Issue #1 (Volume 6 2025)

Forensic audit of public debt is an important tool for ensuring financial transparency and effective public finance management. In the context of Ukraine, given the difficult economic situation and high level of public debt, the use of forensic audit is of particular importance. The study aims to conduct a forensic audit of Ukraine’s public debt by assessing the consistency of financial statements of key government agencies, identifying discrepancies, and evaluating their potential impact on financial stability. The methodology includes a cross-analysis of financial data from the Ministry of Finance of Ukraine, the National Bank of Ukraine, the Accounting Chamber of Ukraine, and the State Treasury Service. The study also includes an assessment of compliance with international public sector auditing standards (ISSAI, IPSAS, and OECD principles). The results show discrepancies in key public debt indicators between the different reporting institutions, with variations in total debt, debt service costs, and classification methodologies. Key findings indicate inconsistencies in the timing of data publication, differences in accounting methodology, and gaps in debt transparency. These discrepancies pose risks to the effectiveness of financial policy, external creditworthiness, and overall macroeconomic stability. The study concludes that strengthening coordination between government agencies and integrating forensic audit mechanisms into the system of regular financial oversight is necessary to increase the transparency of public debt and reduce financial risks. The proposed recommendations will help to improve fiscal management and ensure the reliability of financial reporting in Ukraine's public debt management system.

Acknowledgment
Prepared as part of a research project 101127602-EUEPDM-ERASMUS-JMO-2023-HEI-TCH-RSCH – "EU experience in public debt management: conclusions for Ukraine in the war and post-war period". However, the views and opinions expressed are those of the authors alone and do not necessarily reflect the views of the European Union or the European Executive Agency for Education and Culture (EACEA). Neither the European Union nor EACEA can be held responsible for them.

A significant aspect of financial regulation provides for risk mitigation, transparency improvement, and maintaining economic stability, making financial control systems more efficient. This article analyzes the interaction of financial regulation strength with financial control efficiency in five economies, such as the USA, the UK, Germany, Poland, and China, from 2020 to 2023. An econometric model is utilized and the World Bank Financial Regulatory Index is incorporated as the core independent variable, along with financial infrastructure, efficiency of risk modeling, GDP growth, inflation, and financial leverage; all variables are used to understand their effect on financial control mechanisms. It is confirmed that the stronger financial control efficiency of the USA, the UK and Germany is associated with their stronger scoring by financial regulation (the countries with higher scores of financial regulations are better enforced and have more appropriate risk management strategies). On the other hand, Poland and China have problems in terms of regulatory enforcement which translates into lower effectiveness of financial control. The results also show that inflation and financial leverage decrease the efficiency of financial control, and financial infrastructure and risk modeling are positively related to financial control efficiency. The study emphasizes the exigency of regulating financial oversight in emerging markets, strict enforcement policies, and embracing technological advancements that supplement the area. A future research agenda needs to broaden the scope to other economies and qualitative assessments of regulatory effectiveness.

Effective winery management requires the systematic integration of accounting data, logistics information, and digital marketing elements. The paper explores conceptual approaches to integrating the accounting and control systems with marketing and logistics processes in Ukraine’s winemaking industry within the context of digital transformation. Based on the results of the software market analysis, the advantages and limitations of various types of software (ERP, CRM, QR marking, RFID, etc.) for Ukrainian wineries are summarized. Critical factors for the successful implementation of digital technologies have been identified, such as technological readiness of an enterprise, availability of qualified personnel, financial capacity, and adaptability of systems to Ukrainian market conditions. The functional significance of organoleptic control in the system of internal quality monitoring is determined, specifically in identifying signs of counterfeiting and ensuring product compliance with established standards. The study proposes a logical and functional model of synergy of digital accounting, marketing, and logistics, enabling strategic control based on real-time data. It also presents IT solution implementation scenarios adapted to the scale of a winery’s operations, its digital maturity, and business priorities. The study results have practical significance for enhancing management decisions, optimizing quality control, improving the efficiency of sales channels, and fostering consumer trust in the brand.

Type of the article: Research Article

Audit committees are key in corporate reporting, ensuring credibility through internal controls, assurance processes, and risk management. This study examines the relationship between audit committee characteristics and Environmental, Social, and Governance reporting quality among the top 100 Johannesburg Stock Exchange-listed corporations. Using agency and legitimacy theories, the study analyzes how audit committees serve as mechanisms for lowering information asymmetries and attaining legitimacy through transparent Environmental, Social, and Governance reporting. It focuses on three audit committee attributes: independence, meeting frequency, and average age. Panel data regression models using Ernst & Young’s Excellence in Integrated Reporting Awards were used. Data were obtained from the Bloomberg database spanning five years (2017–2021). The results reveal a significant positive correlation between Environmental, Social, and Governance reporting quality and audit committee independence (p-value < 0.05), but no significant relationship for meeting frequency or average age (p < 0.05). The findings highlight the importance of internal assurance in enhancing Environmental, Social, and Governance reporting, addressing stakeholder concerns on sustainability and corporate responsibility. The study contributes to the governance literature by offering actionable insights for firm managers and evidence that stronger audit committee independence enhances governance structures. This study underscores the need for policies that improve Environmental, Social, and Governance reporting quality and suggests further exploration of qualitative audit committee attributes influencing Environmental, Social, and Governance disclosures. It added to the ongoing debate examining the effect of audit committee characteristics on Environmental, Social, and Governance reporting quality in South Africa’s context.

Acknowledgment
Gratitude is extended to the anonymous referees for their helpful and thoughtful suggestions, recommendations, and constructive comments, by which the paper was substantially improved. Moreover, the University of KwaZulu Natal is acknowledged for providing excellent research support and facilities. Notably, the article has never been published previously. The paper was extracted from Ruth Mutsa Ruziwa’s Masters dissertation, which was submitted to the University of KwaZulu Natal, with first authorship of this article attributed to the same.

Type of the article: Reflexive Preface

The control domain is undergoing a significant transformation due to societal demands and technological progress, particularly in the field of AI. This change creates uncertainty and marks a fundamental shift in how control is managed. Key changes require trust, a thorough understanding of technology, a flexible organizational structure, and vigilant monitoring of societal developments. The traditional role of the controller is likely to decrease, as many responsibilities are being shared across multidisciplinary teams within organisations in a more interdisciplinary way. AI systems can cause a paradigm shift in the financial and organizational spheres. Paradigm shifts are more than just a change in strategy or working methods; they are a fundamental transformation in how we perceive and interpret organizations. This article presents a crucial inquiry: Do these ongoing transitions represent incremental change, or do they indicate a fundamental, revolutionary transformation within the control domain? Gaining insight into these trends is vital for organizations as they navigate these changing landscapes, where agility and proactive adaptation to external dynamics are essential for sustained success.

Acknowledgment
Dirk Swagerman thanks Albert van der Sluis for his comments on the earlier version of this paper.

Type of the article: Research Article

Understanding the impact of traditional financial factors and intangible assets on the value of listed companies is increasingly important amid rapid changes driven by the recent pandemic, energy, and geopolitical crises, alongside emerging economies’ shift toward knowledge-based models. This study aims to assess how traditional financial indicators and the intensity of intangible assets influence the market value of firms listed on the Bucharest Stock Exchange (BVB), using Tobin’s Q as the valuation measure. Out of an initial population of 84 companies, 56 were selected based on data completeness and consistency, covering the period 2019–2023, a timeframe marked by significant economic shocks. A multiple linear regression approach was employed, with Tobin’s Q as the dependent variable and firm size, intangible assets, leverage, liquidity, and profitability as predictors. Data exhibit significant dispersion and asymmetry, particularly in profitability and liquidity, indicating varied shock absorption capacities across firms. The regression model explains nearly 60% of the variation in firm value and meets all diagnostic criteria. Intangible assets emerged as the most influential positive factor, followed by firm size, while leverage negatively affects firm value. Liquidity and profitability showed no statistically significant effect when controlling for other variables. These results suggest that Romanian investors place growing emphasis on knowledge-based resources and firm scale, while penalizing high leverage. The study enriches existing literature and offers practical guidance for managers to prioritize investments in intangible capital over mere expansion of tangible assets.