ANALISIS CASH FLOW MANIPULATION SHENANIGANS PADA PT ENVY TECHNOLOGIES INDONESIA TBK

Abstract

This research aims to identify and analyze cash flow manipulation at PT Envy Technology during 2018-2020 using forensic accounting. This method is effective in detecting financial reporting fraud. The analysis of cash flow statements shows strong indications of management manipulation to conceal the company's actual financial condition and enhance the perception of liquidity and solvency. Secondary data from the 2018-2020 annual reports and academic literature from 2018-2024 were used in this study. Literature findings indicate that cash flow manipulation often occurs through improper revenue recognition, delayed liability payments, and engineered transactions. The analysis shows an increase in operational cash flow in 2019 that does not align with the company's operational conditions, indicating accelerated revenue recognition and delayed liability payments. In 2020, the decline in operational cash flow was due to deferred expense recognition and increased payments to suppliers, indicating the company's inability to sustain long-term manipulation. The results of this study are expected to provide insights and practical guidance for forensic accounting practitioners, auditors, and regulators in identifying and preventing cash flow fraud practices. Furthermore, this study also provides recommendations to enhance supervision and regulation of cash flow statements, as well as the importance of education and training for auditors in forensic accounting techniques.