Graduation Project

Amjad Alsamhoury
1320072
Dr. Osama Jaara
The role of forensic
accountant in
tackling
money laundry and
terrorism financing
Introduction
Forensic accounting
Money Laundry
Terrorists financing
Money Laundry
 Research objectives

• Identify whether forensic accountant would help in detecting money

laundering.
• Identify whether terrorists use money laundry to finance their activities.
• Identify the extent of beneficiary of the commercial banks from terrorist
financing through money laundry.
 Hypothesis
• HO1: Would forensic accountant help in detecting money laundering.
• HO2: Would terrorists use money laundry to finance their activities.
• HO3: Would commercial banks and the exchange companies benefit from
terrorist financing through money laundry.
Study Model
 Methodology
• In order to achieve the objectives of this study and testing the hypothesis, the
researcher dealt with two types of data, Secondary data and Primary data:

1. Secondary data
2. Primary data
 Sample and population

Recovered Subject to analysis

Distributed
Questionnaire
Questionnaire
Quantity 25 18 15
Percentage 100% 72% 60%
 Statistical method
In my study I used statistical methods to analyze the data we get from the questioner
and convert it from non-quantitative variables to measurable amount of variables the
researchers used statistical methods using the statistical program of Social Sciences
“SPSS”
• Descriptive Statistics
• Mean
• Standard deviation
• One sample t- test
• Cronpach’s Alpha test
Results
 Independent variable Calculated T Critical T Sig-t Statistical result

Forensic Accountant would help in

detecting money laundering 3.12 3.84 0.65 Accept H01

Independent variable Calculated T Critical T Sig-t Statistical result

Terrorists would use money laundry to
finance their activities 3.41 3.84 0.85 Accept H02

Independent variable Calculated T Critical T Sig-t Statistical result

Commercial banks and the exchange
companies would benefit from terrorist 3.81 3.84 0.83 Accept H03
financing through money laundry.
Conclusion & Recommendation
 Conclusion
• The experimental study showed that forensic accountants would benefit the commercial bank industry in Jordan by
enhancing the internal and external assertions for fraud, embezzlements and most importantly money laundry
• The experimental study showed that forensic accountants would benefit the commercial bank industry by helping in
the establishment of a better anti-money laundry and better anti- Terrorism financing techniques to prevent such
issues, since the researcher found out that terrorists use money laundry to finance their operations.
• The study showed that none of the commercial banks in Jordan use forensic accountants to help in their anti- money
laundry fraud
• The study also showed that managers know about the uses of forensic accounting, the assertions and help that this
science can provide
• The study showed that the commercial banking sector in Jordan has medium trust in their procedures to detect
money laundry and terrorism financing
• Multinational banks in Jordan have better trust in their techniques, procedures and better use of forensic accountants
in order to tackle money laundry and terrorism financing.
 Recommendation

• The role of the central bank in Jordan is to regulate and comply every bank to have
a payroll officer, with a forensic accounting degree, whom would connect the
commercial banks with the central bank to prevent any suspected activities
• Forensic accountants would help in deterring money laundering activities and in the
recommendation, there must be an officer with such degree to achieve an
economical crime free economy
• In order to stop terrorist financing, money laundering activities should be
prevented; doing so means more regulations and procedures.
• Increase customers inquire when suspecting the origin of the cash, financing or
sudden enrichments.
 Recommendation
• Increase training for respective employees regarding procedures and how to inquire
customers about their sources of the cash and/or transactions.
• Increase the awareness regarding money laundering activities, terrorism financing
and their effect on the economy and the national security.
• Recommendation for future research: Researchers may likewise handle comparative
study for various samples and chose organizations and divisions to distinguish
disclosure trends. Therefore, the researcher encourage studying the effect of
internal audit on fraud is imperative because of issues that may address the
limitations and proposed potential research areas. In addition to conducting other
researches regarding the same topic in Jordan using a different industry.
 Limitation

• The researcher encountered a huge issue when distributing surveys to the commercial banks
in Jordan study sample. The survey reached the study sample after a handful of telephones,
as they did not take the researcher seriously at first, therefore, 3 out of 20 surveys were not
recovered or marked as inadequate for testing because of random answering.
• The researcher faced a problem applying statistical methods onto the questionnaire due to
lack of proper equipment.
• Having a sample from top management limited the time and the availability to collect the
data properly and efficiently.
• Forensic accounting is a new topic to the Jordanian culture of business and thus limited the
knowledge in assisting this research.
At the end , I would like to thank my supervisor,
Dr.Osama Ja’ara for his unlimited support and
encouragement throughout this project.

Amjad Alsamhoury
Questions ?
 Thank you for listening

Amjad Alsamhoury