Fraud Prevention Using Village Financial Management Control System

摘要

The study aims at exploring the Internal Control System in preventing fraud in village financial management. This research applied qualitative exploratory with a case study method. The Data of this research were primary and secondary data through interviews, documentation, and observation from Ketapang Village Government, BPD, DPMD, BPKAD, and Inspectorate of Banyuwangi Regency. The results indicated that the implementation of an internal control system could prevent fraud in village financial management. The internal control system has five indicators, that is (1) Environment Control; (2) Risk Assessment; (3) Control Activities; (4) Information and Communication; (5) Monitoring. For suggestion, there should be standards of ethics and behaviour accompanied by intense monitoring to avoid financial abuse village.