Multiple large shareholders and corporate fraud: evidence from China

Frontiers of Business Research in China

Table. 5 The regression results of hypotheses

Variable	Fraud Xtlogit (1)	Fre Xtpoisson (2)	Fraud Xtlogit (3)	Fre Xtpoisson (4)
Multi	−0.1180* (− 1.70)	−0.0864* (−1.92)	−0.1661** (−2.21)	−0.1336*** (− 2.76)
Multi×Scfc			−0.2795* (−1.96)	− 0.3359* (− 1.81)
Size	0.1819*** (3.43)	0.1649*** (4.91)	0.1631*** (3.31)	0.1688*** (5.42)
Lev	−0.2137 (−1.06)	− 0.0622 (− 0.49)	0.0198 (0.10)	0.0594 (0.50)
Roa	−1.9968*** (−4.49)	− 1.4080*** (− 5.41)	−1.9804*** (− 4.70)	−1.4762*** (− 6.04)
Lnboard	0.3136 (1.44)	0.3691*** (2.66)	0.2943 (1.44)	0.4056*** (3.10)
Big10	−0.1672** (−2.45)	− 0.1503*** (−3.45)	−0.1384** (− 2.15)	−0.1305*** (− 3.17)
Ana	− 0.1089*** (− 3.31)	−0.1079*** (− 4.99)	−0.0917*** (− 2.93)	−0.0942*** (− 4.57)
Dual	0.1024 (1.34)	0.0845* (1.76)	0.0678 (0.95)	0.0829* (1.86)
Turnover	0.0617** (2.52)	0.0622*** (4.05)	0.0662*** (2.85)	0.0619*** (4.27)
Scfc	0.2781 (1.25)	0.3114** (2.26)	0.6544*** (2.96)	0.6268*** (4.73)
Individual fixed effect	Yes	Yes	Yes	Yes
Year fixed effect	Yes	Yes	Yes	Yes
Observations	13,806	13,843	13,806	13,843
L-likelihood	− 4590.32	− 7226.44	− 5130.83	− 8090.22
Chi²	378.10	457.62	417.24	521.48

Notes. The model represents by column (1) removed 1923 groups because they contain the same dependent variables (i.e., all 1 or 0), and 10,898 observations are dropped. The model represented by column (2) deletes 1808 groups because the dependent variables of these groups are all 0, and 10,754 observations are dropped; this model additionally drops 107 groups (107 observations) because these groups only have one observation per group (similar to the process in the section below). Xtlogit represents a fixed-effect Logit model. Xtpoisson represents a fixed-effect Poisson model (similar to the process in the section below). The z-statistics of the estimated parameters are shown in brackets. *, **, **, denote significance at the 10%, 5%, and 1% levels, respectively (the same is true for subsequent tables)