Abstract

This study investigated accountants role and other stakeholders perceptions on bankruptcy declaration in Edo state. It specifically examined the influence of accountant role, culture role and religion role on bankruptcy declaration in court of law in Edo state. It was a field survey and involved application of qualitative and quantitative approach. A total of 3,780 constituted that population, while the sample size was 399. The instrument used was questionnaire administration prepared in five-point Likert scale form. This study utilized descriptive and inferential statistics like variance inflation factor and ordinary least square regression method. The study found that accountant role has no significant influence, but has positive relationship with bankruptcy declaration especially as concerned to preparation of bankruptcy accounts including statement of affairs and deficiency accounts, valuation and quantification of the debtor‘s assets which can be used as forensic evidence in bankruptcy proceeding in the court. Similarly, culture and religion have significant effect and positive and negative relationship with bankruptcy declaration due to the notion of stigmatization and religious faith that God will provide, so let me leave everything to God. The implications of the results boil down that accountant role in bankruptcy declaration is a weak enhancing factor, while culture and religion are strong influencing factors affecting bankruptcy declaration and processes in the court of law. The study therefore recommended that Accountants should be willing to assist with the preparation of bankruptcy accounts, including statements of affairs, deficiency accounts, asset valuation, and providing forensic evidence in court when the need arise. Also, the bankruptcy act should be reformed to reduced the complexities involved and reflect the culture and religion in Nigeria.