FORENSIC ACCOUNTING IN PUBLIC SECTORAbout the articleThis research is basically to identify the significance of internal auditing in the Malaysia public sector, and its subsequent extent and how does it influence in the public sector hierarchy and decision making.Problem StatementPublic sector as a whole addresses the interest of a larger and wider group of stakeholders. Therefore, in order to ensure appropriate level of transparency, integrity, quality and improved service delivery in public sector, it is crucial to know the role of internal auditing.Research ObjectiveThe objectives of this research is to identify the problems that occurs and faced by the internal audit function in the public sector entities and to rectify the level of effectiveness and its contributing factors. MethodologyIn order to collect data for this research, the researcher collected the data by using questionnaires distributed to all participants during an Internal Audit Symposium 2008 that was held in National Audit Academy in Negeri Sembilan. The participants were attended by head of internal auditors, internal auditors and other staff of internal audits departments from various categories of public sectors departments and agencies around Malaysia.There were three parts of the questionnaire where the first part contain of demographic questions on age, gender, highest educational level, professional qualification and the experience of the respondent. While, the second part of the questionnaire consists questions of the respondent's workplace. The last part particularly seeks information in the issues of, the important factors that could contribute to the effectiveness of internal audit function and the main problems faced by the internal audit function.Research QuestionsIn this research, there were two open-ended questions were used in the questionnaires in order to obtain elaborate answers and opinions. The questions are:1) If you are an internal auditor in a public sector organization what are the main problems normally faced by the internal audit function?2) In your opinion, what are the important factors that will contribute to the effectiveness of an internal audit function?FindingsBased on the two open-ended questionnaires distributed during the symposium, the findings are as below:The main problems normally faced by the internal audit function.1. Lack of audit staff2. Internal audit function does not have full support /commitment from3. Top management4. Lack of cooperation from auditor5. Lack of training6. Lack of independence7. Staff lack of competency/knowledge on auditing techniques8. Action on audit findings and recommendations not taken by auditee and the management9. Lack of experience staff in the IAF10. Low grading of position of head of internal auditors11. Negative perception from auditee 12. Limited/lack of resources

The important factors that will contribute to the effectiveness of an internal audit function.1. Internal audit quality2. Support of top management3. Adequate resources4. Cooperation from auditor5. Interaction with audit committeeConclusionBased on the distributed questionnaires, it shows that lack of audit staff is identified as the major problems faced by the internal audit in the public sector in order to conduct and effective internal auditing. It is also important to received adequate support from top management as well to received sufficient training in order to have appropriate and extensive knowledge in order to achieved its objectivity and effectiveness of internal auditing. To sum up, the need of change and improvement in management are also important to improve the internal audit function in the public sector.Critiques Lack of audit personnel & incompetence Change audit scope Risk based focus on risk area rather than operational aspect such as financial risk, reputational risk and other risk. Able to proposed new idea. Current study has not investigated the relationship between the problems to the effectiveness of internal audit function of the public and the private sectors.