously affect the prevention of fraud in Islamic banks. Islamic financial accounting
standards have significant effect on the prevention of fraud in Shariah banks. Variables such
as independence of the partial Shariah Supervisory Board has no effect on the prevention of
fraud in Shariah banks while Islamic auditor competence variables have partially significant
effect on the prevention of fraud in Shariah banks.

Key Words: Shariah financial accounting standards, supervisory board, competence of

Shariah auditor, fraud prevention.

1
Faculty of Islamic Economic and Business, State Islamic Institute of Raden Intan Lampung,
Indonesia, (62-812) 71953909, tulus@iainradenintan.ac.id.
2
Faculty of Islamic Economic and Business, State Islamic Institute of Raden Intan Lampung,
Indonesia, (62-811) 798172, ridwansyahxanda@yahoo.co.id