Analyzing the Role of Auditor Characteristics and Board Structure in Mitigating Financial Reporting Fraud: A Study of the Tehran Stock Exchange

Financial reporting fraud, defined as the intentional distortion of financial statements, is one of the major threats to transparency in capital markets. The purpose of this study is to examine the impact of auditor characteristics and board structure on reducing the likelihood of fraud in firms listed on the Tehran Stock Exchange. The significance of this research lies in providing practical recommendations for strengthening corporate governance systems and improving audit quality to prevent financial misconduct. The main research question investigates whether there is a significant relationship between auditor characteristics and board structure and the reduction of financial reporting fraud. This study adopts a descriptive-analytical research method, and data were collected through note-taking and library-based research. The findings indicate that auditor characteristics such as audit firm size, industry expertise, and tenure, along with board structure components including independence, gender diversity, and educational level of board members, play an effective role in reducing financial fraud. Based on the results, it is recommended that firms employ independent auditors with industry specialization and optimize board composition by considering independence and diversity criteria.

کلیدواژه ها:

Auditor characteristics ، financial reporting fraud ، board structure ، Audit Quality