This study aimed to provide empirical wheter the effect of corporate
governance mechanisms include institusional ownership, managerial ownership
and indpendent directors and the integrity of audit quality of financial reports on
manufacturing companies in Indonesia. The population were manufacturing
companies of property and real estate sectors listed in Indonesia Stock Exchange.
The sample were 40 companies during four periods of 2011-2014. The data
analysis technique used was logistic regression analysis.
The data were analyzed by using multiple regression analysis method. The
results of this study indicate that (1) Institusional Ownership gives not negative
effect on integrity of the financial reports, (2) Managerial Ownership gives no
positive effect on the integrity of financial reports, (3) Independent Commissioner
gives no positive effect on integrity of financial, (4) Audit Quality gives no
positive effect on the integrity of the financial reports.