COOPERATE GOVERNANCE

This study investigates the impact of forensic accounting practices on corporate governance in Nigerian manufacturing companies. Specifically, it examines how fraud detection, forensic data analytics, internal control reviews, and litigation support influence transparency, accountability, and board oversight. A survey research design was adopted, and data was collected from 275 respondents, including auditors, forensic accountants, finance managers, and other professionals. The data were analyzed using descriptive statistics and regression analysis. The findings reveal that fraud detection significantly enhances financial reporting integrity and
discourages financial misconduct, while forensic data analytics improves decision-making speed, risk assessment, and transparency. Reviewing internal controls was identified as the most influential factor, strengthening accountability and reducing opportunities for fraud. Additionally, forensic accounting support for litigation and investigations was found to improve compliance enforcement and ethical governance practices. Regression results confirmed that forensic accounting practices collectively have a significant positive effect on corporate governance (R = 0.488, R² = 0.238, p < 0.05).
The study concludes that forensic accounting is a critical mechanism for enhancing corporate governance by promoting transparency, accountability, and stakeholder confidence. It recommends that organizations institutionalize forensic auditing, adopt advanced data analytics tools, strengthen internal control reviews, and engage forensic experts in litigation and compliance processes.