Developing a paradigmatic model of forensic accounting with a fraud risk management approach: linking the judicial system and the capital market

Lotfi, Nasim; Jabbarzade Kangarlouei, Saeid; Bahri Sales, Jamal; Pakmaram, Asgar

doi:10.22034/jse.2026.12675.2430

Developing a paradigmatic model of forensic accounting with a fraud risk management approach: linking the judicial system and the capital market

Articles in Press

Document Type : Original Article

Authors

nasim lotfi ¹

saeid jabbarzade kangarlouei ²

Jamal Bahri sales ²

asgar Pakmaram ³

¹ Ph.D. Student, Department of Accounting, Ur.C., Islamic Azad University, Urmia, Iran.

² Associate Professor, Department of Accounting, Ur.C., Islamic Azad University, Urmia, Iran.

³ Associate Professor, Department of Accounting, Bon.C., Islamic Azad University, Bonab, Iran.

10.22034/jse.2026.12675.2430

Abstract

Abstract
Fraud is one of the most significant financial crises that poses a serious threat to public trust and leads to extensive consequences. The purpose of this study is to design a paradigmatic model of forensic accounting with a fraud risk management approach and to explain its role in enhancing transparency and improving the efficiency of the judicial system and the capital market. This study adopted a qualitative research design based on the grounded theory approach. The statistical population consisted of officially licensed experts with more than ten years of professional experience who were selected through purposive sampling. Data were collected through semi structured interviews with 20 experts and analyzed using MAXQDA software. The core category was explained in three dimensions: the functions and strategic implications in the judicial and economic systems; professional, specialized, and developmental requirements; and the institutional structure, international interactions, and patterns. Considering causal, contextual, and intervening conditions, strategies were developed and the final research paradigm was presented. This study provide a suitable basis for the development of forensic accounting and the strengthening of fraud risk management. The design and implementation of a comprehensive forensic accounting model can strengthen fraud risk management and facilitate the linkage between the judicial system and the capital market through effective supervision and enhanced transparency of stock market transactions.

Keywords

Forensic accounting

Fraud risk management

judicial system

capital market

Subjects