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Article

Open Access

Audit without Integrity: Ethical Failures and Fraud in High-Profile Corporate Cases

Author(s)

Enda Putri Rudangta Meliala, Julia, Iskandar Muda, Erlina

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DOI:10.17265/1548-6583/2025.03.008

Affiliation(s)

Universitas Sumatera Utara, Medan, Indonesia

ABSTRACT

This study explores ethical violations and audit failures in various large-scale corporate fraud cases. Using a qualitative descriptive method and based on secondary data from documented fraud cases and published audit reports, the study applies the Fraud Triangle framework, focusing on how weak integrity, objectivity, and professional competence have undermined public trust in the auditing profession. Using a qualitative descriptive method and the Fraud Triangle framework, which includes pressure, opportunity, and rationalization, the study analyzes cases from Indonesia (SNP Finance, Jiwasraya), China (Evergrande), and Germany (Wirecard). The analysis reveals that many audit failures observed in this study appear to stem more from ethical challenges than from technical incapability, driven by client pressure, weak internal controls, and compromised auditor independence. These cases demonstrate a recurring global pattern in which auditors neglect their responsibility to act in the public interest.

KEYWORDS

auditor ethics, internal auditor, competence, internal control, fraud triangle, audit failure, professional responsibility, SNP Finance, Evergrande, Wirecard, Jiwasraya

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