Revised Code of Ethics in the Phils - 2010

Part b section 230 second opinions 2301 situations

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Unformatted text preview: ant in public practice shall evaluate the significance of any threats created by business interests or relationships with the client or a third party. 220.3 Depending upon the circumstances giving rise to the conflict, application of one of the following safeguards is generally necessary: (a) (b) Notifying all known relevant parties that the professional accountant in public practice is acting for two or more parties in respect of a matter where their respective interests are in conflict and obtaining their consent to so act; or (c) 220.4 Notifying the client of the firm’s business interest or activities that may represent a conflict of interest and obtaining their consent to act in such circumstances; or Notifying the client that the professional accountant in public practice does not act exclusively for any one client in the provision of proposed services (for example, in a particular market sector or with respect to a specific service) and obtaining their consent to so act. The professional accountant shall also determine whether to apply one or more of the following additional safeguards: (a) The use of separate engagement teams; (b) Procedures to prevent access to information (for example, strict physical separation of such teams, confidential and secure data filing); 155 (c) Clear guidelines for members of the engagement team on issues of security and confidentiality; (d) The use of confidentiality agreements signed by employees and partners of the firm; and (e) Regular review of the application of safeguards by a senior individual not involved with relevant client engagements. 220.5 Where a conflict of interest creates a threat to one or more of the fundamental principles, including objectivity, confidentiality, or professional behavior, that cannot be eliminated or reduced to an acceptable level through the application of safeguards, the professional accountant in public practice shall not accept a specific engagement or shall resign from one or more conflicting engagements. 220.6 Where a professional accountant in public p...
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This document was uploaded on 04/03/2014.

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