The Effect of Hexagon Fraud and Love of Money Components on Determinants of Fraud With Religiosity as A Moderation Variable

The prevalence of fraudulent activities in the management of village funds underscores the need to explore the factors contributing to such behavior. This study investigates the impact of components of the hexagon fraud model and love of money on the determinants of fraud, with religiosity serving as a moderating variable among village fund managers. Addressing a gap in the existing literature, this research incorporates religiosity as a potential moderating factor—a novelty in this context. The study employs a quantitative approach, with data collected from 67 village officials across three sub-districts in Sidenreng Rappang district using purposive sampling. The data, gathered through direct questionnaire surveys, underwent validity and reliability testing, as well as classical assumption tests, including normality, multicollinearity, and heteroscedasticity tests. Hypotheses were tested using multiple linear regression and moderation regression analyses, facilitated by the SPSS 26 software. The findings reveal that pressure and rationalization significantly and positively influence fraud determinants, while arrogance exhibits a significant negative effect. However, opportunity, ability, collusion, and love of money do not significantly affect fraud determinants. Furthermore, religiosity effectively moderates the influence of pressure and rationalization on fraud determinants but fails to moderate the effects of opportunity, ability, arrogance, collusion, and love of money. These results suggest that village officials must uphold their duties and responsibilities in managing village funds, emphasizing the importance of religiosity in mitigating fraudulent behavior.