Forensic Accounting and Fraud Control in Public Institutions in Kenya: A Systematic Review of Literature

The aim of this study was to examinethe effect of forensic accounting and fraud controlling public institutions in Kenya.The research utilized a systematic review methodology, as guided by Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA). Multiple databases search was conducted to identify relevant studies related. Only primary studies published between 2018 and 2023 were included, based on the predetermined selection criteria. The screening and selection process were performed in accordance with these criteria. This study appropriately referenced and acknowledged the secondary data sources and materials used. Studies reviewed revealed a strong and positive correlation between forensic accounting and fraud control. Public institutions have implemented various measures, including duties segregation, compliance policies and management controls, to control fraud. Components of forensic accounting, including segregation of duties, internal controls, physical controls, compliance, and dispute resolution, were found to be significantly linked to fraud control. However, the systematic review of literature highlighted that many public institutions in Kenya lack effective fraud reporting policies and fraud control plans, which presents a significant obstacle to fraud control efforts. While public institutions in Kenya do have an internal control function, it was observed to be less robust than desired in preventing fraud. The study recommends that public institutions in Kenya prioritize enhancing their adoption of forensic accounting practices to better prevent and control fraud. Moreover, the government should create a supportive environment for the growth of forensic accounting as a discipline, aligning with global trends in fraud control. Regulatory organizations like the Institute of Internal Auditors and the Institute of Certified Public Accountants should incorporate forensic accounting into their curriculum and training, making it a crucial requirement for full membership accreditation in their respective professions. For future research, it is suggested to conduct primary studies among public institutions in Kenya. By doing so, the findings would be more robust, enabling a broader investigation into the impact of forensic accounting on fraud control in these institutions. To gain a deeper understanding of the topic, future studies could also employ mixed methods to enhance findings.This study  is important to policy makers in public institutions, who would be equipped with the necessary knowledge to institute policies to prevent fraud. Finance and accounting experts will benefit from this study’s findings as they would better comprehend the how forensic accounting affects fraud prevention. Consequently, the experts would give informed professional counsel to their institutions and other institutions.

Keywords:- Forensic Accounting, Fraud Control, Public Institutions.