The Evolution of Fraud Theory: Theoretical Frameworks and Technological Integration

Zaki Sima Fashimado, Slamet Haryono, Erna Fitri Komariyah

Abstract


This study explores the evolution of fraud theories by integrating classical principles with cutting-edge technological advancements. Through a comprehensive qualitative analysis of peer-reviewed literature in Scopus, informed by theoretical synthesis, the study examines predominant fraud models and the influence of modern tools such as artificial intelligence (AI) and data analytics. The findings reveal a significant shift from traditional, static models focused on individual misconduct to more dynamic, multi-level frameworks that incorporate factors like capability, collusion, and organizational integrity. Drawing from criminological and sociological perspectives, the research underscores that fraud is a systemic issue influenced by organizational culture and social structures. It highlights how AI enhances fraud detection capabilities and challenges existing theoretical assumptions by framing fraud as an adaptive, network-based phenomenon. The study underscores the importance of incorporating ethical and social dimensions into fraud models to improve their relevance and effectiveness. In practice, the research advocates for the development of more sophisticated and proactive fraud-prevention strategies that leverage technological advances. This study's originality lies in its innovative integration of classical fraud theories with modern technological practices, offering a holistic approach that bridges theoretical development and practical application through interdisciplinary insights, thereby providing a comprehensive framework for understanding and combating fraud in the digital age and contributing valuable perspectives to both academic and professional fields.

Keywords


Fraud theory, Integrity and ethics, Criminological theories, Artificial intelligence, Data analytics

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References


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DOI: https://doi.org/10.17509/jaset.v18i1.95328

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