THE ROLE OF THE INSPECTORATE IN FRAUD PREVENTION IN VILLAGE FINANCIAL MANAGEMENT (CASE STUDY ON THE REGIONAL INSPECTORATE OF ARU ISLANDS REGENCY)

Abstract

This study aims to examine the role of the Regional Inspectorate of the Aru Islands Regency in preventing fraud in village financial management. Additionally, the study seeks to identify the challenges faced by the Inspectorate in implementing fraud prevention, as well as the factors that contribute to the occurrence of fraud in village financial management. The method used is descriptive qualitative, with data collected through in-depth interviews and observations. The results show that the role of the Regional Inspectorate of the Aru Islands Regency in preventing fraud is carried out through supervisory and guidance functions. The study found several internal and external factors that hinder the optimal implementation of supervision and guidance, which in turn affect the effectiveness of fraud prevention. It also identified factors that contribute to the vulnerability to fraud in village financial management, including opportunity, pressure, lack of competence, and low levels of education