FRAUD AND FINANCIAL MALPRACTICES AS A LENDING FACTOR TO BUSINESS FAILURE (A CASE STUDY OF NIGERIAN TELECOMMUNICATION LIMITED (NITEL)
ABSTRACT: The study is concerned with an investigation into fraud and financial malpractices as a leading factor in business failure and eventual liquidation. A case study of Nigerian Telecommunication Limited (NITEL). By way of background, the study commenced with an overview of the business environments and its effects on business growth and survival. Using NITEL as a case study, it was established that inspite of its privatization, NITEL is still saddled with the problem of bad image arising mostly from fraudulent practices. With the above stated problem, the specific objectives of the study were:
1.      To ascertain why NITEL Plc is still saddled with problem.
2.      To determine whether there is significant weakness in NITEL internal control system.
Data collected were analysed using weighted mean and ranking order. Major findings of the study were:
(i)Â Â Â Â Â The study revealed that the NITEL is unable to achieve its objective
(ii)Â Â Â Â It was also revealed that fraud and financial malpractices was the most important factors that has contributed poor performance of NITEL.At the end, the following recommendation were made:
(i)Â Â Â Â Â NITEL management should design appropriate policies.
(ii)Â Â Â Â The organisation should also strengthened its internal control system.
LIST OF TABLE
- Sample size determination and allocation of questionnaire
- Factors responsible for non-achievement of objectives by NITEL
- Factors responsible for fraudulent malpractices in NITEL
- Factors in effective internal control system in NITEL
- Impact assessment of factors in fraud elimination / minimization
TABLE OF CONTENTS
CHAPTER ONE
Introduction                                                                                     1
- Background of study                                                    1
- Statement of problem                                                   4
- The purpose of study                                                   5
- Scope of study                                                              6
- Research question                                                                  6
- Significance of the study                                                        7
CHAPTER TWO
Review Of Literature                                                              9
- Definition of distress/failures of a corporate                          9
- Causes of business failure                                             12
- Summary of related reviewed literature                        29
CHAPTER THREE
Research design and Methodology                                         30
- Research design                                                            30
- Area of study                                                                30
- Population of the study                                               30
- Sample size and sampling procedure                                     31
- Instruments for data collection                                               34
- Validity of the instrument                                             34
- Reliability of the instrument                                         35
- Method of administration of the research instrument   35
- Method of data analysis                                               36
CHAPTER FOUR
Data Presentation And Results                                                        37
4.1Â Â Â Â Research question 1Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 37
4.2Â Â Â Â Research question 2Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 40
4.3Â Â Â Â Research question 3Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 42
4.4Â Â Â Â Research question 4Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â 45
4.5    Summary of findings                                                    47
CHAPTER FIVE
Discussion Of Results, Conclusion, Implication Of Findings 49
- Discussion of findings                                                  49
- Conclusions                                                                            51
- Implications of the study                                                        52
- Recommendations                                                                  52
- Suggestions for further studies                                               53
- Limitation of the study                                                 54
References                                                                     55
Appendix                                                                      57
CHAPTER ONE
INTRODUCTION
BACKGROUND OF THE STUDY