【正文】 eporting, 2021, available Opportunity refers to those factors that enable fraud to be more easily mitted and detection less probable (Hooper J. M., Forneli C. M, 2021).Therefore, ineffective controls or absence of control favors fraud intentions. These factors can be related directly to inadequate monitoring by management or the ineffectiveness of the board of directors or of the audit mittee to oversee the reporting and the internal control. Attitude or premeditation is the trigger factor of the fraud act and refers to the fact that the perpetrator must have a mindset that would justify or premeditate the act of fraud. Detection of risk factors that determine board members, management, employees to be predisposed to such intent may be quite difficult. So when a pany monitors people and processes to discourage and detect fraud, it must follow the three aspects, because fraud involves incentives or pressure to mit a fraudulent act, a perceived opportunity to do so, and some reasoning.(Soltani B., 2021) 3. WHO AND HOW COMMITS FRAUDULENT FINANCIAL STATEMENTS According to the Report of the USA National Commission on Fraudster Financial Reporting in the majority of the studied cases, the pany’s management, such as chief executive, president and chief financial officer, were the fraudulent perpetrators. In some cases, it was found that there were made intentional false disclosures from the accountant throughout falsified documents and records Furthermore, the mittee studies have shown that while the authors of fraudulent financial reporting have used different means, the effect of their actions is almost always consist of overestimating or smoothing earnings in order to exaggerate the pany or its assets. In addition, fraudulent financial reporting does not always begin with an openly recognizable act of distortion of the financial statements. In many cases, fraudulent financial reporting is the peak point of a number of acts intended to address operational difficulties. Initially, the activities may not be fraudulent, but in time they may bee probable, especially when the tone set by management permits or encourages such activities in order to have fraudulent financial reporting. Thus, we can say that potential criminals involved in fraudulent financial reporting can be both in senior management and among midlevel employees, but we can think also on anized criminal anizations for this purpose. To describe ways in which fraud is mitted on the financial statements, the literature (Zabihollah R., 2021) uses the term .fraudulent financial reporting schemes” or .earnings management” (Nguyen K., 2021). However the term “earnings management does not always refer to an illegitimate action. The accounting policies (. GAAP) or other accounting standards (IFRS) make the difference between legitimate and illegitimate gains. When panies engage in legitimate administration of earnings management within their financial statements, they are submitted as true and are treated in accordance with applicable accounting standards. We can say that earnings management is a fraud when it “involves gains arising from improper revenue recognition, overstating of assets or undervaluation of liabilities” (Zabihollah R., 2021). In order to manipulate the earnings, managers use different aggressive accounting techniques, which have as effect the artificially increase or decrease in revenues, profits, or earnings per share. They use these tactics, hoping to cope with the pressures that are on the market. In general, panies that are traded most often feel the pressure, either from securities analysts who expect them to disclose as much information as possible, either from shareholders who expect, based on their investments, for panies to obtain bigger profits in a short period of time. Failure to obtain expected dividends by investors and hence earnings per share can cause a significant decline in the capitalization of a pany. Therefore .earnings management” may be motivated by the pressure or the desire to maximize performance based payments. However, managers do not always aim for the purpose of overestimating management earnings. They are also interested in the o