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2021, vol. 50, iss. 1, pp. 66-89
The role and importance of internal control and internal audit in the prevention and identification of fraudulent actions in banks
aUniversity of Belgrade, Faculty of Organizational Sciences, Serbia
bUniversity of Belgrade, Faculty of Economy, Serbia
cPreduzeće za reviziju, računovodstvene, finansijske i konsalting usluge Moodys Standards doo, Beograd + Union University, Belgrade Banking Academy, Faculty for Banking, Insurance and Finance, Belgrade, Serbia,,
Modern banks have a specific role and a whole range of functions of paramount importance, as financial institutions for granting loans, creating loans, mobilizing savings and economic development. In the financial sector, there is a growing number of people who are using increasingly innovative and creative ways of targeting all perceived weaknesses in banks and credit approval systems. The persons committing fraud have become increasingly sophisticated, which means that measures to prevent fraud must be constantly developed to ensure that they are able to deal with the threat. The fight against fraud is crucial for financial services institutions. This article aims not only to briefly describe the role of internal control and internal audit in detecting possible fraud in banks, as profit-oriented organizations in today's complex and highly changing business environment, but also to point out the advantages they have in the more efficient management of bank activities.
*** International standard on auditing 240: 'The auditor's responsibilities relating to fraud in an audit of financial statements'
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article language: Serbian, English
document type: Review Paper
DOI: 10.5937/bankarstvo2101066K
received: 25/01/2021
accepted: 11/02/2021
published in SCIndeks: 29/04/2021
Creative Commons License 4.0

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