TY - JOUR AU - Abdulmalik, O. Salau AU - Shittu, Isah AU - Ahmad, Ayoib Che PY - 2016/07/05 Y2 - 2024/03/29 TI - Political Connections of Boards and the Selection of Auditors in Nigeria JF - International Journal of Economics and Financial Issues JA - IJEFI VL - 6 IS - 4S SE - Articles DO - UR - https://www.econjournals.com/index.php/ijefi/article/view/2696 SP - 104-110 AB - <p>The aim of this study is to examine the relationship between the political connections of board members and the selection of auditors by non-financial listed firms in Nigeria. The financial and non-financial information of 94 non-financial companies listed on the Nigerian Stock Exchange from 2008 to 2013 were analysed using a logistic regression model. The results of the logistic regression revealed that listed companies with politically connected board members were unlikely to appoint a Big 4 audit firm to audit their companies. This was likely because of difficulties in influencing such firms to issue an audit report in their favour.<strong><em> </em></strong>Regulatory bodies can use the outcome of this study to make necessary adjustments in codes directed at reducing the influence of political cronyism on the choice of auditor.</p><p><strong>Keywords</strong>: political connections, auditor selection, Nigeria</p><p><strong>JEL Classifications<em>:</em></strong> M41, M42</p> ER -