Effect of corruption on corporate governance in selected area offices of deposit money banks in Enugu State, Nigeria
Keywords:
bribery Nigeria, corporate governance, corruption, enugu state, money deposit banksAbstract
The study seeks to examine the effect of corruption on corporate governance in selected area offices of deposit money banks in Enugu State, Nigeria. The specific objectives were to; (i) determine the extent to which bribery affects the board of directors’ functions, (ii) ascertain the extent to which fraud affects the managers’ accountability, and (iii) identify the nature of the relationship existing between money laundering and shareholders’ investment in selected area offices of deposit money banks in Enugu State, Nigeria. The study adopted a descriptive survey design. The population of the study was 1197, which comprised the senior and junior staff members of the five selected banks (United Bank for Africa Plc, First Bank of Nigeria Plc, Access Bank Plc, Fidelity Bank Plc, and Skye Bank Plc.). The sample size of 316 was obtained from the population using Freud and William’s formula at 5% error tolerance and 95% level of confidence. Data collection was done via a questionnaire and an oral interview guide. Simple Linear Regression Analysis and Pearson Product Moment Correlation were used for data analysis.
Downloads
References
Abdullah, H., & Valentine, B. (2009). Fundamental and ethics theories of corporate governance. Middle Eastern Finance and Economics, 4(4), 88-96.
ACRN (2011). Anti-corruption Research Network. Forms of Corruption in History and in Contemporary Society: Origins, Continuity, Evolution. CORHICS International Conference.
Alchian, A. A., & Demsetz, H. (1972). Production, information costs, and economic organization. The American economic review, 62(5), 777-795.
Anne, B., David F., & Brian, T. (2014). Does the Composition of a Company’s Shareholder Base Really Matter. Stanford closer look series: Topics, Issues, and Controversies in Corporate Governance and Leadership. 1-6.
Arowolo, D. (2010). The effects of western civilisation and culture on Africa. Afro Asian Journal of Social Sciences, 1(1), 1-13.
Bhimani, A. (2008). Making corporate governance count: the fusion of ethics and economic rationality. Journal of Management & Governance, 12(2), 135-147.
Brennan, N. (2006). Boards of directors and firm performance: is there an expectations gap?. Corporate Governance: An International Review, 14(6), 577-593.
Chikaforafrica, (2012). Origin of Corruption in Africa and the Way Forward.
Clarke, T. (2004). Theories of corporate governance. The Philosophical Foundations of Corporate Governance, Oxon.
Cochran, P. L., & Wartwick, S. L. (1988). Corporate Governance: A Review of the Literature (Financial Executives Research Foundation, Morristown, NJ). Google Scholar.
Daniel, K., Grinblatt, M., Titman, S., & Wermers, R. (1997). Measuring mutual fund performance with characteristic‐based benchmarks. The Journal of finance, 52(3), 1035-1058.
Deegan, C. (2004). Environmental disclosures and share prices-a discussion about efforts to study this relationship. In Accounting Forum (Vol. 28, No. 1, pp. 87-97). University of South Australia, School of Accounting and Information Systems.
Duffield, G. M., & Grabosky, P. N. (2001). The psychology of fraud (Vol. 199). Canberra: Australian Institute of Criminology.
Eisenhardt, K. M. (1989). Agency theory: An assessment and review. Academy of management review, 14(1), 57-74.
Faust, J., & Svensson, L. E. (2001). Transparency and credibility: Monetary policy with unobservable goals. International Economic Review, 42(2), 369-397.
Godlewski, C. (2007). An empirical investigation of Bank risk-taking in emerging markets within a Prospect theory framework a note.
Hamilton, A., Hudson, J., Hinks, T., & James, L. (2014). Bribery and Identity: Evidence from Sudan. Bath Economic Research Papers, (21/14).
Hamilton, D. I., & Gabriel, J. M. O. (2012). Dimensions of fraud in Nigeria quoted firms. American Journal of Social Management Sciences, 3(3), 112-120.
Hardee, J. E., Benson, B. E., Bar-Haim, Y., Mogg, K., Bradley, B. P., Chen, G., ... & Pérez-Edgar, K. (2013). Patterns of neural connectivity during an attention bias task moderate associations between early childhood temperament and internalizing symptoms in young adulthood. Biological psychiatry, 74(4), 273-279.
Harper, D. Online Etymology Dictionary. Etymonline, htp.
Heywood, P. (1997). Political corruption: Problems and perspectives. Political studies, 45(3), 417-435.
Ijeoma, N., & Ezejiofor, R. A. (2013). An Appraisal of Corporate Governance Issues in Enhancing Transparency and Accountability in Small and Medium Enterprises (SME). International Journal of Academic Research in Business and Social Sciences, 3(8), 162.
Ingley, C., & Van Der Walt, N. (2005). Do board processes influence director and board performance? Statutory and performance implications. Corporate Governance: An International Review, 13(5), 632-653.
Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of financial economics, 3(4), 305-360.
Kahan, S., Pavlidis, T., & Baird, H. S. (1987). On the recognition of printed characters of any font and size. IEEE Transactions on pattern analysis and machine intelligence, (2), 274-288.
Khrawish, H. A. (2014). The impact of anti-money laundering on investment funding: Evidence from Jordanian financial institutions. International Journal of Economics and Finance, 6(3), 227.
Kiel, G. C., & Nicholson, G. J. (2003). Board composition and corporate performance: How the Australian experience informs contrasting theories of corporate governance. Corporate Governance: An International Review, 11(3), 189-205.
Kochanova, A. (2012). The Impact of bribery on firm performance: Evidence from central and eastern European countries.
Lambsdorff, J. G. (1999). Corruption in empirical research–a review: Transparency International Working Paper. See also Internet Centre for Corruption Research: Contribution, 5.
Lange, D. (2008). A multidimensional conceptualization of organizational corruption control. Academy of Management Review, 33(3), 710-729.
LaPalombara, J. (1994). Structural and institutional aspects of corruption. Social research, 325-350.
Luo, Y. (2005). An organizational perspective of corruption. Management and Organization Review, 1(1), 119-154.
Marens, R. (2002). Inventing Corporate Governance: The Mid-Century Emergence of Shareholder Activism. Journal of Business & Management, 8(4).
Mathews, M. R. (1997). Twenty-five years of social and environmental accounting research: is there a silver jubilee to celebrate?. Accounting, Auditing & Accountability Journal, 10(4), 481-531.
Misangyi, V. F., Weaver, G. R., & Elms, H. (2008). Ending corruption: The interplay among institutional logics, resources, and institutional entrepreneurs. Academy of Management Review, 33(3), 750-770.
Moghrabi, K. (2012). Impact of Manager Skill Profile on his Managerial Behavior A case study Jordan Kuwait Bank(Doctoral dissertation, Middle East University).
Mohammed, U. (2013). Corruption in Nigeria: A challenge to sustainable development in the fourth republic. European Scientific Journal, ESJ, 9(4).
Mulinge, M. M., & Lesetedi, G. N. (1998). Interrogating our past: colonialism and corruption in Sub-Saharan Africa. African Journal of Political Science/Revue Africaine de Science Politique, 15-28.
Nageri, K. I., Nageri, S. I., & Amin, A. (2015). The joint impact of stock market and corruption on economic growth and development in Nigeria: evidence from cointegration and VECM analysis. Serbian Journal of Management, 10(2), 189-200.
O’Donovan, G. (2002). Environmental disclosures in the annual report: Extending the applicability and predictive power of legitimacy theory. Accounting, Auditing & Accountability Journal, 15(3), 344-371.
OBODO, C. (2014). African Journal of Social Sciences. African Journal of Social Sciences, 4(2), 50-64.
OECD. Publishing, & Organisation for Economic Co-operation and Development Staff. (2004). OECD Principles of Corporate Governance 2004. Organisation for Economic Co-operation and Development.
Ogbodo, U. K., & Mieseigha, E. G. (2013). The Economic Implications of Money Laundering in Nigeria. International Journal of Academic Research in Accounting, Finance and Management Sciences, 3(4), 170-184.
Okorie, N. (2014). Corruption and the Challenges of Insecurity in Nigeria: Political Economy Implications. Global Journal of Human-Social Science Research.
Okoye, E. I., & Gbegi, D. O. (2013). An evaluation of the effect of fraud and related financial crimes on the Nigerian economy.
Osuagwu, L. (2012). Conceptualization of Corruption in Business Organizations. American International Journal of Contemporary Research. Centre for Promotiong Ideas, USA. ISSN.
Padilla, A. (2002). Can agency theory justify the regulation of insider trading?. The Quarterly Journal of Austrian Economics, 5(1), 3-38.
Pan, G., Seow, P. S., Suwardy, T., & Gay, E. (2011). Fraud: A review and research agenda.
Pratt, S. E., & Morris, J. K. (Eds.). (1982). Guide to venture capital sources. Capital Publishing Corporation.
Rasheed, S., & Olowu, D. (Eds.). (1993). Ethics and accountability in African public services. ICIPE Science Press.
Robert, H., Jonathan, E., & Stephen, D. (2011), Money Laundering and Nigeria. Niger Delta and Security Strategy Working Papers.
Rose-Ackerman, S. (2013). Corruption: A study in political economy. Academic Press.
Salinger, L. M. (Ed.). (2005). Encyclopedia of white-collar & corporate crime (Vol. 1). Sage.
Scott, J. C. (1972). Comparative political corruption. Prentice Hall.
Suchman, M. C. (1995). Managing legitimacy: Strategic and institutional approaches. Academy of management review, 20(3), 571-610.
Tanzi, V. (1998). Corruption around the world: Causes, consequences, scope, and cures. Staff Papers, 45(4), 559-594.
Treisman, D. (2000). The causes of corruption: a cross-national study. Journal of public economics, 76(3), 399-457.
Uadiale, O. M. (2010). The impact of board structure on corporate financial performance in Nigeria. International Journal of Business and Management, 5(10), 155.
Vasiu, L., & Vasiu, I. (2004, January). Dissecting computer fraud: from definitional issues to a taxonomy. In System Sciences, 2004. Proceedings of the 37th Annual Hawaii International Conference on (pp. 8-pp). IEEE.
Zhou, J. Q., & Peng, M. W. (2012). Does bribery help or hurt firm growth around the world?. Asia Pacific Journal of Management, 29(4), 907-921.
Published
How to Cite
Issue
Section
Articles published in the International Research Journal of Management, IT and Social sciences (IRJMIS) are available under Creative Commons Attribution Non-Commercial No Derivatives Licence (CC BY-NC-ND 4.0). Authors retain copyright in their work and grant IRJMIS right of first publication under CC BY-NC-ND 4.0. Users have the right to read, download, copy, distribute, print, search, or link to the full texts of articles in this journal, and to use them for any other lawful purpose.
Articles published in IRJMIS can be copied, communicated and shared in their published form for non-commercial purposes provided full attribution is given to the author and the journal. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial publication in this journal.
This copyright notice applies to articles published in IRJMIS volumes 7 onwards. Please read about the copyright notices for previous volumes under Journal History.
