Corporate Governance and the Integrity of Financial Statements: Evidence from Energy Companies Listed on the Indonesia Stock Exchange

This study examines the impact of corporate governance on the integrity of financial statements in energy sector companies listed on the Indonesia Stock Exchange (2021–2023). Motivated by concerns over financial statement manipulation—where ACFE (2019) reported 6.7% fraud in Indonesia—it measures corporate governance via board of directors, audit committee, managerial ownership, institutional ownership, and independent commissioners. Financial statement integrity, proxied by conservatism, is the dependent variable. Using agency theory, the research applies quantitative methods with secondary annual report data, aiming to provide theoretical and practical insights into how governance mechanisms influence the reliability of financial reporting in Indonesia’s energy sector.