The objective of this study is to investigate why Thai local government internal auditing mechanisms continue to be ineffective by examining specify factors that the literature identifies as impediments to the effectiveness of internal auditing systems. An anonymous survey and interviews were employed to collect data from responding internal auditors within Thai local government. The results show that key three factors are causing the ineffectiveness of Thai local government internal auditing mechanisms: capabilities of the internal auditing team; participation on internal auditing systems of officials; and promotional opportunities within the internal auditing profession. These factors have significantly impacted Thai local government internal auditing. Greater competence of internal auditors, independence of internal auditors, growth prospects and working motivation and cooperation between administrators, audited entities and internal auditors will improve in the detection of risks specifically fraud and corruption risks.
Internal auditing mechanisms; Corruption risks; Thai local governments.